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Section 27: Rights of mortgagee.

The Merchant Shipping Act, 2025Central Act · Act 24 of 2025

(1) Where there is only one registered mortgagee of a vessel or share, he shall be entitled to recover the amount due under the mortgage by selling the mortgaged vessel or share without approaching the High Court:

Provided that nothing contained in this sub-section shall prevent the mortgagee from recovering the amount so due in the High Court as provided in sub-section (2).

(2) Where there are two or more registered mortgagees of a vessel or share, they shall be entitled to recover the amount due under the mortgage in the High Court, and when passing a decree or thereafter the High Court may direct that the mortgaged vessel or share be sold in execution of the decree.

(3) Every registered mortgagee of a vessel or share who intends to recover the amount due under the mortgage by selling the mortgaged vessel or share under sub-section (1) shall give a notice relating to such sale to the Registrar of Indian vessel’s port of registry in such form as may be prescribed.

(4) The notice under sub-section (3) shall be accompanied with the proof of payment of the wages due to the seafarers in connection with their employment on that vessel.

Where this provision sits

ActThe Merchant Shipping Act, 2025
Section27
Marginal noteRights of mortgagee.
JurisdictionCentral
StatusIn force as published by the source

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