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Old 11-03-2023, 15:44   #1
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Transfer of boat ownership Panama/CR

A friend has recently purchased a boat that is located in Costa Rica with a US registration, is it possible to leave the country and enter Panama under a new registration? The boat will be changed to a UK registration.

Or would it be easier to change the registration once in Panama and enter Panama as the captain of the ship (with permission from the previous owner). Does anyone have any experience with changing boat registration in Panama/ Costa Rica?

Thanks in advance
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Old 11-03-2023, 16:41   #2
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Re: Transfer of boat ownership Panama/CR

I am going to assume that the vessel is US documented [Federally flagged], and not US State registered and / or titled. Registration or Titling, and documentation are not the same.

The US documented [flagged] vessel will need to have a deletion of documentation with the US Coast Guard's National Vessel Documentation Center before it can become registered as a UK flagged vessel.

Reference link:

https://www.dco.uscg.mil/Portals/9/DCO%20Documents/NVDC/Deletion_from_Documentation.pdf?ver=19YTB6iy8_Ufl3 2Jp9L2FQ%3d%3d

DELETION FROM DOCUMENTATION

A vessel may be deleted from documentation upon the request of the vessel owner or an authorized agent on behalf of the owner. The request must be in writing and must include the vessel’s official number and reason for deletion. The original Certificate of Documentation (COD) is to be returned by the owner named on the certificate.

The seller of the USA flagged vessel must request the deletion of documentation, not the buyer.

1. Please provide evidence of sale or transfer AND a statement indicating the
nationality of owner and/or country in which vessel will be flagged (in the event the vessel is being sold to a non-US citizen(s) or being flagged in a foreign country).
Evidence of sale is required in the event vessel is sold foreign as per 46 CFR
67.171(c)(1). Reference link: https://www.ecfr.gov/current/title-46/chapter-I/subchapter-G/part-67/subpart-L/section-67.171 Also copied below.

2. A Certificate of Documentation (COD) is invalid and the vessel subject to deletion from the roll of actively documented vessels when any of the situations listed in 46 CFR 67.171 occurs.
3. An original OR a copy of a release instrument signed by the mortgage holder (mortgagee) is required before the vessel can be removed from documentation if the vessel is covered by an outstanding mortgage of record.

Liens must be released by the lien holder before deletion of documentation can occur upon change of ownership.
4. Vessels of five net tons or more (determined by volume) used in fishing activities on the navigable waters of the U.S. or in the Exclusive Economic Zone (EEZ), or used in the coastwise trade must be documented unless the vessel is exempt from documentation. See 46 CFR 67.9 for a list of exemptions.
5. If a letter evidencing removal from documentation is required, include that
information in the letter request with fee of $15.
ONe should obtain evidence of removal of documentation so as to facilitate the process of registering with the new country the vessel will become registered and flagged.
6. If the request for deletion is accompanied by a complete, original or copy of a bill of sale and $8 per page filing fee, it may be recorded to evidence transfer of ownership.
Instructions:
1) Fillable forms can be found on our website at: http://www.uscg.mil/nvdc
2) Checks and money orders payable to U.S. Coast Guard, or credit card payments with accompanying CG-7042 Authorization for Credit Card Transactions are also accepted and must accompany your application. Fees are non-refundable as per 46 CFR 67.500(d).
3) Documents may be mailed to the NVDC using the information above or sent via email to: NVDC.PDF.FILING@uscg.mil.


US 46 CFR
§ 67.171 Deletion; requirement and procedure.

(a) A Certificate of Documentation together with any endorsement(s) thereon is invalid, except as provided in § 67.161, and the vessel is subject to deletion from the roll of actively documented vessels when:

(1) The vessel is placed under foreign flag;

(2) The vessel is sold or transferred in whole or in part to a person who is not a citizen of the United States within the meaning of subpart C of this part;

(3) Any owner of the vessel ceases to be a citizen of the United States within the meaning of subpart C of this part;

(4) The owner no longer elects to document the vessel;

(5) The vessel no longer measures at least five net tons;

(6) The vessel ceases to be capable of transportation by water;

(7) The owner fails to exchange the Certificate as required by § 67.167;

(8) The owner fails to maintain the markings required by subpart I of this part;

(9) The endorsements on the Certificate are revoked because the vessel owner is the subject of an outstanding civil penalty assessed by the Coast Guard; or

(10) The owner fails to:

(i) Renew the endorsement(s) as required by § 67.163; or

(ii) Comply with the provisions of § 67.165.

(b) Where a cause for deletion arises for any reason under paragraphs (a) (1) through (6) of this section, the owner must send or deliver the original Certificate of Documentation to the National Vessel Documentation Center together with a statement setting forth the reason(s) deletion is required.

(c) When a Certificate of Documentation is required to be deleted because the vessel has been placed under foreign flag or has been sold or transferred in whole or in part to a non-citizen of the United States, the owner of that vessel must comply with the requirements of paragraph (b) of this section, and file:

(1) Evidence of the sale or transfer, if any; and

(2) Evidence that the Maritime Administration has consented to the sale or transfer, except for vessels identified in § 67.11(b) and vessels for which the Maritime Administration has granted approval for unrestricted sale or transfer pursuant to regulations set forth in 46 CFR part 221.

(d) A certificate evidencing deletion from U.S. documentation will be issued upon request of the vessel owner to the National Vessel Documentation Center upon compliance with the applicable requirements of this subpart.

[CGD 89-007, CGD 89-007a, 58 FR 60266, Nov. 15, 1993, as amended by CGD 94-008, 59 FR 49847, Sept. 30, 1994; CGD 95-014, 60 FR 31605, June 15, 1995]
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Old 11-03-2023, 17:44   #3
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Re: Transfer of boat ownership Panama/CR

The Colon customs office would be your best source of reliable advice.
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Old 11-03-2023, 18:33   #4
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Re: Transfer of boat ownership Panama/CR

If your friend will be flagging the boat with the UK, neither Costa Rica or Panama will have involvement. But your friend will need to have proper documentation of ownership and of flag state to enter Panama, but if the boat is in Costa Rica, then it should not need to be reentered so it may be easier to remain in Costa Rica and avoid having to deal with customs clearance without completed new flagging and proper proof of ownership documents.

Deletion of documentation with the US Coast Guard will need to precede flagging with the UK. It will take quite a bit of time to have the processes and paperwork completed and delivered by the US [days or weeks] and by thence by the UK.

Presently the NVDC is running a few months back log on processing satisfaction of lien documentation, so if the US flagged vessel had a mortgage filed, clearing that record will take several months and then with the lien cleared a deletion of documentation can be pursued freeing up the vessel to be reflagged with the USA.

Paperwork, must all be in order and in proper progression.

FYI: Entry formalities to Panama

https://www.noonsite.com/place/panama/formalities/
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