Ship Ownership and Possession

 

Generally 

Maritime transport and trade constitute a sector with its own unique legal regulations. The ownership and actual control of a ship are subject to different rules than those for land vehicles. In particular, the Turkish Commercial Code (TTK) and international maritime rules clearly define the boundaries between ship ownership and possession.

WHAT IS A SHIP OWNER?

Ship ownership refers to the right of ownership over a ship. The ship owner (proprietor) has the right to dispose of the ship; they can sell it, mortgage it, lease it, or transfer it to another person. In Turkish law, ship ownership is considered a real right and can be asserted against third parties after being registered in the ship registry.

What are the rights of a ship owner?

• Right to use the ship
• The right to earn income
• The authority to charter, sell, or mortgage the ship
• The authority to make all legal transactions regarding the ship.

What are the responsibilities of the ship owner?

• Maintaining the ship and ensuring its seaworthiness,
• Liability for damage and loss to the ship – in some cases, the captain and the owner are liable.
• Legal liability arising from accidents at sea.

WHAT IS SHIP POSSESSION?

Possession is the right to actually control and use a ship. The ship's owner may not always be the possessor. Under a charter agreement, the ship may be in the actual use of another operator. A captain or shipowner may be actually managing the ship, but the owner is someone else. Possession does not confer ownership; it only grants the right to actually dispose of the ship. Therefore, the possessor cannot sell or mortgage the ship.

Differences Between Ownership and Possession 

There are many differences between ownership and possession. The first distinction is legal status. Ship ownership is a real right, while ship possession is actual control. Regarding registration, ship ownership is registered in the ship registry, while ship possession, conversely, does not require registration. In terms of power of disposal, ship ownership includes rights such as sale, mortgage, and pledge, while ship possession only includes the right to manage and use the ship. Regarding continuity, in ship ownership, ownership is a continuous right, while in ship possession, possession is generally a temporary situation based on a contract.

The Relationship Between Ship Ownership and Possession

On a ship, the owner and the possessor may be different people. This is especially common in commercial shipping.

• The ship owner leases the ship to another company, making it available for their use. In this case, the ship owner is the proprietor, and the leasing company the possessor .
• Malik hands over the ship to the captain and crew, relinquishing actual control of the voyage to them.

Ship Ownership in Turkish Law

935 et seq. of the Turkish Commercial Code (TTK) , ownership of a ship, just like immovable property, registration in the ship registry . Registration protects the owner's rights and ensures transparency for third parties. Ship ownership can also be held jointly or in co-ownership by more than one person.

Ship Possession and Legal Protection

Ship possessors are the persons who actually manage or operate the ship. The protection of possession is guaranteed by the provisions of the Turkish Code of Obligations (TBK) and the Turkish Commercial Code (TTK )

• The possessor is protected against torts.

• When possession ends, the owner may request the return of the vessel.

In charter agreements in particular , the transfer of possession is clearly defined and this right is reclaimed at the end of the contract.

Conclusion 

Ship ownership and possession are crucial legal concepts in the maritime sector. The owner is the person with ultimate rights over the ship; the possessor is the person who actually manages and uses the ship. A correct understanding of this distinction is of paramount importance, particularly in ship sales and purchases, chartering agreements, and maritime accidents.

Gozdenur Turna