Maritime Liens
A maritime lien is a lien on a vessel, given to secure the claim of a creditor who provided maritime services to the vessel or who suffered an injury from the vessel's use. Maritime liens are sometimes referred to as tacit hypothecation. Maritime liens have little in common with other liens under the laws of most jurisdictions.
The maritime lien has been described as "one of the most striking peculiarities of Admiralty law". A maritime lien constitutes a security interest upon ships of a nature otherwise unknown to the common law or equity. It arises purely by operation of law and exists as a claim upon the property concerned, both secret and invisible, often given priority by statute over other forms of registered security interest. Although characteristics vary under the laws of different countries, it can be described as:
- a privileged claim,
- upon maritime property,
- for service to it or damage done by it,
- accruing from the moment that the claim attaches,
- travelling with the property unconditionally,
- enforced by an action in rem.
Read more about this topic: Lien