When it comes to buying a boat, there are many factors to consider in addition to the cost of the vessel. How an abstract of title will apply to your vessel, in particular, is an essential aspect to take into account. An abstract of title is a history of the vessel and may provide you with information on all of the significant events that have occurred over its lifetime. You need to be familiar with the topics covered in the abstract to avoid any problems further down the line. An attorney will be an invaluable resource for you when it comes to figuring out what an adequate abstract contains and getting assistance translating complicated legal language. Here are ways that an abstract of title can help you protect your property and ensure that you comply with USCG regulations.
The Abstract of Title Can Be Used as Proof of Ownership if the Boat Is Stolen or Lost at Sea.
According to wi.gov, many people who own boats are unaware that they could lose ownership of their vessel if they are not careful. You can avoid dealing with a boat that has been stolen if you buy an abstract of title, which is official documentation proving that you own your boat and can be purchased. An abstract title can be considered a kind of background check for boats and other water vessels.
The United States Coast Guard (USCG) requires boat owners to produce an abstract for any boat sold or transferred to protect against unauthorized changes in boat ownership. If a boat is stolen or missing at sea, an abstract can serve as ownership proof until the boat is found again. Whether you have a small powerboat, a yacht, or a sailboat, you know the value that each of these vessels carries because you own one. The pride that comes with ownership of something can sometimes be a double-edged sword.
It Can Be Used as a Means to Establish Clear Title if the Original Owner Files for Bankruptcy.
When individuals acquire a secondhand vessel of any sort, they often fail to remember to verify the title to the vessel before making the purchase. Nothing could be more crucial than ensuring that your title to the vessel is clean and valid. The United States Coast Guard (USCG) advises potential purchasers to check the information included in an abstract of title with the state agency that issued it to avoid any unpleasant surprises. This way, you will be able to search for liens that may have been placed against it, such as unpaid taxes, payments for child support, or other obligations that may make it difficult for you to register the boat or use it in any way. When making an offer on a used boat, you should insist on obtaining a copy of the outstanding documentation immediately. Ensure to get a marine insurance agent or your attorney to review the documentation before purchasing the boat.
It Can Help Prevent Fraudulent Activities Involving the Sale or Transfer of a Boat.
Do you know how the bill of sale you sign can help prevent fraud from those who purport to purchase your boat? An abstract of the title provides the solution. Anyone who has worked in the maritime industry will attest that this document may be quite helpful in preventing false claims from being made on a vessel. The sale or transfer of a boat is subject to various rules set out by the United States Coast Guard (USCG). This data includes the vessel’s name and any related information, such as the owner, that is connected to the hull number. A suitable hull identification number (HIN) must be applied to the boat, and an abstract of the title must be submitted to the USCG for a vessel owner to comply with these laws. Any of the 50 states or the District of Columbia may issue an abstract of title. As such, they’re regarded as legal documents.
It Can Be Used as Evidence in the Event of a Dispute Over Ownership of the Vessel.
When it comes to the ownership of a vessel, it is essential to have evidence of ownership and proof of any changes in ownership that may have occurred. If there is a disagreement over who the owner of the vessel is, or if you want to demonstrate that you are lawfully in possession of the vessel, you may use this as evidence. An abstract of title is a kind of document that compiles all of the essential details about the legal ownership of a vessel into one convenient location.
If you’re unsure whether you need an abstract of title or if you want to find out more about how they can benefit your business, it’s always wise to grab the phone and call a representative at the Maritime Documentation Center at 800-535-8570. They can walk you through the steps and ensure that your business is covered.