Shipping Services

Advantages of the Panama Mortgage

  • Amounts guaranteed by the mortgage. covers capital plus interests, attorneys’ fees, collection Expenses.

  • Interest – No maximum interest rate.

  • Value of the vessel in the event of an auction. Not be limited by the vessel’s market value.

  • Marginal notes. It is not required to allow to secure future obligations.

  • Revolving credits. Will no affect the validity or existence of the mortgage.

  • Substitution of borrower. Possible without having to discharge.

  • Sale of Vessels. – Give notice of 20 days and all credits and liens on the vessel are extinguished after six months

  • Possession and Management of the Vessel.

For initial registration, the Provisional Navigation Patent and Radio License are valid for a period of 6 months.

For new building vessels (or under construction), required documents include Application Form A, Copy of Builder Certificate or Builder Statement, and Copy of POA issued by the ship owner, legalized by Notary Public and/or Panama Consulate or Apostille.

For vessels coming from another registry, required documents include Application Form A, Copy of the SMC of the vessel under currently registry, Copy of ITC of the vessel under current registry, if the vessel has less than 15 years of keel laid to obtain discount on Panama registration fees.

Statutory Navigation Patent and Radio License are valid for 5 years.

Required documents include Builder´s Certificate of the vessel is a newly built or Deletion Certificate from previous registry, Bill of Sale issued by the Seller in favor of Buyer, Acceptance of Sale issued by the Buyer, POA issued by the Buyer as owner, Copy of interim or full ITC of the vessel issued on behalf of Panama Registry and Filled-in Ship Station License application form.

Provisional registration valid for 6 months and Permanent registration valid for 5 years.

Requirements to obtain Provisional Navigational documents with vessel´s new name valid for 6 months include Vessel´s new name to confirm if it available, Copy of Consent Letter issued by the Mortgagee (if any) and Copy of valid SMC of the vessel.

Documents required to obtain Statutory Navigation documents with vessel´s new name valid for 5 years include Original Consent Letter issued by the Mortgage (if any), Copy if the interim or full-term ITC with vessel´s new name, Copy of valid SMC with vessels new name, and Filled-in Ship Station License application form.

Provisional Navigational documents with vessel´s new name valid for 6 months and Statutory Navigation documents with vessel´s new name valid for 5 years.

Requirements to obtain Provisional Navigational documents with vessel´s new name valid for 6 months include New owner´s name and complete address, Copy of Consent Letter issued by the Mortgagee, POA issued by the Buyer as new owner and Copy of valid SMC of the vessel.

Documents required to obtain Statutory Navigation documents with vessel´s new name valid for 5 years include Bill of Sale issued by the registered owner in favor of the new owner; Acceptance of Sale issued by the New owner, POA issued by the new owner, Copy of Valid SMC of the vessel with the ship manager appointed by the new owner, and Filled-in Ship Station License application form.

A vessel which is registered under a foreign flag may be registered as well in the Panamanian Ship Registry, without losing the vessel´s original (mother) registry.

This special registration is allowed for renewable periods of 2 years and is subject to the consent of the mother registry and the shipowner.

The following documents must be presented for this type of enrollment: Power of Attorney issued by the shipowner appointing a Panamanian Resident Agent, Certificate of the Mother Registry´s Consent, Shipowner´s Consent Letter, Mother Registry´s Vessel Certificate indicating Mortgages and Encumbrances (if any), True copy of the Charter Party Agreement, and Radio License Application Form duly filled in.

Vessels Registered in Panama can be enrolled in a Special Foreign Registry, without losing their capacity as Panamanian Vessels.

Renewable periods of 2 years.

Panamanian vessels registered in this Special Foreign Registry will be subject to all the legal and fiscal obligations of Panama; and their owners may not register, in any registry other than the Panamanian, the title deeds and mortgage encumbrances to which such vessels are subject.

The following documents and information are required: Vessel´s name and True copy of the Charter Party Agreement.

This registry allows the enrolment of a vessel for a period of up to three months for ultimate scrapping, for a delivery voyage or any other kind of temporary navigational purpose.

The vessel will be deleted by operation of law at the end of the three-month period at no cost, but the interested party may, at any moment, request such deletion by way of filing a petition thereof and effecting payment of the regular deletion of governmental fees.

The registration of title of ownership or mortgages is optional for this type of registration.

This type of special registration was created to mitigate the financial burden of the shipping business crisis of recent years.

Valid for 1 year and it can be renewed.

Mortgages can be registered preliminary at the time of vessel’s delivery together with the provisional registration of ownership title bilateral or unilateral with validity of six months.

The mortgage document with signatures of both mortgagee and mortgagor duly notarized by Public Notary and apostilled. Should be presented for permanent registration for Public Registry of Panama.

However, Morgan are also in position to provide in any given case a direct and immediate registration of permanent mortgage instead of preliminary one.