Glossary

Oil Pollution Preparedness, Response and Co-operation 

The registered owner of a vessel who can charter the vessel out to others.

The largest ship size that is allowed to transit the Panama Canal. Ships' lengths are restricted to 275 metres, maximum permitted width is slightly more than 32 metres, and maximum permitted fresh water draught is 12 metres. This ship size is about 60,000-80,000 DWT.

A Power of Attorney is a document that gives someone else the authority to act on your behalf on matters that you specify. The power can be specific to a certain task or broad to cover many financial duties.

Flag States are responsible for ensuring that ships under their flag comply with their requirements, and a number of certificates are prescribed in the SOLAS Convention and other Conventions as proof of compliance. Port State Control (PSC) provisions also allow Contracting Governments to inspect the ships and equipment of other Contracting States for compliance with the requirements of the Convention - this procedure is known as Port State Control. See also MOU.

A container carrying vessel specially constructed to carry refrigerated cargo.

Red Ensign Group (REG), Includes the 5 Category 1 British Registers (UK, Bermuda, Cayman, Gibraltar and Isle of Man) and the 8 Category 2 British Registers (Anguilla, British Virgin Islands, Falkland Islands, Guernsey, Jersey, Montserrat, St. Helena and Turks and Caicos Islands). The Category 1 Registries may register vessels of any size, type or age whilst the Category 2 Registries are restricted to registering vessels up 150 GT (the British Virgin Islands can register cargo vessels up to 150 gross tones and yachts up to 500 gross tones). The REG meets annually in one of the member countries.

Under section 5 of the Merchant Shipping Law (2005 Revision) a ship owned by a non-resident individual or company may only be registered if a Representative Person is appointed locally for the purpose of receiving notices and other documents pertaining to the non-resident ship-owner. A non-resident company is defined as a company that is not incorporated locally and does not having a place of business in the Cayman Islands. See also Authorised Person.

Registro Italiano Navale 

A ship that is constructed to allow cargo to be driven directly on and off board using trucks, forklifts and other equipment.

Recognised Security Organisation 

The post of Shipping Master is a statutory post under the Cayman Islands Merchant Shipping Law. He has to administer the provisions of the Law relating to areas such as superintendence and facilitation of the engagement and discharge of crew, payment of wages and other emoluments to seamen, to their families, treatment of distressed seamen, enquiries into the disputes of seamen and ship-owners relating to service conditions, wages, and the recording of birth and deaths occurring on ships and, where necessary, enquiries in such matters.

Safety Management Certificate

The International Convention for the Safety of Life at Sea (SOLAS), 1974 as amended specifies minimum standards for the design, construction, equipping and operation of ships, in respect of their safety.

Shipboard Oil Pollution Emergency Prevention

Segregated Portfolio Company (SPC). Section 232 of the Companies Law (2004 Revision) enables a Company, as a single legal entity, to segregate assets and liabilities between segregated portfolios (SP) established within the Company. Although each segregated portfolio must be separately identified they are not separate legal entities apart from the Company. The Cayman Islands law provides that assets and liabilities of each portfolio are legally separate from those of another SP. Therefore, creditors of an SP have recourse to the assets of that particular SP, and to any general assets of the Company (being assets not belonging to any particular SP) exceeding the Company’s minimum capital requirements, if the assets of that particular SP are insufficient to meet the creditor’s claim.

Special Purpose Vehicles (SPV), also known as "bankruptcy-remote entity" or “special purpose entity” is a legal entity created by a firm (known as the sponsor/originator) by transferring assets to the SPV to carry out a specific purpose or circumscribed activity, or a series of such transactions. Operations are therefore limited to the acquisition and financing of specific assets. SPVs can make no substantive decisions and have no physical location. The SPV is usually a subsidiary company with an asset/liability structure and legal status that makes its obligations secure even if the parent company goes bankrupt.

Ship Security Assessment 

Ship Security Plan

International Convention on Standards of Training, Certification and Watchkeeping for Seafarers (STCW), 1978 as amended.

Suppression of Unlawful Acts

Vessels of about 120,000-150,000 DWT. Typically includes vessels with load capacities of 1 million barrels of crude oil. Also the maximum ship size that is allowed to transit the Suez Canal fully loaded.

Larger pleasure yachts, usually defined as in excess of 24 metres in length. Other terms that are used to describe larger pleasure yachts include mega-yacht and giga-yacht.

A certificate stating the size of a vessel expressed in tons; not necessarily based on weight. “National Tonnage Certificates” are issued to vessels under 24 metres and “International Tonnage Certificates” are issued to vessels 24 metres and over.

“Ultra large crude carriers” (ULCC) of about 300,000 - 550,000 DWT. Typically used for carrying crude oil on long-haul routes from the Arabian Gulf to Europe, America and the Far East via the Cape of Good Hope, normally discharging at custom-built terminals.

UN Convention for the Law of the Sea 

United States Coast Guard

Very Large Crude Carriers