HaraldOslo Posted May 22, 2014 #1 Share Posted May 22, 2014 Royal Caribbean was 600.000 NOK (around $100.000) behind in fees so earlier today the ship was held by officials until RCI could arrange for payment. http://www.kystverket.no/Nyheter/2014/Mai/Tar-arrest-i-cruiseskip/ (unfortunately the article is only in Norwegian, but a translation is below) Bailiff took the day arrest in cruise ship Independence of the Seas, docked in Ålesund. This happened against the background of large outstanding claims to the NCA. (Norwegian Costal Authority) The claim concerned the pilot fees and security fees from several sailings completed in 2013. The plan amounts to around NOK 600 000, -. The fees should be paid in mid-October last year. Pilotage service is 100% user funded, and NCA is therefore dependent on getting payment for their services in a timely manner. Delayed payment from some cruise lines have been a problem. NCA administration has for several years been working to overcome this. - Sometimes it's been many months, even years, before the outstanding has been paid. We can not operate like this, says Department for maritime safety in the NCA, Arve Dimmen. Cruise Ship owners make use of shipping agents, who takes care of administrative tasks in connection with the sailings. Usually it is the ships agents conducting the payment for NCA services on behalf of shipowners. For recovering the outstanding NCA has over the past year intensified efforts to contact the shipping companies with the worst payment history directly. The work has resulted in about half of the outstanding from the cruise ship owners are paid. - This is a resource-intensive way of working, and we now want to increase the pressure so that we avoid this in the future, said Dimmen. The captain contacted the company immediately after the bailiff had delievered his message. Within an hour, the debt was paid and the vessel was released. - We are pleased that this company has now sorted things out. Many shipping companies have their offices abroad, and is therefore sometimes difficult to reach. The proposed new piloting law, which is pending in Parliament, it is suggested that the agent should share the responsibility for paying pilot fees with shipping companies. It would then make it easier for the NCA to hold the agent responsible. Facts: All vessels over 70 meters, after lospliktforskriften, required to use a pilot to ensure safe voyage along the Norwegian coast. The Norwegian pilot service run by the NCA. It is 100% user funded. NCA has a lien, called a maritime lien on such claims. It has duration of one year after the claim arose. Maritime Liens give the NCA a higher priority for recovery of the claim. The long-standing problem of outstanding claims made that the NCA now require arrest on the basis of a maritime lien. When a ship is detained, it means that the ship can not go pier. An arrest is decided by the court, at the request of the NCA. The seizure will only cease when the NCA has received payment or satisfactory security for the claim. Link to comment Share on other sites More sharing options...
KirkNC Posted May 22, 2014 #2 Share Posted May 22, 2014 Yikes, sure we will hear more about this. Link to comment Share on other sites More sharing options...
jackaboo Posted May 22, 2014 #3 Share Posted May 22, 2014 uh oh!! I'm sure RCI will easily pay that money, no? Link to comment Share on other sites More sharing options...
Ken at the beach Posted May 22, 2014 #4 Share Posted May 22, 2014 uh oh!! I'm sure RCI will easily pay that money, no? The OP translated the article that said it was paid within the hour. Obviously got their attention. Link to comment Share on other sites More sharing options...
HaraldOslo Posted May 22, 2014 Author #5 Share Posted May 22, 2014 uh oh!! I'm sure RCI will easily pay that money, no? "Within an hour, the debt was paid and the vessel was released" So yes, it's not that they don't have the money, but sometimes the logistics of a very large multinational company makes bills get a bit lost. I'm glad they sorted it out and I look forward to seeing the ship when it stops in Oslo Link to comment Share on other sites More sharing options...
PH8 Posted May 22, 2014 #6 Share Posted May 22, 2014 Another article about it.............basically the same facts,but a few more added.. A newspaper in Norway reports today that a pilot association seized the Independence of the Seas for non-payment of the association's fees. The association petitioned a court in Norway to detain the cruise ship. A local bailiff served the arrest papers today. The Independence of the Seas was in Alesund, Norway at the time of the legal action. In the U.S., vessels can be seized for non-payment of provisions and services such as pilotage fees, crew member wages, food and fuel. The vendors and service providers have a maritime lien for the goods and services. Norway has a similar legal provision permitting the courts to "arrest" a vessel when it refuses to meet its financial obligations to creditors and satisfy the maritime lien. If the lien is not satisfied, the vessel can be sold at auction. "Vessel arrest" is a common legal remedy to collect money from fly-by-night maritime owners and operators which try to avoid paying their debts to third parties. . In Norway, as well as many other countries, local pilots are required to be at the helm of a ship that enters the local waters of the country. The shipping companies are required to pay the pilots who are more familiar with the local waters. The pilot association, NCA , issued a press release, stating that the pilot and security fees from several cruises have been owed since at least last October. The newspaper says that the lien was for around NOK 600,000 which is approximately $100,000 U.S. NCA says in its press release that non-payment or delayed payment from some cruise lines have been a major problem and the the association has been unable to convince the cruise lines to pay punctually. The association has been unable to convince certain companies with the worst payment history to meet their obligations voluntarily. A representative of the association was quoted saying that sometimes it's been many months, up to a year before the outstanding amounts have been paid. How can we operate? The newspaper further states that once the arrest papers were served on the cruise ship, the captain contacted Royal Caribbean which paid the lien (as well as court costs and interest) within one hour. The cruise ship was then released by the local marshal and was free to sail. Link to comment Share on other sites More sharing options...
Canadian Tyler Posted May 22, 2014 #7 Share Posted May 22, 2014 (edited) I heard it was detained because someone wore jeans to the dining room. ;) Edited May 22, 2014 by Canadian Tyler Link to comment Share on other sites More sharing options...
roysmith99 Posted May 22, 2014 #8 Share Posted May 22, 2014 If I waited a year to collect debts in my business, I would, not have one. Link to comment Share on other sites More sharing options...
Rare MandyMooToo Posted May 23, 2014 #9 Share Posted May 23, 2014 I heard it was detained because someone wore jeans to the dining room. ;) Ha ha ha! Thank you, I needed a laugh after the crappy day I've had!!! :D Link to comment Share on other sites More sharing options...
Ocean Boy Posted May 23, 2014 #10 Share Posted May 23, 2014 (edited) So now we all know how to get RCI's attention when we are unhappy about something, just arrest one of their ships. Edited May 23, 2014 by Ocean Boy Link to comment Share on other sites More sharing options...
Missus Makkem Posted May 23, 2014 #11 Share Posted May 23, 2014 So now we all know how to get RCI's attention when we are unhappy about something, just arrest one of their ships. Let me know when you intend to do it and will be there with a camera crew, should make good copy. Link to comment Share on other sites More sharing options...
Missus Makkem Posted May 24, 2014 #12 Share Posted May 24, 2014 Lets get together on this one Link to comment Share on other sites More sharing options...
Missus Makkem Posted May 24, 2014 #13 Share Posted May 24, 2014 Lets get together on this one How about the Norwegian take on this story. Link to comment Share on other sites More sharing options...
knittinggirl Posted May 24, 2014 #14 Share Posted May 24, 2014 (edited) We were in Alesund earlier this month, so I'm glad this didn't happen to our ship! Can't help wondering if Royal was ready to hit the send button on the payment since it got done so fast. The whole thing is so strange to me, especially since they get the port charges from us 3 months before sailing. I wonder if there's enough money on the ship to pay the fine? Probably not. Edited May 24, 2014 by knittinggirl Link to comment Share on other sites More sharing options...
Missus Makkem Posted May 24, 2014 #15 Share Posted May 24, 2014 It did not seem to be port charges but money owed to the Norwegian pilots association Link to comment Share on other sites More sharing options...
Paulxyz2004 Posted May 24, 2014 #16 Share Posted May 24, 2014 We were in Alesund earlier this month, so I'm glad this didn't happen to our ship! Can't help wondering if Royal was ready to hit the send button on the payment since it got done so fast. The whole thing is so strange to me, especially since they get the port charges from us 3 months before sailing. I wonder if there's enough money on the ship to pay the fine? Probably not. Not sure why you are glad it happened to your ship? This was according to the article resolved in one hour and I´m pretty sure non of the passengers was affected or even got notice of it. Although I doubt a single Dollar changed Hands as cash, the ship likely has way more than 100K in cash onboard. They run a Casino onboard using cash, they deal with passengers paying their accounts in cash, they do currency exchanges and the biggest part they pay their crew in cash. Link to comment Share on other sites More sharing options...
jwm51 Posted May 24, 2014 #17 Share Posted May 24, 2014 I heard it was detained because someone wore jeans to the dining room. ;) I need help here...;) Still can't find that LIKE button!:D:p Link to comment Share on other sites More sharing options...
Cat_Woman Posted June 6, 2014 #18 Share Posted June 6, 2014 I was on board this cruise and didn't know anything about it until reading these reports !;) Certainly no delay in leaving Alesund! Link to comment Share on other sites More sharing options...
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