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Coast Guard continues to take aim at illegal charters

Illegal Charters
SOUTHERN CALIFORNIA — Boaters in San Diego, Orange County and Los Angeles beware: the feds are cracking down on unauthorized passenger-for-hire activities in local waters. If you own a recreational vessel of any size then it’s possible, maybe even likely, you’ve considered renting it out to a third party to make...
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15 Responses

  1. I see in the future small boat charters going the way of Uber and Lyft even if a Coast Guard Captains license is required. Authorities are more interested in the lost tax revenue than the issue of safety.

  2. As Uber demonstrates, consumers suffer when denied the opportunity to procure services from providers, like taxi cabs, that are governmentally regulated. Safety concerns are valid, but why not let the consumer decide if they want to pay extra to ride on a federally-regulated vessel. The rules seem to make it difficult to take my friends fishing and split costs. So, I only take my real good friends. I used to donate trips on my boat to charities to auction off in fund raising events. Now I learn that may be illegal, so I stopped doing that. Meanwhile, the Coast Guard spends its resources protecting the licensed operations from competition that benefits the consumer. And note that it benefits even the consumer who chooses to pay extra for a regulated provider, since even those regulated providers feel the effects of competition.

    1. Ahoy Rick. The Laws pertain to “Passengers for Hire” Ref: CFR 46. Monsys have to be exchanged, and if they are, then they are “Passengers for Hire”. Given that,
      when Passengers for Hire are onboard it is in fact a Charter, then CFR 46 kicks in and the laws are right there. It’s really quite simple. Problem is that woud be and unlicensed operators try to make exceptions and do their own interpretations, knowing that enforcement of the laws (CFR-46) has bee virtually nonexistent over too many years. ENFORCEMENT IS THE ISSUE.

    2. Not true ! The USCG does not spend its resources PROTECTING licensed Charter Operators. They will be spending their resources on protecting Charter CUSTOMERS for safety reasons – nothing to do with competition. There is no competition when the players are ILLEGAL. It;s not about competition, it is about Safety of life.

      1. In these comments you seem very concerned about the safety of others at sea…

        Are you not the SAME Alex G Balian who was court-martialed and convicted by the US Navy of failing to provide assistance to desperate boaters who eventually killed and ate each other to stay alive? 58 people died!? The irony is unbelievable! I’ll leave the link here for others to see: https://apnews.com/41e58addd89fd7426eb7abeebce7c39c

        The fact that you’re trying to run USCG licensed captains doing six pack charters out of business with your past record is insane… You shouldn’t even have a captain’s license.

    3. Are you sure about that? Last time I looked (and it’s been several years) there is no prohibition against taking your friends out boating ans splitting fuel, food and drink costs.

  3. Following up on Rick O.’s thoughts above, I too, have been donating rides on my boat to a favorite 501(c) organization through their ‘silent auction’ fund-raising efforts once a year. Where can I find out more about what the rules are regarding the legal implications of continuing to donate rides, even though I don’t receive any remuneration in regards to the rides from anyone, and especially the organization. My boat is only large enough to allow me to comfortably carry two passengers on these rides. Appreciate any helpful feedback……and, Thanks in advance.

    1. This is pure conecture. Authorities ARE interested in Safety. The problem is that even tough all required laws exist, enforcement of these laws DOES NOT EXIST.
      The losers and pirates that are getting away with violations will soon be held ACCOUNTABLE, as they should have been all along.

    2. IN this case, the donation is not a Charter. Why? Because monies are not exchanged, you are receiving no compensation, and your people on board are NOT “Passengers for Hire”. Al of this is laid out in CFR 46. Check out what the definition of “Passenger for Hire” is, and you will see that this is what determines whether or not the situation is in fact a Charter. Watch out what friends, other Businesses or even uninformed lawyers say. Many hardly know the rules at all.
      I say you are OK on your Donations based upon precisely what you say. Thanks.

  4. I would think this would drive the growth of owner/operator demise charter business. I’m not a maritime attorney but I believe that (1) if owner does not have anything to do with vessel operations during charter, (2) requires a USCG licensed captain, and (3) allows charterer to select their own captain, then its legal. Charterer is responsible for insurance. IMHO

    1. Thanks. You are talking about “Bareboat” Charters and what you say is true except for one thing. The Charterer must “Rent” the Yacht from the vessel owner.
      What we have in this Marina is that “Agents” (Primarily Sailing Organizations) are acting as owners or owner’s agents and doing the Chartering. This is illegal. Also remember that the owner of the vessel cannot be on board during a Bareboat Charter. All of this is covered in CFR 46,

    1. Our Naz*i government takes everything you will ever own and then murders you and your family (one way or another ie: poison food, water and air and wars etc… for them and their rich friends to get richer… or just for fun…

      I say let LEGAL Americans WORK for once vs doing everything possible to shut them down or at least take every cent they/we can make… There is NO freedom. The hell with this safety BS which is really ONLY all about taking your money…

    2. My experience over 27 years of Chartering (Legally) is that it depends upon what the investigating USCG Officer comes up with during his investigation. I have seen
      Warnings, first fines of $350.00, second fines of $750.00 and third offenses resulting in cessation of operations and removal of licensing . Lately, recommended fines are much greater ($3500.00) (5,00000) etc. The action of the Investigating Officer will determine the fine. Often, every case is different. More shoud be following from the USCG as the illegal charter operations issue continue to break ground and show their ugly heads. First step EXPOSURE, next step ACTION.

  5. Let the buyer decide who to hire. Enough already with this government red tape to ONLY make more tax / fine etc money. We have millions of laws to stop us from making money and to take any money we do make. How about getting down to about 10 laws that we all can know and live by? Let a jury decide intent, guilt and JUST punishment if / when any problem arises. WOW, freedom and real America with EQUAL justice for ONCE and for ALL. Hummm, never happen in our AmeriKA.
    LET LEGAL AMERICANS WORK for once dhaaa.

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