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HQ H012379

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June 11, 2007

VES-3-02:OT:RR:BSTC:CCI H012379 ALS

CATEGORY: CARRIER

Mr. Tom Perri
Manager Operations
Operational Area North America
Hoegh Autoliners, Inc.
500 North Broadway
The Jericho Atrium Suite 233
Jericho, New York 11753

Dear Mr. Perri:

This letter is in response to your request of June 6, 2007, with respect to the coastwise transportation of an individual. Our ruling is set forth below.

FACTS:

You ask whether an individual may be transported on the non-coastwise qualified M/V HOEGH DELHI (the "vessel"), from San Juan, Puerto Rico to Jacksonville, Florida. The individual will embark in San Juan on June 12, 2007 and will disembark in Jacksonville on June 15, 2007. The individual will be running “an internal training/awareness program “AllOnBoard,” reviewing “a number of guarantee claim reports to prepare for discussions between ourselves and the newbuilding [sic] yard,” and “perform a general technical inspection.”

ISSUE:

Whether the subject individual may be transported on the subject vessel pursuant to 46 U.S.C. § 55104.

LAW AND ANALYSIS:

Generally, the coastwise laws prohibit the transportation of passengers or merchandise between points in the United States embraced within the coastwise laws in any vessel other than a vessel built in, documented under the laws of, and owned by citizens of the United States. Such a vessel, after it has obtained a coastwise endorsement from the U.S. Coast Guard, is said to be "coastwise qualified."

The coastwise laws generally apply to points in the territorial sea, which is defined as the belt, three nautical miles wide, seaward of the territorial sea baseline, and to points located in internal waters, landward of the territorial sea baseline.

The coastwise law applicable to the carriage of passengers between Puerto Rico and other ports in the United States is found in 46 U.S.C. § 55104 (recodified by Pub. L. 109-304, enacted on October 6, 2006) and provides in pertinent part the following:

Exemption. Except as otherwise provided in this section [herein inapplicable], a vessel not qualified to engage in the coastwise trade may transport passengers between a port in Puerto Rico and another port in the United States.

You state that the subject individual will be running “an internal training/awareness program “AllOnBoard,” reviewing “a number of guarantee claim reports to prepare for discussions between ourselves and the newbuilding [sic] yard,” and “perform a general technical inspection.” You also state that the subject individual will embark in San Juan, Puerto Rico and disembark in Jacksonville, Florida. As clearly provided for in section 55104, the subject vessel, as a non-coastwise-qualified vessel, may transport passengers between Puerto Rico and other ports in the United States. Therefore, the transportation of the subject individual on the subject vessel from San Juan, Puerto Rico to Jacksonville, Florida is not a violation of the coastwise laws pursuant to 19 U.S.C. § 55104.

HOLDING:

The transportation of the subject individual on the subject vessel from San Juan, Puerto Rico to Jacksonville, Florida is not a violation of the coastwise laws pursuant to 46 U.S.C. § 55104.

Sincerely,

Glen E. Vereb

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