Convention on International Effects of Judicial Sales of Ships
UNCITRAL, which of CMI have provided the initial draft approves convention on “International Effects of Judicial Sales of Ships”. The project was started in 2008 and finalised in 2014, was approved as the Beijing Draft by the 55th session of the Commission in New York. The Commission yesterday also adopted a recommendation to the General Assembly of the UN for the adoption of the Convention.
It was in 2018 that UNCITRAL was persuaded to take on this project because it appreciated that international maritime trade and in particular purchasers of ships in judicial sales and their financiers deserved certainty when purchasing vessels free and unencumbered in judicial sales. It was only this certainty which gave peace of mind and in turn guaranteed the best price for the benefit of competing creditors and the defaulting owner himself.