3.2 The consequences – public law and private law
The flagging-in is regulated in MC Section 40. The consequences of such registration are briefly stated in paragraphs three and four:
“A vessel registered in accordance with this Section is subject to Norwegian jurisdiction and shall fly the Norwegian flag.
Mortgages and other proprietary rights in a bare boat registered vessels cannot be registered.”
In addition, paragraph five entitles the Ministry of Trade, Industry and Fisheries to impose further rules “on bare boat registration, hereunder requirements to the bare boat charter party, documentation and process”. This has been done by amendments in Regulation 593/1992 on the registration of vessels in the Norwegian ordinary ship register (NOR).
The public law aspect is explained in the travaux preparatoires in this way:
“The bare boat state has an exclusive right to exercise jurisdiction and control over the vessel, and as a result it will be subject to the law of the bare boat state regarding operation, security, manning and environment. The vessel will fly the flag of the bare boat state for the period that the vessel is on bare boat charter” (Prop. 32 L (2019‑2020) s. 20).
What is not specifically mentioned, but is obviously included, is criminal law jurisdiction in conformity with the rules in the Penal Code.(1) See Penal Code (Act 28/2005) Section 4 letter c: The criminal legislation applies to acts committed “on Norwegian vessels including aircraft, and drilling platforms or similar moveable installations. If a vessel or installation is in or above the territory of another state, the criminal legislation applies only to an act committed by a person on board the vessel or installation”. A vessel flying the Norwegian flag is in this respect “Norwegian” – see the United Nations Convention on the Law of the Sea (UNCLOS) of 1982 Art. 91. On reservations regarding requisitions, cf. Sæther op.cit. p. 43. This question is mentioned in Prop. 32 L (2019‑2020) p. 19: The Ministry “agrees that it should be considered whether there is a need to amend the Act on Requisition [Act June 29 1951 No. 19] Section 1 under which ships may be requisitioned”.
The private law consequences are summarized in the travaux preparatoires:
“[O]wnership and rights remain registered in the primary state during the whole period the vessel is bare boat registered” (Prop. 32 L (2019‑2020) p. 5).
“Rights” include voluntary rights (typically sales contracts and mortgages) as well as liens (maritime/enforcement liens) and conservatory attachments.