§817e. Financial responsibility for indemnification of passengers for nonperformance of transportation

(a) Filing of information or bond with Commission

No person in the United States shall arrange, offer, advertise, or provide passage on a vessel having berth or stateroom accommodations for fifty or more passengers and which is to embark passengers at United States ports without there first having been filed with the Federal Maritime Commission such information as the Commission may deem necessary to establish the financial responsibility of the person arranging, offering, advertising, or providing such transportation, or in lieu thereof a copy of a bond or other security, in such form as the Commission, by rule or regulation, may require and accept, for indemnification of passengers for nonperformance of the transportation.

(b) Issuance of bond when filed with Commission; amount of bond

If a bond is filed with the Commission, such bond shall be issued by a bonding company authorized to do business in the United States or any State thereof, or the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands or any territory or possession of the United States.

(c) Civil penalties for violations; remission or mitigation of penalties

Any person who shall violate this section shall be subject to a civil penalty of not more than $5,000 in addition to a civil penalty of $200 for each passage sold, such penalties to be assessed by the Federal Maritime Commission. These penalties may be remitted or mitigated by the Federal Maritime Commission upon such terms as it in its discretion shall deem proper.

(d) Rules and regulations

The Federal Maritime Commission is authorized to prescribe such regulations as may be necessary to carry out the provisions of this section. The provisions of the Shipping Act of 1984 [46 App. U.S.C. 1701 et seq.] shall apply with respect to proceedings conducted by the Commission under this section.

(e) Refusal of departure clearance

At the port or place of departure from the United States of any vessel described in subsection (a) of this section, the Customs Service shall refuse the clearance required by section 91 of this Appendix to any such vessel which does not have evidence furnished by the Federal Maritime Commission that the provisions of this section have been complied with.

( Pub. L. 89–777, §3, Nov. 6, 1966, 80 Stat. 1357 ; Pub. L. 103–182, title VI, §689(c), Dec. 8, 1993, 107 Stat. 2222 ; Pub. L. 103–206, title III, §320, Dec. 20, 1993, 107 Stat. 2427 ; Pub. L. 104–324, title VII, §746(c)(2), Oct. 19, 1996, 110 Stat. 3943 ; Pub. L. 105–258, title III, §302(a), Oct. 14, 1998, 112 Stat. 1916 .)

References in Text

The Shipping Act of 1984, referred to in subsec. (d), is Pub. L. 98–237, Mar. 20, 1984, 98 Stat. 67 , as amended, which is classified principally to chapter 36 (§1701 et seq.) of this Appendix. For complete classification of this Act to the Code, see Short Title note set out under section 1701 of this Appendix and Tables.

Codification

Section was not enacted as part of the Shipping Act, 1916, which comprises this chapter.

Amendments

1998-Subsec. (c). Pub. L. 105–258 substituted "it in its discretion" for "they in their discretion".

1996-Subsec. (d). Pub. L. 104–324 substituted reference to Shipping Act of 1984 for reference to this chapter.

1993-Subsec. (b). Pub. L. 103–206 struck out before period at end "and such bond or other security shall be in an amount paid equal to the estimated total revenue for the particular transportation".

Subsec. (e). Pub. L. 103–182 substituted "At the port" for "The collector of customs at the port" and inserted ", the Customs Service" after "subsection (a) of this section".

Effective Date of 1998 Amendment

Amendment by Pub. L. 105–258 effective May 1, 1999, see section 2 of Pub. L. 105–258, set out as a note under section 1701 of this Appendix.

Effective Date of 1996 Amendment

Section 746(c) of Pub. L. 104–324 provided that the amendment made by that section is effective Sept. 30, 1996.

Effective Date

Section 5 of Pub. L. 89–777 provided in part that this section is effective 180 days after Nov. 6, 1966.

Transfer of Functions

All offices of collector of customs, comptroller of customs, surveyor of customs, and appraiser of merchandise in Bureau of Customs of Department of the Treasury to which appointments were required to be made by President with advice and consent of Senate ordered abolished with such offices to be terminated not later than Dec. 31, 1966, by Reorg. Plan No. 1 of 1965, eff. May 25, 1965, 30 F.R. 7035, 79 Stat. 1317, set out in the Appendix to Title 5, Government Organization and Employees. All functions of offices eliminated were already vested in Secretary of the Treasury by Reorg. Plan No. 26 of 1950, eff. July 31, 1950, 15 F.R. 4935, 64 Stat. 1280, set out in the Appendix to Title 5.

Section Referred to in Other Sections

This section is referred to in section 289c of this Appendix; title 28 section 2342.