Procedure requirements for EMCI practitioners

VERSION 3 (JUNE 2017)
1. GENERAL PROCEDURE REQUIREMENTS EMCI REGISTERED AND CERTIFIED MARITIME BROKER
  • The broker will always act as necessary and / or for which the broker has obtained a specific assignment.
  • An assignment is recorded by the broker in a written brokerage agreement.
  • The broker puts a fixed transaction been concluded between the parties in a written agreement of purchase and sale.
  • The broker puts any additions, changes and exceptions to the brokerage contract and / or agreement of purchase and sale into written attachments or in a separate settlement agreement.
  • The brokerage agreement contains at least agree on the brokerage fee)s), the other costs of the brokerage, the conciliation procedure and activities, termination and cancellation.
  • The EMCI code of conduct and the EMCI rules for complaints and disciplinary action apply.
2. GENERAL PROCEDURE REQUIREMENTS EMCI REGISTERED AND CERTIFIED MARITIME SURVEYOR
  • The surveyor carries out in the broadest sense of the word all acts necessary and / or needed during a specific assignment.
  • An assignment is obtained by the expert and confirmed by a written assignment or agreement.
  • The surveyor explains the decision in a written report this is accompanied by an oral report.
  • The surveyor explains any additions and exceptions to the assignment, agreement or the order confirmation and / or written reports stuck in appendices, an additional report or a separate settlement agreement.
  • The assignment or agreement or order confirmation contains at least agree on the fee, the remaining costs of the assignment, the nature and scale work, the research methodology and applicable standards (criteria), termination and cancellation.
  • The EMCI code of conduct and the EMCI rules for complaints and disciplinary action apply.
3. GENERAL PROCEDURE REQUIREMENTS EMCI REGISTERED AND CERTIFIED HARBOURMASTER
  • The harbourmaster performes in the broadest sense of the word all acts necessary and / or for which the harbourmaster has received a specific assignment or as laid down in his job and task description.
  • The harbourmaster applies the port regulations.
  • The EMCI code of conduct and the EMCI rules for complaints and disciplinary action apply.
4. PROCEDURE REQUIREMENTS ESCROW MANAGEMENT
  1. All EMCI Maritime Practitioners have the obligation to separate escrow capital from private capital and the companies capital.
  2. If escrow capital is handled by an EMCI Maritime Practitioner the escrow capital is to be managed by dedicated escrow management procedures and routed via an independent legal body with its own escrow account.
  3. EMCI authorized escrow management solutions:
    1. Independent legal body for escrow management with its own escrow account;
    2. Independent official public notary with its own escrow account
    3. Independent attorney with its own escrow account
    4. Independent accountant with its own escrow account
    5. Escrow management facilities of the Global Network Group
  4. The handling and management of escrow captital must be included in and covered by the personal and company liability insurance of the EMCI Maritime Practitioner.
  5. Misuge of escrow capital will be punished. The EMCI Maritime Practitioners risks immediate suspension and/or expulsion.
5. PROCEDURE REQUIREMENTS FOR APPRAISING / VALUATION
APPRAISING FOR BANKING PURPOSES
  1. An appraisal instruction that is used either to obtain or to maintain financing from a bank or finance company is only valid if the report is executed using the fixed appraisal report provided by said bank or finance company.
  2. An appraiser is obliged to respond immediately to any requests by the bank or finance company for further information about the appraisal report he has provided.
  3. The appraiser is not responsible or liable for the format of the appraisal report as provided and required by the bank or finance company.
CONTENT REQUIREMENTS APPRAISAL REPORT FOR YACHTS
The appraisal report contains at least:
GENERAL
  • Name and details of the valuer, assignment principal and shipowner
  • Description appraisal purposes
  • Date, time and location of the appraisal assignment
  • Appraisal declaration issued and signed by the EMCI certified appraiser
  • Shipdetails (Shipyard,year of construction, construction number, year of first launching, type, name, operational and technical specifications, available equipment)
  • Special details and remarks
  • Appraising reference matrix
  • If necessary, requested or mandatory: relevant proof of evidence to be attached to the appraisal report
APPRAISING VALUES
  • Current market value and its conditions
  • Liquidation value and its conditions
  • Original and current new price (if known)
  • Insured for (if known) and its conditions
STATUS CLARIFICATION OF
  • CE and/or other official quality marks
  • Insurance position
  • Legal positions with regard to ship mortgages or shiploans, sequestration, other entailing rights
  • Maintenance, executed as well as necessary or expected
  • Ownership
  • Shipping registar
  • VAT
  • Shiprelated documents, permits and certificates
6. PROCEDURE REQUIREMENTS FOR SURVEYS
SURVEYS FOR BANKING & INSURANCE PURPOSES
  1. A survey instruction that is used either to obtain or to maintain financing from a bank or finance company is only valid if the report is executed using the fixed survey report provided by said bank or finance company.
  2. A survey instruction that is used either to obtain or to maintain an insurance policy from an insurance company or to settle a loss, damage or defect related to an existing insurance policy is only valid if the report is executed using the fixed survey report provided by said insurance company.
  3. A surveyor is obliged to respond immediately to any requests by the bank or finance company or insurance company for further information about the survey report he has provided.
  4. The surveyor is not responsible or liable for the surveyformat as provided and required by the bank or finance company or insurance company.
CONTENT REQUIREMENTS SURVEY REPORT FOR YACHTS
The survey report contains at least:
GENERAL
  • Name and details of the surveyor, assignment principal and shipowner
  • Description survey purposes
  • Date, time, location and weather conditions of / during the survey
  • Survey declaration issued and signed by the EMCI certified surveyor
  • Shipdetails (Shipyard,year of construction, construction number, year of first launching, type, name)
  • Special details and remarks
  • If necessary, requested or mandatory: relevant proof of evidence to be attached to the survey report
SURVEY
  • Description used survey method
  • Specification used survey equipment and calibration status
  • Specification applicable survey standards
  • Survey findings
  • Survey judgement
  • Survey conclusions and recommendations
ATTACHMENTS
  • Relevant documents, such as quotes for repairs and maintenance, user instructions, product specifications etcetera
  • Proof of evidence, such as photos, videos, expert – specialist - witness declarations etcetera
NOTE
  • The decription of the survey method together with the specifications of the survey standards and survey equipment should result in the same and equal outcomes if a contra survey is executed under the same circumstances against / with the same method, standards and equipment.
7. PROCEDURE REQUIREMENTS ON INFORMATION SUPPLY TO BUYERS
The maritime broker, or a maritime specialist on behalf of the broker, supplies the buyer before signing the agreement on sale and purchase at least with the hereafter stated information:
GENERAL
  • Shipdetails (Shipyard,year of construction, construction number, year of first launching, type, name, operational and technical specifications, available equipment)
  • Known non-conformities and defects
  • Asking price
STATUS CLARIFICATION OF
  • CE and/or other official quality marks
  • Legal positions with regard to ship mortgages or shiploans, sequestration, other entailing rights
  • Ownership
  • Shipping registar
  • VAT
  • Shiprelated documents, permits and certificates
The maritime brokers points out to the buyer its legal research obligations.
if the buyer renounces the buyer should sign an renouncement statement.
8. PROCEDURE REQUIREMENTS ON INFORMATION SUPPLY TO SELLERS
The maritime broker, or a maritime specialist on behalf of the broker, supplies the seller, as its principal, during the whote brokerage process at least with the hereafter stated information:
  • Communication & status updates potential or candidate buyers
  • Communication & status update initialized negotationsproces
  • Communication & status updates initialized shipsurvey(s)
  • Communication & status updates initiatlized shipmaintenance or repair
  • Communication & status updates ship or seller or buyer related issues such CE or other quality marks, VAT, import, export, registar and ownership, mortgages, loans, sequestrations, other entailing rights, documents, permits, certificates
  • Legal rights on negotiation
  • Current market value
The maritime brokers points out to the seller its legal information transparency obligations.
If the seller renounces the broker is to resign from the assignment.

All substantial legal actions, such as maintenance, repairs, transportation, price agreement, transfer of ownership, cash- or banktransactions, to executed or ordered by the maritime broker, should be authorized in a formal document signed by the principal.
9. PROCEDURE REQUIREMENTS BROKERAGE AGREEMENT
The agreement of brokerage contains at least:
GENERAL
  • Name and details of the broker, principal and/or shipowner
  • Description agreement purposes
  • Terms on fee, costs and its settlement
  • Guidelines for the transaction period, asking price, selling price and negotations
  • Legal clauses on general conditions, duration, language, applicable law, dispute resolution, court settlement,
  • Shipdetails (Shipyard,year of construction, construction number, year of first launching, type, name, operational and technical specifications, available equipment, known non conformities and defects)
  • If necessary, requested or mandatory: relevant other information
ATTACHMENT
  • Identification clause (how are the parties identified?)
10. PROCEDURE REQUIREMENTS AGREEMENT OF SALE & PURCHASE
The agreement of sale and purchase contains at least:
GENERAL
  • Name and details of the seller and buyer
  • Description agreement purposes
  • Agreement clauses on:
    • Appraising
    • Survey(s), repairs and maintenance
    • Sea trial(s) and conditions
    • VAT
    • Import / export
    • CE, other quality marks
    • Transfer of and/or qualifying for documents, permits and certificates
    • Price, payment method & procedures
    • Legal delivery, acceptance and transfer of ownership
    • Legal clauses on general conditions, duration, language, applicable law, dispute resolution, court settlement
    • Shipdetails (Shipyard,year of construction, construction number, year of first launching, type, name, operational and technical specifications, available equipment, known non conformities and defects)
    • If necessary, requested or mandatory: relevant other information
ATTACHMENTS
  • Identification clause (how are the parties identified?)
  • Copy relevant (transfer) documents, permits and certificates