THE SHIP MORTGAGE ACT OF 1920

Authors

George L. Canfield, Of the Detroit, Michigan, Bar

Abstract

Maritime loans have been usually secured by either bottomry bonds or ship mortgages. The former constituted maritime liens of high and privileged character, while the latter had no standing in admiralty at all except as to remnants after all other claims against the ship had been satisfied. The statute now under discussion, being part of general legislation for the revival of the American merchant marine, makes "preferred mortgages" thereunder maritime liens, enforceable by admiralty process in rem. The changes made by the statute in existing law are radical and its construction by the Supreme Court will be of great interest. The outcome will probably depend upon the view which that court may take concerning the inherent nature of maritime liens and the power of Congress to enlarge admiralty jurisdiction.

Recommended Citation

George L. Canfield, THE SHIP MORTGAGE ACT OF 1920, 22 Mich. L. Rev. 10 (1923).
Available at: https://repository.law.umich.edu/mlr/vol22/iss1/3