Colombian Commercial Code - Decree 410 of 1971 - Book Five - Navigation - Part One - From the Navigation Aquatics - Title I - Ships and Property - Chapter II - Owners and co-owners of Ships - From: Section 1458 By: Art 1472

CHAPTER II

Owners and joint owners of the ships

Section 1458 .- They can only own a commercial ship registered in Colombia nationals Colombians.

Section 1459 .- A ship may belong to several owners in common and undivided.

Section 1460 .- All decisions concerning the management of the ship and those that are in the common interest of the joint owners shall be adopted by majority vote, unless the law provides otherwise. Other, such as the issuance of a shipment at the risk of all participants and the structural innovations of the ship, require unanimity.

The majority will be constituted by a number of shares forming more than half of the rights even if they are headed by a single owner.

Section 1461 .- Be of common interest decisions on the weapons, equipment, supplies, ordinary repairs, maintenance and insurance, chartering and ship use, and the selection and contracting of the captain and crew.

Section 1462 .- The decisions of the co-owners will be incorporated into a minute book to be recorded in the captaincy of the port of registry of the ship.

Section 1463 .- The co-owners, if they can manage together, the administrator appointed by majority of the ship. Administrator can be any one of the owners or a third party, provided you have the qualities required by law.

Section 1464 .- The trustee is the legal representative of the co-owners in all matters relating to the ship, with the same powers of the owner, subject to the restrictions being imposed, but can not, without authorization, perform acts which are not of common interest.

Section 1465 .- Co-owners may have unanimously the sale of the ship. If you ask any of them and all co-owners are able to dispose of its own, it will be tendered private partnership between the co-owners.

If discrepancies arise between joint owners, the ship will be sold at a hammer legally authorized to work in the port of registry or, failing that, judicial public auction, at the request of any of the co-owners.

Section 1466 .- Other things being equal, co-owners will be preferred in the charter of the vessel who are not, and if there is competition among them, shall be preferred to have more interest in the ship. If concurrent thine equal joint owners of interest, decide the fate.

The participant who obtains the preference of the charter is subject to the determinations of the majority concerning the fate of the ship.

Section 1467 .- Routine repairs and administration costs with the monies will be made common and, failing that, through contribution of co-owners in proportion to its interest in the ship.

The extraordinary repairs require the unanimous approval of the owners or authorized by the judge in case of discrepancy.

The partners shall be liable in proportion to the interest of everyone on the ship, the cost of repairs made in accordance with the law.

Paragraph .- For extraordinary repairs are defined as those whose costs exceed half the value of the ship and, in general, not necessary for regular maintenance and service.

Section 1468 .- If the majority of co-owners decide on the weapons, equipment or supplies for the ship, co-owners shall contribute in proportion to the Party with it.

Section 1469 .- if the minority co-owners considered that repairs are ordered by the most extraordinary, may require that the dispute be referred to expert determination. He may also go to the judge that heard the concept of experts, decide on the need for repairs that the majority has denied.

Section 1470 .- Each joint tenant is obligated to pay his share in the cost of repair, armament, equipment, supplies the ship and administration, within twenty-five days of the agreement of the majority, or unanimous approval of the joint owners or the judge's decision, if any.

The share of delinquent co-owner of the ship may be awarded in private auction, after appraisal by experts, to that of the co-owners to offer more for the party and on equal terms to all bidders.

Either the co-owners, including delinquent, request that the auction is public.

The respective interest paid from the proceeds of the auction, the remainder shall be transmitted to.

Section 1471 .- The co-owner may freely dispose of their share of the ship, but to mortgage this fee requires the prior consent of the majority.

Section 1472 .- Any of the joint owners shall be entitled to the co-owner who wants to sell its share will prefer a stranger on an equal footing.

If there are several co-owners concerned, acquired in proportion to their share.