HQ 112817: Coastwise Trade; Passengers; 46 U.S.C. App. 289

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                              HQ 112817

                          September 8, 1993

VES-3-02 CO:R:IT:C  112817 GOB

CATEGORY:  Carriers

Charles A. Barrett
Harrington Ship Agencies, Inc.
Operations Division
Parkshore Centre
One Poston Road
Suite 135
Charleston, South Carolina 29407

RE:  Coastwise Trade;  Passengers;  46 U.S.C. App. 289

Dear Mr. Barrett:

     This is in response to your letter dated July 19, 1993,
requesting a ruling on the application of the coastwise laws with
respect to a certain proposed journey by a foreign-flag passenger
vessel.

FACTS:

     Your letter presents the situation in which a foreign-flag
passenger vessel sails from New York and stops at the following
ports: Charleston, the Bahama Islands, Barbados, the Virgin
Islands, Charleston (a second time), and New York.  Passengers will
board the vessel at New York and at the first stop in Charleston. 
You ask whether the "Jones Act" applies to such a voyage.

ISSUE:

     Whether the transportation of passengers on a foreign-flag
vessel on the itinerary stated above constitutes a violation of 46
U.S.C. App. 289?

LAW AND ANALYSIS:

     Generally, the coastwise laws prohibit the transportation of
merchandise or passengers between points in the United States
embraced within the coastwise laws in any vessel other than a
vessel built in, documented under the laws of, and owned by
citizens of the United States.  The coastwise law applicable to the
carriage of passengers is found 46 U.S.C. App. 289 and provides
that:

                              - 2 -     

          No foreign vessel shall transport passengers between   
          ports or places in the United States either directly or
          by way of a foreign port, under a penalty of $200 for  
          each passenger so transported and landed.

     Title 19, Code of Federal Regulations ("CFR"), section
4.80a(b) states that:

          The applicability of the coastwise law (46 U.S.C. 289)
to        a vessel not qualified to engage in the coastwise trade
          (i.e., either a foreign-flag vessel or a U.S.-flag vessel
          that is foreign-built or at one time has been under
          foreign flag) which embarks a passenger at a coastwise
          port is as follows:
               
          . . . 

               (2)  If the passenger is on a voyage to one or more
                    coastwise ports and a nearby foreign port or
                    ports (but at no other foreign port) and the
                    passenger disembarks at a coastwise port other
                    than the port of embarkation, there is a
                    violation of the coastwise law.

     A coastwise port is a "port in the U.S., its territories, or
possessions embraced within the coastwise laws."  19 C.F.R.
4.80a(a)(1).  A nearby foreign port is defined as "any port in
North America, Central America, the Bermuda Islands, or the West
Indies (including the Bahama Islands, but not including the Leeward
Islands of the Netherlands Antilles, i.e., Aruba, Bonaire, and
Curacao."  19 C.F.R. 4.80a(a)(2).  

     19 CFR 4.80a(a)(4) states that:

          Embark means a passenger boarding a vessel for the
          duration of a specific voyage and disembark means a
          passenger leaving a vessel at the conclusion of a
          specific voyage.  The terms embark and disembark are not
          applicable to a passenger going ashore temporarily at a
          coastwise port who reboards the vessel and  departs with
          it on sailing from the port.

     The legality of your proposed itinerary must be analyzed
through an application of the preceding rules and definitions. 
Your letter indicates that passengers will embark the vessel in New
York and Charleston.  Your letter does not state where the
passengers will disembark.    
     
      The proposed itinerary will not constitute a violation of 46
U.S.C. App. 289 if all passengers who embark the vessel in New York
disembark the vessel in New York and all passengers who embark the
vessel in Charleston disembark the vessel in Charleston.  Further, 

                              - 3 -

the disembarkation of a passenger at a nearby foreign port will not
constitute a violation of 46 U.S.C. App. 289.  However, as
specified in 19 CFR 4.80a(b)(2), there will be a violation of 46
U.S.C. App. 289 if a passenger disembarks the vessel at a coastwise
port other than the port of embarkation, i.e., a passenger
disembarks at Charleston after embarking at New York or vice versa.
     
HOLDING:

     The proposed itinerary will not constitute a violation of 46
U.S.C. App. 289 if all passengers disembark the vessel at the same
coastwise port at which they embarked.  Further, the disembarkation
of a passenger at a nearby foreign port will not constitute a
violation of 46 U.S.C. App. 289.  However, there will be a
violation of 46 U.S.C. App. 289 if any passenger disembarks the
vessel at a coastwise port other than the port of embarkation.



                              Sincerely,



                              Arthur P. Schifflin
                              Chief 
                              Carrier Rulings Branch