Section 78Part 4 — PROPRIETARY INTERESTS IN REGISTERED SHIPS
Mortgagee not owner and mortgagee's power of sale
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Except as far as may be necessary for making a mortgaged ship or a share in the ship available as a security for the mortgage debt, a mortgagee shall not by reason of the mortgage be deemed to be the owner of the ship or share in the ship, nor shall the mortgagor be deemed to have ceased to be owner of the ship.
Subject to subsection (3) and an order of a court of competent jurisdiction, every registered mortgagee has the power, in accordance with the terms of the mortgage, if the mortgage money or any part of it is due, to sell the ship or share in respect of which mortgagee is registered, and to give valid receipts for the purchase money.
Where two or more mortgagees are registered in respect of the same ship or share, a subsequent mortgagee shall not, except under an order of a court of competent jurisdiction, sell the ship or share without the concurrence of every prior mortgagee.