Trouble getting money out of seized boats

South Florida boatyards have long recognized the challenge of dealing with foreign boats and, accordingly, are very diligent in establishing liens and not letting boats depart until fully paid. Now, this has risen as a problem with the current war in the Ukraine and the involvement of Russia. However, not new and something for all to be aware of. There was a sizable case in June 2021 between Rybovich and Vladimir Gusinsky. Also, plaintiffs included the former captain and crew. Among the common reasons given for non-payment were difficulty getting money from the owner's bank. Now there were other parties and Gusinsky was considered the actual owner although other owner parties involved. By that point, the boat had been seized under maritime law and ordered to be sold but there were sizable expenses since seizure. So now just a case to determine how to divide money.

Rybovich claiming $556k for taking care of the boat since seizure.

Rybovich claiming $511k for necessities prior to the seizure.

Captain claiming $197k for necessities including payments of $28-48k to 5 companies doing work on the yacht and $2k to a chef.

Crew wages of $295k.

Repatriation expenses of $3k.

So quickly it adds up to over $1.5 million on a boat likely to sell for perhaps $2-2.5 less 10% commission, originally valued at around $3 million. I believe the boat was sold at auction and is now for sale for more like $5 million.

Owner was willing to walk away and everyone else left to sort it out.

So as you see all these boats seized, just keep in mind they're incurring extremely high expenses every day from yards and crew being brought in plus the old crew likely could place liens although most probably won't.

Also, keep in mind that wealthy failing to pay shipyards isn't new nor is claiming they can't access funds from their bank. Sometimes it's a judgement or case or securities issue or any other sort of thing. Authorities go first to stop them from removing funds. Even divorce proceedings do the same. How many times have we seen yachts surrendered through seizure because of pending divorces?

Thank goodness for maritime laws as otherwise this would involve many countries with widely varying laws. The one place the above case did go to multiple countries though was that while the boat was Cayman registered, the crew was all hired under Gibraltar contracts and Gibraltar law.

Judgments in these cases often are by default as the previous owners make no appearance. Then even division of funds often leads to many dropped claims as plaintiffs are scattered across the world and don't appear or have representation present.

In most cases the major priority lien after any mortgage is typically to shipyards.

In this case, Rybovich was granted their claims. Some of the others were also but many were not due to inadequate documentation.

Don't guess this guy was an oligarch, maybe wannabe. Boat is 1993 model, 145', steel hull, steel superstructure. Was sold in 2021. For sale now. Built by Keith Marine.

Owner exiled after opposing Putin in 1999 and attempts to extradite back to Russia have been unsuccessfully made multiple times as he lived in Israel, Greece and Spain.