HQ 112013: 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 112013

                        December 17, 1991

VES-3-06/07-CO:R:IT:C 112013 GEV

CATEGORY:  Carriers

Brendan Corrigan
Director of Operations
Carnival Cruise Lines
Carnival Place
3655 NW 87 Avenue
Miami, Florida 33178-2428

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

Dear Mr. Corrigan:

     This is in response to your letter dated November 27, 1991,
regarding a proposed cruise by one of your organization's
vessels.  Our ruling on this matter is set forth below.

FACTS:

     The MS FANTASY is a vessel owned and operated by Carnival
Cruise Lines.  The subject vessel was built in Helsinki, Finland,
and is registered in Liberia.  The vessel is being chartered by
Automatic Data Processing, Inc. (ADP) for the purpose of
transporting a group of 1800 passengers.  The proposed cruise
itinerary is as follows:

DAY           DATE          PORT          ARRIVE        DEPART

Monday      8-17-92         Miami                       4:00 P.M.

Tuesday     8-18-92         Freeport      7:00 A.M.     4:00 P.M.

Wednesday   8-19-92         Nassau        7:00 A.M.

Thursday    8-20-92         Nassau                      8:00 A.M.

Thursday    8-20-92         Miami         4:00 P.M. (Passengers
                                                     in transit)

Friday      8-21-92         Miami         8:00 A.M. (Passengers
                                                    disembark
                                                    with luggage)

                              - 2 -

     This charter's special requirement is when the vessel
arrives in Miami, the passengers will proceed ashore in order to
attend a function at a local hotel.  However, they will return to
the vessel to stay aboard overnight and disembark with their
luggage on Friday morning.

ISSUE:

     Whether the transportation of passengers aboard a foreign-
built, foreign-flag vessel on a cruise from Miami to Freeport
and Nassau in the Bahama Islands, then back to Miami constitutes
a violation of 46 U.S.C. App. 289.

LAW AND ANALYSIS:

     Title 46, United States Code Appendix, section 289 (46
U.S.C. App. 289, the passenger coastwise law), prohibits the
transportation of passengers between points embraced within the
coastwise laws of the United States, either directly or by way of
a foreign port, in a non-coastwise-qualified vessel (i.e., any
vessel not built in and documented under the laws of the United
States and owned by persons who are citizens of the United
States).  For purposes of section 289, "passenger" is defined as
"...any person carried on a vessel who is not connected with the
operation of such vessel, her navigation, ownership, or
business."  (19 CFR 4.50(b))

     Section 4.80a(b)(2), Customs Regulations (19 CFR
4.80a(b)(2); copy enclosed), promulgated pursuant to 46 U.S.C.
App. 289, provides that a coastwise violation occurs if a
passenger is on a voyage to one or more coastwise points 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.  (see 19 CFR 4.80a(a)(1)(2) and (4) for the
definitions of the terms "coastwise port," "nearby foreign port,"
"embark," and "disembark," as those terms are used in the
regulation)

     In regard to the proposed cruise itinerary, the passengers
will embark and disembark at the same coastwise port (Miami) with
intervening stops in Freeport and Nassau in the Bahama Islands.
Accordingly, there would be no violation of 46 U.S.C. App. 289.

     It should be noted that although the proposed cruise
involves no violation of the passenger coastwise law, the vessel
would still be required to report its arrival and make formal
entry of the vessel upon its return to Miami pursuant to 19
U.S.C. 1433(a)(1)(B) and 19 U.S.C. 1435, respectively.  We
suggest you contact Miami Customs regarding the specifics of
these procedures and those regarding the processing of passengers
who proceed ashore and return to the vessel once it has returned
to Miami.
                              - 3 -

HOLDING:

     The transportation of passengers aboard a foreign-built,
foreign-flag vessel from Miami to Freeport and Nassau in the
Bahama Islands, then back to Miami does not constitute a
violation of 46 U.S.C. App. 289.

                                   Sincerely,




                                   B. James Fritz
                                   Chief
                                   Carrier Rulings Branch
Enclosure