Paragraph 1: Constitution of the mortgage.

Ships and other seagoing vessels, including maritime drones as defined in article L. 5000-2-2 of the French Transport Code, which have been registered are subject to mortgages, unless they have been registered because they meet the conditions defined in 3° of article L. 5112-1-3 of the French Transport Code. They may only be encumbered by conventional mortgages. To be valid, mortgages must be in writing.

The mortgage may only be granted by the owner of the building or by his authorised representative with a special mandate.

Where the vessel is operated in joint ownership, each joint owner may mortgage his undivided share in the vessel. The manager may mortgage the vessel with the consent of a majority of interests representing three quarters of the value of the vessel.

A mortgage granted on a seagoing vessel or on an undivided share of the vessel extends, unless otherwise agreed, to the body of the vessel and to all accessories, machinery, fittings and tackle. It does not extend to the cargo.

The mortgage can be granted on a seagoing vessel under construction.