In order to remove an owner from a Certificate of Documentation or from Coast Guard Documented vessel, the owner that is relinquishing their interest in the vessel must “sell” or transfer their interest via Bill of Sale. This can be accomplished via a notarized CG-1340 Bill of Sale or the notarized backside of the Certificate of Documentation CG-1270.
In this specific case, the selling owner would be listed as the ‘seller’ and the remaining owners would be listed as the ‘buyers’.
For example, one managing owner relinquishing ownership of a vessel with three total owners: If an equal 33% ownership was established between the three owners, the selling owner would be transferring 33% interest back to the other two owners. Item #3A would contain the 33% ownership. Item #4 would list the other two owners, along with the 16.5% interest transferred to each. Item #4A would also list the 33% total interest transferred.
Once the notarized CG-1340 Bill of Sale is completed, you may proceed to complete the webform for Transfer/Exchange of Ownership via the link below. You will be uploading a copy of the CG-1340 Bill of Sale while processing the application. Once the application has been completed and the applicable fees paid, you will receive the new Certificate of Documentation listing the two remaining owners within 8-12 weeks.
https://unitedstatesvessel.us/transfer-exchange/
https://unitedstatesvessel.us/CG-1340_Bill_of_Sale.pdf
