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Jones Act Waivers

Jones Act waivers are administrative decisions that allow the use of vessels and shipping situations that wouldn't normally be legal under the Merchant Marine Act of 1920 — more commonly known as the Jones Act. It is the Maritime Administration, or "MARAD" (part of the United States' Department of Transportation) that grants Jones Act waivers.

Jones Act Provisions

In addition to the protections it provides for sailors, seamen and other maritime workers, the Jones Act has "cabotage" provisions requiring that when goods or passengers are transported by ship between U.S. ports, the ship must be:

built in the U.S.
flagged as a U.S. ship, and
owned and operated by U.S. citizens
At least three-quarter of the crew must be U.S. citizens, too

Reasons for a Jones Act Waiver

However, MARAD can issue a Jones Act waiver in some cases, allowing a foreign vessel to operate under special conditions. For example, in 2006, an independent oil company, Escopeta, received a Jones Act waiver so that it could use a foreign-flagged vessel to bring a jack-up rig into Alaska's Cook Inlet.

After Hurricane Katrina damaged ports and ships in the Gulf of Mexico in 2005, the Jones Act was waived for an approximately two-week period so that foreign vessels could transport natural gas and oil between U.S. ports.

During those same post-Katrina times, several agricultural interests also applied for Jones Act waivers, arguing that farmers would suffer financial harm if they couldn't get more-relaxed shipping options for their products.

Requirements for a Jones Act Waiver

Under current normal circumstances, a foreign vessel or a vessel of unknown origin can request a Jones Act waiver in order to operate in commercial service or to operate as a commercial passenger vessel. The requirements for a Jones Act waiver include:

a 12-passenger limit
a U.S. citizen must own the vessel
carrying cargo, towing, and commercial fishing do not qualify

Get More Information about Jones Act Waivers

Law firms that handle Jones Act lawsuits for injured maritime workers are also quite knowledgeable about Jones Act waivers. Contact us today to schedule a consultation with a Jones Act attorney to get the information you need.

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