Mortgagee’s power to sell the vessel

(1) Subject to subsection (1) of section 53 of this Act, every registered mortgagee shall have power, if an event of default occurs under the mortgage or the deed of covenant or other contractual document appended thereto, to sell the vessel or share in respect of which he is registered, by private sale, or to arrest the vessel and request a competent court to dispose of it at a public auction and to give effectual receipts for the purchase money. 38 (2) Where two or more mortgagees are registered in respect of the same vessel or share, a subsequent mortgagee shall not, except under an order of a court of competent jurisdiction, sell the vessel or share without the concurrence of every prior mortgagee. In the event of default, the mortgagee may take possession of the vessel either directly or through the appointment of a third party or entity, subject to having given to the mortgagor such notice (if any) as the mortgage or deed of covenant or relevant contractual document requires.