A recent court ruling in Torre Annunziata ruled that the chartering of a boat, with the additional services attached, must fall under the Tourism Code and not the Navigation Code. We asked the “winner” of the case Luciano Rigli of Kiriacoulis Holidays to better explain the effects of this ruling. Here is his explanation.
Why is boat rental in the Tourism Code and not in the Navigation Code?
When you book a charter/rental of a boat (i.e., with a payment in advance and from a different place than the delivery), if it is the instrument for the realization of your vacation, the relationship with your supplier is governed by the tourism code, not the navigation code. This is what the Justice of the Peace of Torre Annunziata ruled in ruling 10550/18 (PDF order attached)
It is common to think that renting a boat pertains to the recreational boating code: instead, Article 1 of the same, says that it regulates navigation, thus unrelated to anything on the commercial side.
Normally the consumer is a tourist to whom along with the boat, additional services are offered such as assistance, transfers, a few nights of mooring, the possibility of catering, etc. All this brings the relationship under the tourism code.
It is a tour package with the guarantees of a tour operator
In the vast majority of cases, we are dealing with a self-made tour package that still enjoys the same guarantees as that offered by the tour operator. Basically, it is the tour operator who procures the boat from the shipowner and offers it for sublease to the consumer, in accordance with the provisions of Article 42 of the Recreational Boating Code (effectively a departure from the Navigation Code, which does not provide for subleasing).
Boating code does not provide for cabin boarding
The Torre annunziata ruling shares a precedent that occurred in Portoferraio, which also saw Kiriacoulis Holiday plaintiff with attorney Mostardini of Florence against the harbormaster’s office. These rulings clarify the roles of the various actors and are important from an insurance perspective.
The Recreational Boating Code does not provide for cabin charters, in other words, cruises sold on an individual basis. Article 2 of the Recreational Boating Code, stipulates that boats are for commercial use when subject to charter or lease contracts, it follows that we are talking about the whole body and not the individual cabin. In boarding at the cabin, the liability policy of the Tour Operator, which after procuring the boat, organizes cruises, covers the participants. The Coast Guard, which is responsible for safety at sea, should see to it that cabin boardings and remote contracts are always offered through entities that guarantee their insurance coverage.
Luciano Rigli