The Cyprus Shipping Deputy Ministry (SDM) announced the passing of the new "Law on the Shipping Limited Liability Company Law of 2022" (the “S.L.L.C. Law”) on 6th of October 2022.
This new legislation is one of the steps taken towards the implementation of the long-term national strategy for Cyprus Shipping or otherwise known “Sea Cyprus 2030”.
Its objective is to increase the competitiveness of the Cyprus flag in international shipping, while at the same time offers a simplified legal framework, procedure and operating regime of Cypriot shipping companies that own ships.
The so called SLLC Law creates a new form of limited liability company, the "Shipping Company Limited (SLLC)", with sole purpose is to own and operate Cypriot ships.
Among others, as a result of the enactment of this Law, is the establishment of the Department of the SDM as the SLLC’s Registrar as the competent authority for these matters.
The supervision of the SDM will be a responsibility of the SDM’s General Director, who will be appointed from time to time, who by law is also the Registrar of Cypriot Ships and will also act as the SLLC’s Registrar.
The ultimate aim of this new legal framework is to create a one-stop-shop framework for ship-owning companies and their shareholders within the SDM so that the SDM can deal, in addition to the aspects of maritime law, with all matters which currently fall within the competence of the Registrar of Companies.
The SLLC Law is influenced and inspired by the main provisions that the Companies Law, Cap 113. Regardless the inspiration by the Companies law, the SLLC Law it includes provisions aiming to simplify various procedures and aspects in order to make the establishment of an SLLC flexible and attractive to the interested parties.
The new SLLC Law confers powers to shipping companies that own Cypriot ships and which are already registered in the Registry of the Registrar of Companies to request their transfer to the SLLCs Registry, subject to specific conditions.
Globalserve legal department is able to offer you legal advice and assistance for any matters related to this newly introduced legal framework in respect of the establishment and registration of your Shipping Company to own Cypriot ships, including but not limited, from the drafting of the relevant Memorandum and Articles of Association, the appointment of its officers and shareholders to the registration of charges and mortgages.
In addition, we can also handle and complete in a swift and effective manner the transferring your already-registered Cypriot ship which is owned by a Limited Liability Company governed by Companies Law, Cap. 13, to the newly
implemented LLSC Registry up to and until the issuance of the relevant Certificate of Continuation.