Sovereignty for sale: The origins and evolution of the Panamanian and Liberian flags of convenience - Softcover

Here is a probing account of the merchant flag-of-convenience system that has contributed significantly to the erosion of American merchant sea power. Rodney Carlisle dramatically documents the evolution of this system, beginning with the days of Prohibition when liquor smugglers bypassed Canadian and American legal controls through Panamanian registration of their ships. This system was perpetuated during the Second World War when American-owned ships registered under Panamanian flags supplied the Allies, while U.S. neutrality law prevented such trade on ships flying the American Flag. Carlisle explains how the Panamanian fleet was supplemented during World War II by the acquisition of confiscated European ships that did not meet U.S. standards. Following the war, however, the American-administered Liberian registry began to attract so many ships from Panama's fleet that by the late 1960s, Liberia had emerged as the largest maritime power in the world, as measured in registered tonnage. Sovereignty for Sale reveals how the boom in Middle Eastern oil production and the resultant growth of supertanker fleets registered under flags of convenience have further complicated the question of sovereignty over these ships. The system provides no clear assignment of responsibility for oil spills and other forms of ocean pollution. An analysis of the "effective control doctrine" (supported by the U.S.) raises chilling questions. Can the hundreds of American-owned vessels registered under the flags of Panama and Liberia be legally considered under U.S. control in the event of a military crisis? What role could these ships play and which nation's priorities would they serve. Carlisle points out that the United States may well be naïve in presuming "special relationships" with Third World countries whose foreign policies may not coincide with America's in times of crisis.