
The dream of every Canadian is to have a boat to stay in. You dream metaphorically of a plain runabout for a weekend trip or a relatively larger and better boat for more extended vacations. Gliding on the scenic rivers and lakes is an experience to be relished. And to live life to the fullest on this boat, a buyer/seller must be thoroughly aware of the law of boat ownership.
Pleasure craft license transfer is an integral part of this process for having the boat duly entered in the new owner's name. A little knowledge of this transfer may go a long way in saving time, money, and stress—or worse—for both buying and selling parties.
What is a Pleasure Craft License?
A pleasure craft licence is a formal Transport Canada document that links a specific boat to a specific owner. Most motorboats over 15 horsepower must have one. While this license is not an identification of ownership like a bill of sale, it delineates who is responsible for the boat and makes sure they conform to Canadian nautical laws. Without a valid license, a boat can be fined or prosecuted.
The 90-Day Rule
If a boat is sold, the transferee has 90 days to transfer the licence in their name. The boat can still be used during this period, but the new owner must have on board:
- The bill of sale with a signature evidencing the transfer of ownership.
- Their name and contact address.
- The transfer date.
This short-term allowance allows boating plans not to be put on hold while waiting for documentation to be dealt with.
What Documentation Is Required?
In order to finalize a pleasure craft license transfer, the new owner will require:
- A signed bill of sale by both buyer and seller.
- Identification documents issued by the government for all owners named on the licence.
- A current side-view color photo of the vessel.
- If there is someone applying for the new owner, a Third Party Authorization Letter is required
Making these documents beforehand ensures that the process is easier and does not have any delays.
Step-by-Step Transfer Process
- Collect Documents: Get the bill of sale, identification, and a photo of the boat.
- Finish Transfer Application: This can be submitted either online or by mail to Transport Canada.
- Send Within 90 Days: Make sure that the application is sent out before the deadline.
- Wait for Processing: As soon as all documents are properly in hand, the transfer is typically within a few business days.
- Keep a Copy Onboard: After processing, ensure the licence documentation is always on board the ship.
Validity and Renewal
A pleasure craft licence lasts for 10 years. The new owner has this entire duration of coverage once transferred before requiring a renewal. In the event the licence is close to expiration at the time of transfer, the new owner may apply for a renewal as part of the transfer.
Common Mistakes to Avoid
Most boat owners inadvertently get into trouble when switching a licence. The following are some traps to avoid:
- Missing the deadline of 90 days: This may result in fines and unnecessary stress.
- Incomplete bill of sale: The information about the vessel (make, model, year, and Hull Identification Number) should be provided.
- Confusing registration and licensing: Keep in mind that smaller pleasure boats usually need a licence, whereas larger or mortgaged boats might need registration instead.
Boat Ownership Transfer: It's about Signing Papers
The transfer of licence as an administrative process is also something much greater—an official passing of the responsibility baton. For the sellers, it is closing the chapter with zero liability or obligation. For the buyers, it is the beginning of new adventures with a good conscience, knowing all the paperwork is there.
Boat ownership transfer responsibly demonstrates responsibility, respect for the community of boaters, and respect for the law of Canada. And at its core, it makes sure that our waterways are safe and well governed.
Final Thoughts
When you are purchasing your first boat, selling a boat to a loved one, or selling an old favorite, you cannot afford to ignore the transfer of the pleasure craft license. It is not paperwork, but it is about self-protection, keeping within the law, and ensuring that the boating experience is safe for all.
So when a boat is sold again someday, see the transfer as more than a technicality. It's where one owner's memories intersect another's fresh starts—and the reassurance it's all handled for you.
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