In the past few years several large yachts have been sold by courts and governments rather than by their owners. Three cases reported by SuperyachtNews show how such sales are priced. AMADEA, reportedly valued at $325 million, was sold by the US government for $187 million. AXIOMA, valued at $75 million, went at auction for $37.5 million despite 63 bids. A first sale of ALFA NERO, estimated at $105 million, collapsed at $67 million, and the yacht finally sold for $40 million.
The discounts run from about 42 to 62 per cent of reported value. That is a range observed in three cases, not a rule, but it shows how buyers price uncertainty.
Three risks, priced separately
Experienced buyers separate what they are paying for into three risks.
- Title risk. Claims by former owners or creditors, arrests in another port, or a registry that refuses to delete the old entry.
- Vessel risk. Judicial sales are usually “as is, where is”. Under French law, for example, the warranty against hidden defects does not apply to them. A yacht that has been immobilised for months, sometimes with its class suspended, can need significant work before it sails again.
- Historical risk. Banks, insurers, shipyards and future buyers may hesitate to deal with a name associated with sanctions or litigation.
What the Beijing Convention changes
The UN Convention on the International Effects of Judicial Sales of Ships, known as the Beijing Convention, entered into force in February 2026 and applies to the European Union, within its areas of competence, from 15 December 2026. Its states parties include Panama, Spain, Barbados and El Salvador.
When a yacht is sold by a court in a state party, with the vessel physically in that state, the sale can come with a certificate of judicial sale. Other states parties then recognise the buyer’s clean title, and any challenge must be brought before the courts of the state where the sale took place.
The certificate addresses title risk only. It says nothing about the yacht’s condition or its history. Where the sale state is not a party (France, for instance, has not ratified), the sale still has full effect at home but no certificate is issued.
For buyers
- Confirm where the sale takes place, where the yacht is lying, and whether a certificate will be available.
- Commission an independent survey and, where possible, a sea trial. Price the return to class and any refit after immobilisation.
- Check the flag, the registry deletion and the full chain of ownership against sanctions lists.
- Confirm early that your bank and insurer will finance and cover the yacht.
For sellers in an ordinary sale
The same logic works in reverse: buyers pay for certainty. A yacht that comes to market with clean title documents, current class and flag certificates, recent survey reports, complete maintenance records and a clear VAT position gives a buyer fewer reasons to discount.