Within the Smart Yacht Program, the owner has three primary paths to exit:
OPTION 1 by WITHDRAWAL FROM THE PROGRAM: Owners of yachts under the Smart Yacht Program Management Agreement may exit the program at any time with six months notice to FYG. This period is necessary to ensure that all charters that have been booked by FYG can be completed. If there are no charters pending, the agreement may be terminated sooner.
OPTION 2 by SALE OF THE LLC: This is, in effect, the sale of the yacht. The owner of a yacht may sell the LLC established to own and operate the yacht at any time. The buyer of the LLC can then continue in the Smart Yacht Program under the same terms or choose to terminate per OPTION 1 above.
OPTION 3 by INCREASING OWNER USAGE TIME: With this option, the owner continues in the program paying costs managed by FYG such as dockage, insurance, maintenance, etc, but, simply, begins to utilize the yacht more personally, eventually reaching 100% of the available time. FYG will work with the owner to accommodate the owner’s specific needs and plans if the owner desires to remain in the program, possibly reverting to normal chartering service, after the annual agreement renewal.
For all exit OPTIONS: Until the owner relocates the yacht, the owner will remain responsible dockage in accordance with the marina lease terms. The fleet insurance must be maintained until the yacht’s last charter booking is completed; after that, the insurance premium can be refunded on a pro-rated basis. The current owner will need to provide evidence of personally provide insurance (beginning after the fleet coverage ends) in order to continue using the marina dockage.