Maryland Bank Seeks Foreclosure on 60’ Privilege Yacht “Sweet Anne Marie” After Charter Damage and Loan Default
Shore United Bank, N.A., a federally chartered bank based in Maryland, has filed an admiralty foreclosure lawsuit in the Southern District of Florida against the S/V Sweet Anne Marie, a 60-foot 2008 Privilege motor yacht. The action, filed under Case No. 0:25-cv-61375-RS, seeks to recover more than $1 million after the vessel was allegedly damaged while under the care of a yacht charter operator and later defaulted on a multi-year loan agreement.
Yacht “Sweet Anne Marie” Damaged While in Charter Use by And Beyond Yacht Charters, Leading to Repossession
According to the verified complaint, Sweet Anne Marie was managed and chartered by And Beyond Yacht Charters LLC on behalf of the vessel’s owner, Swancat LLC. On August 7, 2024, an employee of the charter company allegedly ran the yacht aground, causing damage that was not repaired for months. The bank, citing concerns about the vessel’s deteriorating condition, ultimately repossessed Sweet Anne Marie in January 2025.
The bank claims that it incurred more than $94,000 in repossession, repair, maintenance, storage, insurance, and transportation costs, all of which it deems necessary to preserve the vessel’s value and protect its interest as mortgagee.
Bank Alleges Borrower Defaulted on $944K Maritime Loan Secured by First Preferred Ship Mortgage
The complaint outlines a December 13, 2021 business loan in the original amount of $944,000, issued by LaVictoire Finance by Bank of Clarke County to Swancat LLC, and secured by a First Preferred Ship Mortgage on Sweet Anne Marie. The loan called for monthly payments through December 2041. Shore United Bank later acquired the loan through a formal assignment process.
The borrower allegedly defaulted by failing to make the scheduled payment due on August 13, 2024, and all payments thereafter. A demand letter was issued in October 2024, and on February 14, 2025, Shore United obtained a confession of judgment against both the borrower and a guarantor, Scott Thomas Massey. That judgment remains unpaid.
Complaint Seeks Over $1 Million in Loan, Repairs, and Legal Costs Through In Rem Foreclosure Against the Yacht
As of July 3, 2025, Shore United Bank asserts the following amounts are due:
- $863,984.81 in unpaid principal
- $68,899.42 in accrued interest (with a $224.64 daily per diem)
- $94,958.39 in repossession and related costs
- $6,240.00 in attorneys’ fees and legal expenses
The bank seeks foreclosure under federal maritime law, specifically 46 U.S.C. §§ 31301–31343, to satisfy the debt through a judicial sale of Sweet Anne Marie. The mortgage agreement explicitly permits repossession and foreclosure in the event of borrower default, including in rem enforcement against the vessel itself.
Dispute Arises Over Competing Lien Claimed by Charter Management Company
The complaint also discloses that And Beyond Yacht Charters LLC filed a competing lien on Sweet Anne Marie totaling $350,903.27, allegedly for “necessities.” This figure includes a $254,533.64 “short-term loan” made to the vessel’s owner to ready the yacht for charter. Shore United contests the validity and priority of that lien, arguing its own mortgage constitutes a superior claim.
Despite efforts to resolve the competing claims, no settlement has been reached. The bank seeks a judicial declaration confirming the validity and priority of its lien, and asks the court to authorize the vessel’s sale and distribution of proceeds to satisfy the outstanding obligations.
Maritime Lenders Turn to Federal Courts to Enforce Ship Mortgages and Protect Collateral Interests
This case underscores the power of in rem proceedings under U.S. admiralty law, which allows lenders to assert claims directly against a vessel used as collateral for a maritime loan. When a borrower defaults or a vessel suffers damage while under third-party control, banks may move swiftly to repossess and seek foreclosure, particularly when charter arrangements complicate ownership or possession.
If you’re involved in a maritime lending dispute, vessel foreclosure, or lien priority battle, our attorneys can help. We represent clients in all stages of admiralty litigation and enforcement, including ship mortgage foreclosures, arrest actions, and disputes involving vessel repair and charter liens.
Contact us now to consult with a maritime attorney regarding your vessel finance or lien enforcement matter.
