Regal Cruises, which for years has operated its single ship, Regal Empress, out of seasonal homeports New York and Port Manatee, Florida, announced on April 28 that it is ceasing operations immediately following legal difficulties with creditors.
These problems became public on April 18, when, in a bizarre incident, Regal Empress was "arrested" by U.S. Marshals in Florida, forcing cancellation of an Easter weekend cruise after more than 800 passengers had already boarded. The incident was precipitated by engine-repair company's action; Motor-Services Hugo Stamp secured a lien on the vessel in U.S. District Court to cover an unpaid $729,000 bill.
Motor-Services had made emergency repairs to the vessel's engines in February, after they were damaged during refueling.
News through the subsequent week had Regal appealing the court's decision and even attempting to sell its business -- a move it had reportedly already been pursuing -- but the short time-frame and today's uncertain travel market made this impossible.
Details on passenger refunds -- which Regal claims are covered by the company's performance bond with the Federal Maritime Commission -- have not yet been announced. In recent years, passengers booked with now-defunct lines Premier and Commodore were ultimately reimbursed through this program, though there were some delays. If you are a traveler who paid with a credit card, contact your credit card company immediately to start the payment dispute process that should lead to a full recovery of your payment.
Unclear at this time is the fate of the endearing old Regal Empress, one of the last of the old ocean liners operating (or not...) in the American market. Though Regal did a good job at maintaining the 50-year-old vessel, she's like an Edsel among the cruise ship SUVs, and so may be a tough sell to prospective buyers.
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