As a U.S. company, LISCR, LLC fully complies with U.S. laws as well as applicable Liberian laws. The statute creating the Registry is embedded into Liberia's statutes and can be expected to remain the law of the land regardless of the government in power. The contract between the Republic of Liberia and LISCR, LLC is in fact a statutory agreement, approved by the full and democratically elected legislature of Liberia.
Liberian law requires the owners of LISCR, LLC to be U.S. citizens to ensure a separation between the company and the Government of the Republic of Liberia. Changes in the contract/statute can only be made through legislation enacted by the Government of the Republic of Liberia.
Liberia's legal system is closely patterned on U.S. laws and institutions, and in the absence of specific statutory provisions, relies on U.S. or UK common law. In relation to ship mortgages the statutory provisions are modeled on those of the States of New York and Delaware. The major international financial institutions endorse lending to finance Liberian registered ships by way of recorded mortgages, confident from experience that Liberian laws and practices guarantee the security of the loan. Legal disputes can even be resolved in the jurisdiction specified in the mortgage deed, or in the U.S. (in the New York courts or elsewhere) where the courts have found that they have jurisdiction to determine issues relating to Liberian law.
As a result of LISCR’s oversight and assistance, Liberia’s laws and regulations are regularly updated to become more efficient. Legislation is regularly reviewed in an effort to make Liberia still more attractive to the shipowner without losing sight of the already established high standards.