(1) The Director shall, as soon as is practicable after the receipt of an application under Regulation 12, consider the application. (2) The Director shall evaluate the license application taking into account: (a) any applicable national fisheries policy; (b) the provisions of any relevant fishery management plan drawn up under Section 25 or 48 or the Act; (c) any fishing plan that may have been required with the application pursuant to Regulation 13; (d) where the application related to a license to be issued under an access agreement, the terms of that agreement; and (e) any relevant measures of Local Government Council taken in accordance with Part IV of the Act. (3) In evaluation a license application, the Director may consider: (a) whether the applicant and any other person involved in the operation which is the subject of the application have complied with: (i) this Act, including the provision of catch data and the conservation and management of fisheries resources; (ii) any access agreement or other international instrument to which Republic of Marshall Islands is party. (b) whether the applicant is applying pursuant to multilateral access agreement, fisheries management agreement or other international instrument to which Republic of Marshall Islands is party; (c) in relation to an enterprise which in not wholly owned and controlled by citizens: (i) the level of citizen equity and the degree of control exercisable in law, by agreement or in practice by citizens in the enterprise; (ii) the proposed cost and profit sharing arrangements in the enterprise; (iii) any proposal for variation in (I) or (ii); (iv) the proposed level of employment of citizens in the proposed operation (including crew members on any vessel involved in the proposed operation); (d) where the proposed operation involves fishing within the five mile zone of the territorial sea to which the legal system of a Local Government Council applies, any action taken by such Local Government Council consistent with Part IV of the Act, and the result of any consultation with appropriate members of such Council; (e) in relation to any vessel the subject of the application: (i) its ownership and registration history; (ii) the nature of any charter agreement, lease, mortgage or other financial arrangement in relation to it; (iii) its proposed base port of operation; and (iv) the history of good standing of the vessel.

(1) The Director, with the concurrence of two Board members, may suspend a license, either generally or in relation to specified area: (a) if a material misrepresentation, omission or misstatement of fact has been made in the application for the license and discovered after the license was issued; (b) if there has been any misreporting or failure to report as required under this Act; (c) if he has reasonable grounds to suspect that there has been contravention of, or a contravention of, or a failure to comply with, a term or condition of the license, not being a ground to which he has previously exercised his powers under this section in relation to the license; (d) if any fee, change or levy required in respect of the license has not been paid; (e) for a specified period, if he is satisfied that the suspension is necessary for the proper management of a fishery; (f) if the holder of the license has been charged with an offense involving dishonesty under any law and there has been no final determination of the charge; (g) if as a result of the operations of the licensee, there has been a conviction for an offense under this Act and the relevant fine or penalty has not been paid within the required time; (h) on any other ground under this Act.

(1) The Director shall notify the applicant of the decision to issue or deny a license within a reasonable time of the dare of receipt of the application. (2) The Director may approve the application on such terms and conditions and with such restrictions as he or she deems appropriate. (3) A license, or its renewal, may be denied where: (a) the application is not in accordance with the requirements of this Title; (b) the Director is satisfied that information required to be given or reported under this title is false, incomplete or misleading; (c) the owner or charterer is the subject of proceedings under the bankruptcy laws of any jurisdiction or on reasonable grounds appears unable to meet any financial obligations which could arise from fishing activities and reasonable financial assurances determined by the Authority have not been provided: (d) the fishing vessel required safety standards; (e) the fishing vessel required markings; (f) an operator of the vessel has contravened, or the vessel has been used for contravention of an access agreement, or has committed an offense against the laws of the Republic of the Marshall Islands, (g) the Director determines that the issuance of a license would not be in the best interests of the Republic of the Marshall Islands. (4) A license shall be denied: (a) where the application is made in respect of a foreign fishing vessel, and such vessel does not have good standing on the Regional Register of Foreign Fishing Vessels maintained by the South Pacific Forum Fisheries Agency; (b) where there has been a failure to satisfy a judgment or other final determination for breach of this Title or an access or fisheries management agreement entered into pursuant to this Title by the operator of the vessel in respect of which application for a license has been made, until such time as the judgment or other determination is satisfied, and provided that a subsequent change in ownership of a vessel shall not affect the application of this provision; (c) where the Director determines it would be inconsistent with management measures implemented in accordance with this Title; (d) where the required fees, royalties or other forms of compensation have not been paid in accordance with this Title and an applicable access agreement; (e) where the Director determines that insurance requirements of this Title and/or any applicable access agreement are not fulfilled; (5) No license shall be issued: (a) authorizing fishing by foreign or domestic based vessels on, over or within one nautical mile of the edge of a coral reef that is wholly submerged at mean high tide within the Fishery Waters; (b) authorizing fishing using a driftnet or other substantially similar method of catching fish; (c) authorizing driftnet fishing activities. (6) If the Director denies an application submitted by an applicant, he shall notify such applicant of the denial and the reasons therefor. The applicant may then submit a revised application taking into consideration the reasons for disapproval. The decision of the Director will then be final and binding. [P.L. 199 7-60, §68.]

If any fishing vessel for which a license has been issued pursuant to this Title has been used in the commission of any act prohibited by this Title or other applicable law, an applicable access agreement, or any license issued in accordance with this Title, or if any fee or civil penalty, criminal fine or other determination imposed under this Title has not been paid within 30 days of the due date, the Director shall: (a) revoke such license with or without prejudice to the right of any party involved to be issued a license for such vessel in any subsequent licensing period; §69.]

(b) suspend such license for a period of time it may deem appropriate; or (c) impose additional conditions or restrictions on any such license.