((a)) A documented vessel may be sold by order of a district court only to—

((1)) a person eligible to own a documented vessel under ; or

((2)) a mortgagee of that vessel.

((b)) When a vessel is sold to a mortgagee not eligible to own a documented vessel—

((1)) the vessel must be held by the mortgagee for resale;

((2)) the vessel held by the mortgagee is subject to chapter 563 of this title; and

((3)) the sale of the vessel to the mortgagee is not a sale to a person not a citizen of the United States under .

((c)) Unless waived by the Secretary of Transportation, a person purchasing a vessel by court order under subsection (a)(1) of this section or from a mortgagee under subsection (a)(2) of this section must document the vessel under chapter 121 of this title.

((d)) The vessel may be operated by the mortgagee not eligible to own a documented vessel only with the approval of the Secretary of Transportation.

((e)) A sale of a vessel contrary to this section is void.

((f)) This section does not apply to a documented vessel that has been operated only for pleasure.