The Shanghai Maritime Court, in its annual trials report, urged the yacht marina at the city's Bund waterfront to provide safer conditions after two collisions last year caused damage in the millions of yuan.
The court said the marina's management authority should make it safer for yachts to berth and give effective warnings to other vessels approaching the terminal.
The report released on Thursday also recommended the inland vessel administration authority strengthen supervision and urge ship owners to perform regular maintenance on their vessels.
In March last year, a ship collided with the luxury yacht "Ocean Knight", which was berthed at the marina, resulting in serious damage to the yacht and the marina.
The incident was blamed on improper operations by the ship owner's son surnamed Hu. Noahs (Shanghai) Yacht Club Co sued Hu for 2.8 million yuan ($442,100) in compensation, but compromised on the amount after court mediation.
Six months later, a brand new yacht disintegrated and sank after a collision with another vessel, and the operator sued for 10 million yuan. The court ruled the owner of the inland vessel should pay the yacht over 5.6 million yuan.
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