In this master thesis, the author analyses maritime privilege in the legal system of the Republic of Croatia, and compares the legal system of the Republic of Croatia with legal regulation of maritime privilege on the international level. The introductory part of the paper primarily explains the basic concept and purpose of maritime privilege. Maritime privilege as a specific institute of maritime law is governed by national rules, but there are international conventions on maritime privilege at the international level, which the Republic of Croatia has not ratified. The first part of this paper is devoted to the concept and legal qualification of maritime privilege. Maritime privilege are rights in rem and can arise only based on law. Starting from there the paper further analyses the historical development in the Republic of Croatia and its comparison with the arrangement in the United States of America. Special emphasis is placed on the international unification of maritime privilege. The paper further analyses the basic characteristics of the maritime privilege, and their legal regulation in the Republic of Croatia with special emphasis on the types of privileged claims and their order in the settlement, the scope of maritime privilege on the ship and the identity of creditors and debtors to define as fully as possible segment of legal regulation. Also, the legal powers of privileged creditors are listed, and the reasons that lead to the termination of the maritime privilege. For privileged creditors to settle their claim on the ship, they have the possibility to arrest the ship to secure the claim, and the arrest of ships is analysed in the second part of this paper. The concept and importance of ship arrest will be dealt with in detail, also the legal sources are dual: national and international sources. Furthermore, the prerequisites of ship arrest, and in relation to which claims the ship can be arrested, with special emphasis on the ship with a maritime privilege. Particular attention shall be made on the duration of the measure of ship arrest and to the effect of depositing the warranty. In the last part this paper analyses the problem of determining the applicable law and what impact it has on whether a claim will be privileged and in what way will determine its order of priority on the example of cases from legal practice. The author finally summarizes the work in the end and gives her own opinions and conclusions.