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(Taken from the USCG Navigation Rules (Inland & International)

International & Inland

Rule3

General

(C) The term "Sailing vessel" means any vessel under sail, provided that propelling machinery, if installed, is not be used;

So the answer is, if a Sail boat is using it's engine, regardless if the sails are being used, now has the responsibility to act as a power driven vessel.

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