Blue shall be penalized. When Blue reaches the zone
she is clear ahead. Red shall
keep clear (rule 12) and give mark-room
(rule 18.2(b) to Blue. Blue takes more room as necessary ti
round the mark. When Red establish an inside overlap,
she is not entitled to mark-room
(rule 18.2(c)) and has to keep
clear (rule 11). When Blue is luffing she has to give room for Red
to keep clear (rule 16.1). Blue fails to give room
to keep clear, because Red
is not able to luff more, without touching the mark. Blue will not be exonerated
by rule 21, because she is not sailing her proper
course and therefore she is not sailing within mark-room.