The deal between the ship owner and charterer – General Discussions<\/p>\n\n\n\n
We now come to the all important area of the commercial-relationship that the ship owner gets into with the charterer, for the carriage of \u201cgoods by sea\u201d. As the name indicates, this commercial-relationship is by way of a \u201ccharter\u201d, documented by way of a \u201ccharter party\u201d, which is nothing but a contract for the hire of a vessel (including other forms of transportation), for a mentioned journey or a mutually agreed period of time. As far as maritime matters are concerned, \u201ccharters\u201d usually are:-<\/p>\n\n\n\n
(i) Contracts for carriage of specified amounts of cargo, in specified vessels, between specified ports, called \u201cvoyage charters\u201d, and,<\/p>\n\n\n\n
(ii) Contracts for hire of specified vessels, including, \u201ctime charters\u201d and \u201cbareboat charters\u201d (named also as \u201cbareboat charters\u201d).<\/p>\n\n\n\n
In short, it is a \u201cstandard form\u201d (e.g. NYPE 2015: a dry-cargo charter party that indicates contemporary commercial practice and the legal developments that have taken place in the past 20 years, which takes proper stock of the most commonly applied amendments and additional clauses as used by the practitioners in the dry-cargo sector) containing the \u201cwritten terms\u201d of a charter agreement, between a ship owner and a charterer. It defines the obligations, rights and liabilities of the ship owner and charterer, and, is usually drawn-up by the concerned broker representing the charterers, following discussions and arriving of agreement of terms between both the parties. It is normally seen to comprise of a set of \u201cstandard clauses\u201d on a printed form, with additional typed \u201crider clauses\u201d appended, if the \u201cstandard clauses\u201d fail to cover all aspects of the parties\u2019 agreement. <\/p>\n\n\n\n
The terms and conditions ought to be ideally balanced, so that it does not lead to favouring one party, to the disadvantage of the other. Even though the \u201cstandard clauses\u201d are the ones that principally govern the charter party, there may be a number of \u201camendments\u201d to these clauses, as may be mutually agreed to, by the parties. Needless to state, the more the amendments, the more shall be the scope for legal disputes. <\/p>\n\n\n\n
Should there be a conflict between the standard clauses and rider terms, the rider terms shall override the standard clauses.<\/p>\n\n\n\n
A good-many \u201ccharter party forms\u201d are in circulation for various purposes. It is obvious that a form which is \u201creadily available\u201d and that which has been meticulously drafted and improved-upon with time-tested use, so that legal pitfalls are not encountered, are usually preferred by brokers \/ shippers\/ship owners, rather than a new document which has hardly been put to use. A number of forms have amended versions, which necessarily does not mean that the ones which are \u201crecently amended\u201d, have gained greater acceptance by brokers.<\/p>\n\n\n\n
Usually, the latest charter party forms as drafted by the BIMCO, have \u201cboxed\u201d configurations, as contrary to the archaic forms, the layouts of which are conventional. <\/p>\n\n\n\n
We will now quickly recall the basic types of charters.A Charter Party (C\/P) is defined as a contract between a ship owner and charterers for the use of a ship or her cargo space. –Employment Contract
There are several methods available in today\u2019s freight market to employ vessels. Some of them are short term contracts while others are for the longer term. The main employment methods for vessels are as below:<\/p>\n\n\n\n
A brief explanation of the various employment methods is given in the respective topics.<\/p>\n\n\n\n
Some examples of Charters for special purposes<\/p>\n\n\n\n
TOWCON:<\/strong> it is an international ocean towage agreement for a lump sum, used in the professional towage industry;<\/p>\n\n\n\n TOWHIRE:<\/strong> is an ocean towage agreement for a daily hire rate<\/p>\n\n\n\n SLOTHIRE:<\/strong> is a BIMCO form on which a \u201cslot charterer\u201d(a shipping line chooses to buy certain number of slots, i.e. space on board a ship, from the principal vessel operators on every vessel. These slots, may or may not be fixed for a voyage), hires a number of container bays on a containership\u2019s <\/p>\n\n\n\n sailings, but not the entire cargo capacity.<\/p>\n\n\n\n HEAVYCON:<\/strong> the standard transportation contract for the heavy and voluminous cargoes.<\/p>\n","protected":false},"excerpt":{"rendered":" Charter Party The deal between the ship owner and charterer – General Discussions We now come to the all important area of the commercial-relationship that the ship owner gets into with the charterer, for the carriage of \u201cgoods by sea\u201d. As the name indicates, this commercial-relationship is by way of a \u201ccharter\u201d, documented by way […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"ocean_post_layout":"","ocean_both_sidebars_style":"","ocean_both_sidebars_content_width":0,"ocean_both_sidebars_sidebars_width":0,"ocean_sidebar":"","ocean_second_sidebar":"","ocean_disable_margins":"enable","ocean_add_body_class":"","ocean_shortcode_before_top_bar":"","ocean_shortcode_after_top_bar":"","ocean_shortcode_before_header":"","ocean_shortcode_after_header":"","ocean_has_shortcode":"","ocean_shortcode_after_title":"","ocean_shortcode_before_footer_widgets":"","ocean_shortcode_after_footer_widgets":"","ocean_shortcode_before_footer_bottom":"","ocean_shortcode_after_footer_bottom":"","ocean_display_top_bar":"default","ocean_display_header":"default","ocean_header_style":"","ocean_center_header_left_menu":"","ocean_custom_header_template":"","ocean_custom_logo":0,"ocean_custom_retina_logo":0,"ocean_custom_logo_max_width":0,"ocean_custom_logo_tablet_max_width":0,"ocean_custom_logo_mobile_max_width":0,"ocean_custom_logo_max_height":0,"ocean_custom_logo_tablet_max_height":0,"ocean_custom_logo_mobile_max_height":0,"ocean_header_custom_menu":"","ocean_menu_typo_font_family":"","ocean_menu_typo_font_subset":"","ocean_menu_typo_font_size":0,"ocean_menu_typo_font_size_tablet":0,"ocean_menu_typo_font_size_mobile":0,"ocean_menu_typo_font_size_unit":"px","ocean_menu_typo_font_weight":"","ocean_menu_typo_font_weight_tablet":"","ocean_menu_typo_font_weight_mobile":"","ocean_menu_typo_transform":"","ocean_menu_typo_transform_tablet":"","ocean_menu_typo_transform_mobile":"","ocean_menu_typo_line_height":0,"ocean_menu_typo_line_height_tablet":0,"ocean_menu_typo_line_height_mobile":0,"ocean_menu_typo_line_height_unit":"","ocean_menu_typo_spacing":0,"ocean_menu_typo_spacing_tablet":0,"ocean_menu_typo_spacing_mobile":0,"ocean_menu_typo_spacing_unit":"","ocean_menu_link_color":"","ocean_menu_link_color_hover":"","ocean_menu_link_color_active":"","ocean_menu_link_background":"","ocean_menu_link_hover_background":"","ocean_menu_link_active_background":"","ocean_menu_social_links_bg":"","ocean_menu_social_hover_links_bg":"","ocean_menu_social_links_color":"","ocean_menu_social_hover_links_color":"","ocean_disable_title":"default","ocean_disable_heading":"default","ocean_post_title":"","ocean_post_subheading":"","ocean_post_title_style":"","ocean_post_title_background_color":"","ocean_post_title_background":0,"ocean_post_title_bg_image_position":"","ocean_post_title_bg_image_attachment":"","ocean_post_title_bg_image_repeat":"","ocean_post_title_bg_image_size":"","ocean_post_title_height":0,"ocean_post_title_bg_overlay":0.5,"ocean_post_title_bg_overlay_color":"","ocean_disable_breadcrumbs":"default","ocean_breadcrumbs_color":"","ocean_breadcrumbs_separator_color":"","ocean_breadcrumbs_links_color":"","ocean_breadcrumbs_links_hover_color":"","ocean_display_footer_widgets":"default","ocean_display_footer_bottom":"default","ocean_custom_footer_template":"","ocean_post_oembed":"","ocean_post_self_hosted_media":"","ocean_post_video_embed":"","ocean_link_format":"","ocean_link_format_target":"self","ocean_quote_format":"","ocean_quote_format_link":"post","ocean_gallery_link_images":"on","ocean_gallery_id":[],"footnotes":""},"categories":[1],"tags":[],"class_list":["post-877","post","type-post","status-publish","format-standard","hentry","category-celestial-navigation","entry"],"_links":{"self":[{"href":"https:\/\/sailorvikas.com\/index.php\/wp-json\/wp\/v2\/posts\/877","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sailorvikas.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sailorvikas.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sailorvikas.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/sailorvikas.com\/index.php\/wp-json\/wp\/v2\/comments?post=877"}],"version-history":[{"count":1,"href":"https:\/\/sailorvikas.com\/index.php\/wp-json\/wp\/v2\/posts\/877\/revisions"}],"predecessor-version":[{"id":878,"href":"https:\/\/sailorvikas.com\/index.php\/wp-json\/wp\/v2\/posts\/877\/revisions\/878"}],"wp:attachment":[{"href":"https:\/\/sailorvikas.com\/index.php\/wp-json\/wp\/v2\/media?parent=877"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sailorvikas.com\/index.php\/wp-json\/wp\/v2\/categories?post=877"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sailorvikas.com\/index.php\/wp-json\/wp\/v2\/tags?post=877"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}