Charter Parties Flashcards
What is a Charter Party?
Charter parties are written agreements between Shipowners and Charters.
Usually arranged by a third party called a broker.
What is a Bareboat charter?
Bareboat charters are usually long term.
The charter takes effective control of the ship and employs his own crew.
The shipowner must still cover Drydocking and insurance costs.
What is a Time Charter?
And agreement where the charter, charters the ship for an agreed period of time.
Charter covers port, fuel and loading / discharge costs. The Shipowner covers everything else. (Crew and maintenance)
What is a Voyage Charter?
An agreement where the shipowner agreed to carry a specified amount of cargo between named ports.
The shipowner covers all expenses of the voyage.
The charter just pays freight at an agreed rate per tonne.
What are Laydays?
Laydays are the spread of days by which the vessel ”may” be presented for loading.
ie Dublin Port 8-15 Jan
What is the Cancelling date?
This is the final day of Laydays.
The date by which the vessel must be on the berth and in all respects ready to load.
Failure to meet this date will give the charter the option to sue.
What is laycan?
This is a contraction of Laydays and the Cancelling date.
The first layday would be the 8 of Jan and the Cancelling date would be the 15th of Jan.
What is Laytime?
Laytime is the period of time agreed in the charter party for loading and discharging.
When would you tender notice of readiness?
As soon as possible, within the Laycan period.
What is Notice of Readiness?
States that the ship is arrived at the berth or in the port and is in all respects ready to load.
Holds must be clean and dry. Customs must be cleared. Hatches open.
Must be secured to the berth if stipulated on the berth
