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CHARTERING - AN OVERVIEW, PART 1

Here's whats coming up in the Posts ahead on Marine Chartering,

+ Employment of Ship-Chartering Practice, an Overview
+ Voyage Charters
+ Time Charters
+ Demise or Bareboat Charters

Many Charter Parties (C/P's) allow trading with certain express exclusions of countries or places of increased risk. While this can change due to the 'winds of war' or political events there is a pretty standard list. Countries and places often excluded are,

Angola
Cuba
Ethiopia
Israel
Kampuchea
Burma/Myanmar
Lebanon
Libya
Namibia
North Korea
Orinoco
Persian/ Arabian Gulf
Somalia
South Africa
Syria
Vietnam
* South China Sea, certain islands due to conflicting sovereignty claims
* Horn of Africa, due highly active
piracy


Masters must therefore clarify, prior to the C/P signing, these possible exclusions due ever changing geopolitics. They must be clearly agreed too and stated in the C/P. Remember it is not necessary for charters to be in writing to be enforceable in Law.

There are further prohibitions on entering,

* Antarctic south of latitude 6o degrees South, due to MARPOL
* All offshore safety zones (EEZ) unless under a support vessel C/P.

Yachts are the greatest violators of these prohibitions and so should be particularly careful in their navigational practices.

The word 'charter' is used in maritime enterprises to identify a contract. The objective of which is to let/hire the use of a vessel for a specific purpose, called a Voyage Charter, or for a specified time, called a Time Charter. Disputes associated with such contractual arrangements are usually resolved by arbitration, if the parties agree, or in the civil courts in accordance with contractual law.
Each party to the agreement (C/P) must carry out their promises or be liable to pay compensation for any loss or damage caused by their failure to do so. It is irrelevant that any such failure was due to circumstances beyond the control of the party concerned, unless such circumstances were allowed for in the terms of the contract (C/P).
The country whose law will determine disputes arising out of a charter is a matter for agreement between the parties. It is clearly better to do this at the time the C/P is signed, when it becomes a term of the C/P, but it can be agreed to after a dispute arises. In the event of a failure to agree the matter will be resolved according to the principles of 'Private International Law'.


INFORMATIONAL ONLY AND NOT LEGAL ADVICE
Good Watch.

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