Voyage Charter: A Comprehensive Guide to Its Legal Definition and Applications

Definition & Meaning

A voyage charter is a type of contract where a ship owner agrees to transport a specified quantity and type of cargo using a named vessel between designated ports for an agreed price. This arrangement is particularly useful for transporting cargo on a specific voyage or a series of voyages. In some cases, only part of the ship may be chartered for transporting a certain shipment or partial cargo. Under a voyage charter, the ship owner is responsible for both fixed and variable costs associated with the voyage.

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Real-world examples

Here are a couple of examples of abatement:

Example 1: A company needs to transport 500 tons of steel from New York to London. They enter into a voyage charter with a shipping company, specifying the vessel, cargo, ports, and price.

Example 2: A fruit exporter charters a portion of a ship to send a shipment of bananas from Ecuador to the United States. The agreement outlines the specific cargo and the agreed price for the transport. (hypothetical example)

Comparison with related terms

Term Definition Key Differences
Time Charter A charter where the ship is leased for a specific period. In a time charter, the ship owner provides the vessel for a set time, while a voyage charter is for a specific trip.
Bareboat Charter A charter where the charterer takes full control of the vessel without crew. A bareboat charter allows for complete control and responsibility, unlike a voyage charter where the owner retains some responsibilities.

What to do if this term applies to you

If you are involved in shipping goods and believe a voyage charter applies to your situation, consider the following steps:

  • Review your shipping needs and determine the specifics of your cargo and route.
  • Consult a legal professional or use US Legal Forms to access templates for voyage charters.
  • Negotiate terms with the ship owner, ensuring all key elements are clearly defined in the contract.

Quick facts

Attribute Details
Typical Fees Varies based on cargo type and distance
Jurisdiction Maritime law, varies by state
Possible Penalties Contract breach, financial liability

Key takeaways