Get Bareboat Charter Management Agreement - The Catamaran Company

Bareboat Charter Party. The charterer pays all expenses: fuel, stores, provisions, harbour dues, pilotage, etc. and employs and pays the crew. There may, however, be a clause in the charter party that the master and the chief engineer must be approved by the shipowner.

Under the terms of a demise charter, also known as a bareboat charter, the charterer has full control of the vessel. Apart from the capital cost of building the vessel, which is the owner's responsibility, all other costs including fuel, crew, port charges and insurance, are paid by the charterer.

A bareboat charter or demise charter is an arrangement for the chartering or hiring of a ship or boat, whereby no crew or provisions are included as part of the agreement; instead, the people who rent the vessel from the owner are responsible for taking care of such things.

A bareboat charter is a vessel that is leased by the owner to another person (a “charterer”) for a period of time without captain and crew. The person leasing the vessel is then responsible for the entire vessel's operation and any captain and crewing requirements.

Elements of a valid Bareboat Charter: All food, fuel, and stores are provided by the charterer. Insurance is obtained by the charterer. The charterer is responsible for the safe navigation of the vessel. The charterer may discharge, for cause, the master or any crew member without referral to the owner.

Demise charter means that the owner gives posses- sion of the ship to the charterer and the charterer hires its own mas- ter and crew. Demise charter means the hire of a Vessel by which the charterer obtains possession and control of the Vessel and is responsible for the Vessel, its operation and maintenance.

Under a bareboat charter agreement, the owner of a vessel grants its possession to the charterer in return for payment, defined as hire.

HUGH MURRAY, President - The Catamaran Company.