Charterparty in United Kingdom

Definition of Charterparty

In accordance with the work A Dictionary of Law, this is a description of Charterparty :

A written contract by which a person (the charterer) hires from a shipowner, in return for the payment of freight, the use of his ship or part of it for the carriage of goods by sea. The hiring may be either for a specified period (a time charter) or for a specified voyage or voyages (a voyage charter), and the charterer may hire the ship for carrying either his own goods alone or the goods of a number of shippers, who mayor may not include himself. A special but now rare type of charterparty is the charter by demise. It is analogous to a lease of land and gives the charterer full possession and control of the ship. The normal charterparty is a simple charter, under which the shipowner retains possession and control and the primary rights of the charterer are confined to placing goods on board and choosing the ports of call. A number of standard forms (known by codenames such as Austwheat and Shelltime) have been developed for use in particular trades.

See also bill of lading; cesser clause.