In the old days, charter meant a document issued by the ruler of a country, but today the meaning of charter has become more updated and it means business with new modern methods so that the owner rents his equipment to others.
Ship chartering in Dubai
Ships, boats, recreational or cargo vessels, etc. are owned by people who often purchase and register them as a means of income. Sometimes buyers don't use these charters to transport goods or passengers. Instead, they rent them out to private organizations or individuals who need chartering and use them for various purposes.
In fact, chartering is a legal and registered name for the process of renting a ship to individuals or organizations, which is an agreement between the ship owner and the lessor, and at the end, the chartering agreement is registered and concluded. The most common charter for rent is passenger transport with a certain length of travel. You can use the ads on the official website of Dubai Marine to rent a ship.
What is ship chartering in UAE?
As we explained in the beginning, ship chartering in Dubai is renting a ship to other people to generate income, chartering is done in two ways.
• Boat rental with crew - expert people with good work experience
• Rent without crew
Making a decision is very important for everyone, and before making a decision, all aspects should be weighed and after the contract is registered, the detailed information and details of the people should be checked. There are two common types of chartering: passenger and freight, if chartering is registered as freight, a letter of freight is required, which we will examine below.
Ship charter advertisement in Dubai
You can use the Dubai Marine website to place an order for vessel and equipment chartering. The requirement for this is to register on the official Dubai Marine website and complete the user profile.
Items of the chartering contract of the leased ship
This contract has many clauses and items, the most important of which we present in the following cases:
1. Information of the owner of the ship (main owner and if there is a partner or partners, complete information should be included)
2. Ship lessor information (lessee and if there is a partner or partners, complete information should be included)
3. The full registered name of the ship, specifications and capacity of the ship
4. An approximate amount and to some extent accurate specifications of the cargo or the number of passengers of the ship
5. Ports of destination or places of loading and unloading (complete information for security and registration sources)
6. General rate of rent and rent (agreed between the lessee and the ship owner)
7. Time and place of ship delivery
8. How to pay the rent (detailed record of the method with complete information)
9. Allowed period for loading and unloading goods (including delay)
10. Obligations and other conditions of the ship owner and charterer (detailed information to prevent any security incidents)
11. Ship chartering fee in Dubai
12. The cost of chartering is very different according to the type of use, size, with crew or without crew, time, conditions, vehicle model, etc.
An important point regarding the boat rental: the chartering fee is not fixed for everyone and is an agreement between the owner and the lessee, which is agreed upon after examining the conditions and needs of the lessee.
Ship charter equipment in Dubai
The types of ship chartering equipment in Dubai are different according to the type of ship, the purpose of renting and the model of the ship itself, in such a way that the difference between the equipment of a cargo ship and a passenger ship is like the difference between a warehouse and a duplex house. Therefore, according to the needs of the tenant and the selected ship model, the internal equipment that can be provided is different.
Ship charter training
In order to charter a ship in Dubai, you need to have a relatively good work experience to be able to rent a ship with all the equipment. If you are an inexperienced person, you increase the possibility of sinking the ship under water.
Types of bills of lading for shipping
The bill of lading is a document issued by the company or the legal representative of the goods to send the goods from the origin to the destination, it is registered and announced to the destination and the owner of the cargo. This is a guarantee as well as permission for transportation from start to finish and delivery.
• Ship's TBL bill of lading
• Bill of lading Through B\L ship
• Bill of Lading Liner B\L ship
• Bill of Lading Charter Party B\L ship
• Fiat B.L ship's composite bill of lading
• Ship's DIRTY B\L bound bill of lading
• Ship's third party bill of lading
• Charter bill of lading or CHRTER PARTY B\L of the ship
• Bill of Lading Negotiable B/L ship
• Non-negotiable ship bill of lading
• Bill of lading on board ship
• ON DECK ship bill of lading
• White back SHORT FORM B\L ship's bill of lading
• Ship's temporary bill of lading
• Ship's stale STALE B/L bill of lading
• Groupage bill of lading GROUPAGE B\L ship
• Ship's PREPAID bill of lading
• Bill of lading of regular route or liner LINER B\L ship
• Bill of lading CONTAINER ship
• Bill of lading RECEIVED FOR SHIPMENT ship
• Bill of lading SHIPPED ON BOARD ship
• Clean bill of lading Clean B\L ship
• Transshipment Bill of Lading of the ship
• Shipped Bill of Lading B/L of the ship
• Sea waybill of received goods Received for Shipment B/L ship
One of the maritime transport contracts is the ship lease contract, which is concluded between the owner of the goods and the ship owner, so that the ship is at the disposal of the ship owner for a certain period of time in the direction of cargo.
Conditions for chartering a ship in Dubai
The parties to the contract must conclude the ship charter contract in Dubai in writing, as well as agree on the duration of the contract and the number of trips the ship must make in different ports along with the ship charter contract in the UAE.
Another condition that the parties must comply with in the ship rental contract in Dubai is to perform services and activities in water areas in accordance with the laws of the country and international laws, as well as the action of the lessee must be in accordance with the insurance contract.
Types of ship charter contracts in the UAE
We will examine the ship lease contract under 3 topics:
1. Time lease contract
In the time lease contract, the lessee rents the vessel for a certain period of time, which can be a few days, months, years from a certain date, in exchange for paying a specified rent. In the time lease contract, the owner and the lessee agree in the lease agreement to maintain the safety of the goods, the vessel will move at a slow speed and the goods will reach the destination on the set date. If the goods do not reach the destination on the set date, the lessee can To cancel the rental contract.
• Duties of the owner in the time lease contract
In the time charter contract, the owner is responsible for managing the maritime and technical affairs of the vessel and is obliged to guarantee the seaworthiness of the vessel. Also, the owner is required to keep the vessel equipped and up and running during the duration of the contract, and if the vessel loses its seaworthiness during the duration of the rental contract, the lessee can file a lawsuit against the owner by referring to the competent authority.
• Lessee's duties in the time lease contract
The lessee is obliged to pay the rent specified in the contract, if the lessee does not pay the rent, the owner can terminate the lease agreement.
According to Article 144 of the Maritime Law, if the lessor has leased a certain and specific capacity of a vessel, but loads it less than that, the lessor is obliged to pay all the specified rent. But if he loads more than the capacity, he should increase the rent.
If the lessee refuses to start the contract without reason after the ship owner announces his readiness to deliver the vessel to the lessee at the designated location, the lessee is required to pay half of the rent to the owner.
2. Travel rental contract
A voyage charter contract is a contract in which the parties agree that the vessel will be provided to the lessee for one or more specified voyages. In addition to the rental contract, an agreement should be reached between the parties regarding the trips that the lessee intends to make regarding the port of loading, the port of unloading and the ports where the vessel stops.
• Duties of the owner in the travel rental contract
As part of the travel rental contract, the owner undertakes the seaworthiness of the vessel and undertakes that the vessel is healthy and without damage, although the owner is allowed to absolve himself of any responsibility under the travel rental contract; This condition is valid between the parties of the contract and cannot be invoked against third parties.
The owner of the vessel is obliged to move along the designated routes, and if no route is specified in the travel rental contract, the owner of the vessel must follow the normal route in compliance with the custom. If the owner of the ship violates this provision, the rental contract will be violated. unless the ship owner has the right to deviate from the specified and customary route in order to save life, property and the vessel, the vessel owner does not have the right to deviate from the specified and customary route, except in the case of forceful and unforeseen events or events that justify the deviation of the vessel.
• Responsibilities of the renter in the travel rental contract
In the travel rental contract, the lessee is obliged to load and unload the goods. Owners can reduce possible losses by including contractual conditions in the rental contract. If the tenant loads the goods earlier than the deadline set in the contract, he can use the remaining time in the unloading operation. Also, the tenant is obliged to pay the rent according to the rental agreement.
• Concept of demurrage
In addition to ship lease contracts, in which the loading and unloading period is determined, the parties can agree to pay a sum to the vessel owner in case of delay in loading and unloading. Unlike damage, demurrage does not need to be proved, and just for the delay in loading or unloading, the ship owner can claim for demurrage.
• Cancellation of travel rental contract
The lease agreement is similar to the lease agreement of objects, therefore it is invalidated in the following cases:
1- The loss of the float
2- Sinking and complete destruction and permanent seaworthiness
3- The legal prohibition of operating a vessel
4- Loss of citizenship
5- Loss of navigation license
In the next section, we will learn about the third method of renting.
3. Closed or bare lease contract
The lease contract is a contract in which the lessee rents the vessel with a lock and no equipment for a certain period of time. Iran's maritime law is silent about this type of lease, but it is acceptable in maritime custom.
• Responsibilities of lessor in closed or bare lease contract
In the closed lease, all costs related to maintenance, repair, payment of tolls, fuel, insurance crew salaries, etc. are the responsibility of the lessee; Also, the lessee is obliged to pay the rent on the set dates.
The renter is obliged to return the boat in the same condition and quality that he received from the owner. If the quality of the float decreases due to natural and customary depreciation, the lessor is not responsible.
The renter is responsible for all the damages caused to the owner, if the vessel is seized due to the renter's action, the renter must take the necessary measures at his own expense. to make bail for release.
• Obligations of the owner in the lease contract
The owner is responsible for the repairs of the float before the arrangement of the lease contract; Also, after setting up the rental contract, the owner is required to compensate for any defects that existed before the contract.
What does the shipping contract in Dubai include?
A ship charter in Dubai agreement includes the following points:
- Name of the ship, its specifications and capacity
- Specifications and amount of cargo
- Ports or places of loading and unloading
- Fare rate
- The manner, time, place and type of currency of payment for the fare
Allowed time for loading and unloading. When and under what conditions does this time begin and end, and whether exceptional times (such as working days when the weather is not favorable or holidays, etc.) should be considered or not. If there is damage for failure to load or unload within the prescribed period (ship delay damage) or a reward for speeding up loading and unloading in a shorter period.
Some important points in a ship charter in Dubai contract that the charterer should pay special attention to are:
- Amount: the article related to having the authority to increase or decrease (load)
- Fare rate: Specifying that the cost of loading and unloading (including loading/unloading, clearing/cleaning, etc.) is the responsibility of the charterer or the ship owner.
Loading and unloading ports: number and location
- Loading dates: the beginning and expiration dates and the necessary period for sending notices: the materials related to the bonus for speeding up the unloading and loading and the damage for the delay of the ship
- Payment: type of money and payment plan
How to rent a boat from the Dubai Marine website
Dubai Marine is one of the best marine rental and chartering sites in the United Arab Emirates. You can easily rent and charter ships in Dubai from the Dubai Marine website. Among the services of Dubai Marine Group, we can mention boat rental, dinghy rental, sale of jet skis, etc. In fact, you can easily rent any type of ship by visiting this site and getting information about the items available for rent.