Charter Agreement Template for Denmark

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Charter Agreement

I need a Charter Agreement under Danish law for a time charter of a bulk carrier vessel for a 12-month period starting March 1, 2025, with trading limits restricted to European waters and including specific provisions for fuel consumption warranties.

What is a Charter Agreement?

The Charter Agreement serves as a fundamental document in maritime commerce, establishing the contractual relationship between a vessel owner and a charterer under Danish jurisdiction. This agreement is essential when a party needs to lease a vessel for purposes such as cargo transportation, offshore operations, or specialized maritime services. The document comprehensively addresses operational, commercial, and legal aspects of the charter arrangement, incorporating requirements from Danish maritime law, EU regulations, and international conventions. A Charter Agreement can take various forms including time charter, voyage charter, or bareboat charter, each with specific provisions tailored to the nature of the arrangement. The agreement ensures compliance with Danish maritime regulations while providing clear guidelines for vessel operation, maintenance, liability allocation, and dispute resolution.

What sections should be included in a Charter Agreement?

1. Parties: Identification of the vessel owner/disponent owner and charterer, including full legal names, registration numbers, and addresses

2. Background: Context of the charter agreement, including brief description of the vessel and intended use

3. Definitions: Definitions of key terms used throughout the agreement, including technical shipping terms

4. Vessel Details: Comprehensive description of the vessel, including specifications, class, and certificates

5. Charter Period: Duration of the charter, including delivery and redelivery conditions

6. Charter Hire: Payment terms, hire rates, and payment mechanisms

7. Vessel Operations: Operational requirements, trading limits, and permitted cargo

8. Bunkers and Consumables: Provisions regarding fuel, oils, and other consumables

9. Insurance and Liability: Required insurance coverage and allocation of risks between parties

10. Maintenance and Repairs: Responsibilities for vessel maintenance and repair procedures

11. Compliance and Certificates: Obligations regarding regulatory compliance and maintaining certificates

12. Termination: Circumstances and procedures for early termination

13. Governing Law and Jurisdiction: Confirmation of Danish law governance and jurisdiction arrangements

14. Force Majeure: Events constituting force majeure and consequential procedures

15. Notices: Communication procedures and contact details for formal notices

What sections are optional to include in a Charter Agreement?

1. Off-hire Provisions: Specific to time charters - circumstances when hire payment is suspended

2. Cargo Operations: For voyage charters - specific provisions regarding loading, discharge, and cargo handling

3. Speed and Consumption Warranties: For time/voyage charters - vessel performance guarantees

4. Crew Management: For bareboat charters - provisions regarding crew employment and management

5. Purchase Option: Optional clause giving charterer right to purchase vessel

6. Environmental Protection: Additional environmental requirements beyond mandatory regulations

7. Sanctions Compliance: Specific provisions regarding international trade sanctions

8. ISM Code Compliance: Detailed provisions regarding safety management requirements

9. Sub-chartering: Provisions regarding permission and conditions for sub-chartering

What schedules should be included in a Charter Agreement?

1. Vessel Specifications: Detailed technical specifications of the vessel

2. Vessel Certificates: List of required certificates and their validity dates

3. Charter Hire Calculations: Detailed breakdown of hire calculations and adjustments

4. Trading Limits Map: Geographical representation of permitted trading areas

5. Inventory of Bunkers and Consumables: Detailed list of fuel, oils, and consumables at delivery

6. Vessel Condition Survey: On-hire survey report detailing vessel condition at delivery

7. Insurance Requirements: Detailed insurance specifications and minimum coverage requirements

8. Form of Performance Bond: Template for any required performance guarantees

9. BIMCO Standard Forms: Incorporated standard forms such as BARECON, BALTIME, or NYPE

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co

Relevant legal definitions

Clauses

Relevant Industries

Maritime

Shipping

Transportation

Logistics

International Trade

Oil & Gas

Commodities

Offshore Services

Fishing Industry

Marine Insurance

Relevant Teams

Legal

Operations

Commercial

Risk Management

Compliance

Technical

Finance

Insurance

Chartering

Fleet Management

Relevant Roles

Maritime Lawyer

Shipping Manager

Charter Party Manager

Fleet Operations Manager

Commercial Director

Risk Manager

Compliance Officer

Technical Superintendent

Vessel Operator

Contract Administrator

Chief Financial Officer

Insurance Manager

Port Captain

Maritime Consultant

Shipping Broker

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Let's create your Charter Agreement

What is a Charter Agreement?

What sections should be included in a Charter Agreement?

What sections are optional to include in a Charter Agreement?

What schedules should be included in a Charter Agreement?

Authors

Alex Denne

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