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Shipping Law


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CHAPTER 11

Voyage Charters - Laytime and Demurrage

Voyage Charters - Laytime and Demurrage


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The secondary payment obligation of the voyage charter arises out of the loading and discharging operations. This is best understood by dividing the performance of the voyage charter into four distinct parts, two of which are to be performed by the shipowner and two by the charterer. The duties of the shipowner are: first, to proceed with reasonable dispatch on the ‘approach voyage’ to the loading point designated by the charter (which may be either a port or a berth within a port); and, secondly, to proceed with reasonable dispatch on the ‘carrying voyage’ to the discharge point designated by the charter. The duties of the charterer are: first, to nominate within a reasonable time a port or berth, where appropriate, for loading or discharge; and, secondly, to load and discharge the cargo at that berth or port within a reasonable time, on completion of the approach or the carrying voyage. 1 If the charterer fails to perform either obligation, it will be liable to the shipowner in damages for detention at the market rate. 2

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