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Charterers’ Orders


Time Charter

Time Charter, Redelivery

Time Charter, Redelivery Date

Time Charter, Suspension and Withdrawal

Withdrawal Clause and Notice of Withdrawal

Law and Sea.

Under a time-charter contract the vessel is to be delivered by the owners to the charterers for their commercial use within stipulated period of time. At the end of this time, subject to any express provision contained in the contract, the charterers obliged to redeliver the vessel to the owners.

Time Charter, Illegal charterers’ orders
Last updated: 06-Oct-2014

Hyundai Merchant Marine Co Ltd v Gesuri Chartering Co Ltd (The Peonia), [1991] 1 Lloyd’s Rep 100, per Bingham LJ at p.108:

The owner need not comply with such an order [illegal], because he has never agreed to do so. Alternatively, he may comply with the order although not bound to do so: if he does comply, he is entitled to payment of hire at the charter-party rate until redelivery of the vessel and (provided he does not waive the charterer’s breach) to damages (being the difference between the charter rate and the market rate if the market rate is higher than the charter rate) for the period between the final terminal date and redelivery. In the further alternative, if (which we do not decide) the charterer’s breach is repudiatory, the owner may accept the repudiation, treat the charter as at an end and claim damages.

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