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SECTION 1.
CHARTERING PROCEDURE
SECTION 2.
CUSTOMARY ABBREVIATIONS
SECTION 3
CHARTERING PRACTICE
2| 
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2. 
3 |
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 1. 
1.1 Initial order
D It is usual to consider the initial order to come from the
charterer since the movement of cargo is the core element of the
shipping industry. The following is an example the initial order
from the charterer:
D ³Please find a ship of about seven thousand tons which we
could charter for 12 months to take consignment of wheat from
ports of North American to various ports along the China coast.
The question of speed is important as the ship we need must be
able to make a fast turn round. Please advise us if you can get a
suitable ship and let us know the terms´.
*+,!(
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D ðrom legal point of view, a quote is not binding on
the party making it.
D According to the Contract Law of the People¶s
Republic of China, a quote is not an offer, it is
only an invitation for offer. An invitation for offer
is a proposal for requesting other parties to make
offers to the principal.
 1.3 Contents of the quote
(1) Quote made by charterers under voyage charters
D The charterer¶s name and domicile.

D Cargo quantity and description of the commodity.

D Loading and discharging ports.

D Laydays and canceling day.

D Loading and discharging rates and terms.

D Any restrictions or preferences regarding type or size of ship.

D Charter party form on which the charterer wishes to base the

terms and conditions.

D Commissions to be paid by the owner.
(2) Quote made by owners
under voyage charters

D The owners¶ name and domicile.

D Description of the vessel
D Loading and discharging ports.
D Laydays and canceling day.
D Loading and discharging rates and terms.
D ðreight rate and payment of freight.
D Charter party form on which the owners wish to base the
terms and conditions.
D Commissions to be paid by the owner.
(3) Quote made by charterers under time
charters

D The charterer¶s name and domicile.

D The tonnage and type of the ship.
D The duration of chartering.
D The place of delivery/redelivery.
D The date of delivery and canceling
D Hire rate and payment of hire.
D Charter party form on which the charterer wishes to base
the terms and conditions.
D Commissions to be paid by the owner.
(4) Quote made by owners
under time charters
D The owner¶s name and domicile.
D The tonnage, name, nationality and other particulars of the
ship.
D The duration of chartering.
D The place of delivery/redelivery.
D The date of delivery and canceling
D Hire rate and payment of hire.
D Charter party form on which the owner wishes to base the
terms and conditions.
D Commissions to be paid by the owner.
6.#! &!
D ÕÕÕ GRAIN CORPORATION
D 30000 TS 10 PC MOLOO
D 1/2 SB 1/2 SP USGULð
D 1/2 SB 1/2 SP CHINA
D 8 WWDAYS SHEÕEIU
D LAYCAN 30 SEPT/10 OCT
D USUAL TERMS BASIS NORGRAIN CP
D WITH 1 PC ADDRESS COMMISSION
D BEST OððER INVIDED
 2. 
2.1 Meaning
D An offer is a proposal hoping to enter into a charter party with
other parties.
D When shipowner is informed that a charterer needs tonnage of
a type that the shipowner may provide he makes a calculation
based on the actual vessel. The shipowner will need necessary
information concerning costs for the operation of the vessel,
e.g., costs for the handling of cargo in ports, port charges and
dues associated with the ship¶s call, costs for canal passages,
notes about bunker prices, etc. If the calculation seems
reasonable the shipowner may make an offer.
2.2 Detail of 
D The ship¶s name and particulars.
D Cargo quantity and description of the commodity.
D Loading and discharging ports and berths.
D Laydays/canceling day.
D Loading and discharging rates and terms.
D Demurrage and dispatch rates.
D ðreight amount and conditions for payment of freight.
D Charter party form.
D Commissions.
á

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D The general contract principle is that an offer is binding. Then
a counter offer will be regarded as a rejection of the original
offer in conjunction with a new offer binding upon the person
who has given the count offer.
D An offer is not binding for any length of time. If the offer
prescribes a certain time before which it must be accepted, the
expiration of this time means that the offeror is no longer
bound.
D If no time has been expressly stated the basis is that the
offeree shall have reasonable or customary time at his disposal
to reply. This time is determined with regard to the importance
of the business, the circumstances under which the offer has
been given, the speed of the transactions in the trade, etc.
!*|
3.1 Meaning
D A counter offer will be regarded as a
rejection of the original offer.
D A counter offer is a new offer.

D When one makes a count offer one is in fact

saying µI decline your offer and I now make
you the following new offer¶.
 !*+0"-
(1) We accept Shipowner¶s/Charterer¶s offer, exceptA´ followed
by the terms that shipowners or charterers want to change (this
is if the offer is acceptable in parts, but some terms must be
subject to further negotiation). The parties have already agreed
on a number of terms.
(2) ³WE decline shipowner¶s/Charterer¶s offer and offer as
followsA´. Technically the parties have not yet agreed on any
point. If the charterers or shipowners find most of the terms
offered unacceptable, but nevertheless will try to negotiate. The
charterers or shipowners will in this case go back to the
shipowners or charterers with a full offer of their own.
 !*+0"-
(3)³Charterers decline shipowner¶s offer
without counter´. If the charterers find
the shipowner¶s offer to be
completely unacceptable and they find
it pointless to continue the
negotiations. The negotiations will be
terminated.
(4)³We repeat our last´ or ³We repeat our last,
except´--It means that the shipowners or charterers
insist on their requirement or with slightly amendment.
 !*!](!&-
D Counter offer is a new offer and the parties are obviously trying
hard to conclude a contract between them.
D However no one in shipping expects an offer to remain open
forever and so it is usual to place a limit upon the validity of the
offer. This allows either party to begin negotiations with another
D It is important that offers and counter offers not only state the
time by which a reply is due but also the place where any reply
must be made within that time limitation. The time and place for
reply to an offer must be quite explicit. Beware of imprecise
expressions such as ³for prompt reply´ or ³ for immediate
reply´.
/
 
D Period of which the offer is valid.
D ðreight rate.
D Name of vessel.
D Laydays.
D Vessel¶s carrying capacity of the cargo in question.
D Loading and discharging ports.
D Loading and discharging costs.
D Demurrage and dispatch.
D Commission.
D Charter party form to be used.
 4.2 Example
‡ TKS ðOR YOUR ðAÕ THIS MORNING WHICH CHRTS
ðIRM OððER ASð ðOR YOUR REPLY W/I 30 MINS:
‡ ðULL N COMPLET CGO MAINLY INCL PIG IRON IN
BULK, STEEL, CHEMICALS IN BGD/DRUM, ETC. AT
CHRTS OPTION AND SUBJ ðINAL LOADG LIST.
‡ LAYCAN 08TH-13TH MAY 1999 1/2 SB 1/2SP N. CHINA
DALIAN, ÕINGANG.
‡ 1/2 SB 1/2 SP ASIA, BANGKOK.
‡ ðRT USD 85000 IN LUMPSUM ðIOST BSS 2/1.
‡ ðULL ðRT TO BE PAID W/I 5 BKG DAYS AðTER
COMPLETION Oð LOADING.
‡ OWRS TO APPOINT AGENTS WHICH TO BE
NOMINATED BY CHRTS BENDS.
‡ L/DISRATE CQD/CQD.
 4.2 Example
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 5. Subject to

D Subject to charterers¶ board¶s

approval´.
D ³Subject to receiver¶s approval´.

D ³Subject to stem´.

D ³Subject to open´.

D ³Subject to details´.
 *2! :!&
D When the parties have in their negotiations used such phrases
as ³Subject to charterers¶ board¶s approval´ or ³Subject to
receiver¶s approval´, it is a matter of construction of all the
exchanges in their contexts to decide whether there is (a) no
binding contract at all; or (b) a contract which binds
immediately but whose main obligations come into operation
only if and when the approval has been given;
D Although the main obligations of the contract will not come
into operation until approval is given, there may, meanwhile,
be an obligation on one or both of the parties not to prevent the
fulfillment of the requirement or even to do what is reasonable
to try to fulfill it.
 *+2-


D A typical example may be that of a merchant who wants to secure
shipping space for goods he is about to buy or sell. He may find it
practical to have tonnage at hand and negotiate all arrangements
for shipment prior to buying or selling the goods. In such a case
his charter offer is made ³subject stem´, meaning that he is in no
way committed if the purchase or sale of the goods should not
materialize. It is an expression used to qualify an agreement to
load under a charter by making the obligation subject to the
agreement of suppliers to make cargo available at the relevant time.
D Another example is that of the shipowner who makes a firm offer
³subject open´, meaning that he retains the right to withdraw his
offer in case the vessel should be fixed for other business prior to
acceptance of the offer in question. In general such an offer is no
more than an indication or quote.
 *!2"!&-

D This term is a well-known expression in chartering practice which is

intended to entitle either party to resile from the contract if in good faith
either party is not satisfied with any of the details as discussed between them.
English authority clearly supports the view that the use of the qualification
³subject to details´ indicates that the parties do not yet intend to be bound.
D In The Junior K [1988] 2 Lloyd¶s Rep. 583, a case on a voyage charter of
the Junior K, it was held by the court that the stipulation ³subject to details
of the Gencon charter party´ conveys that the fixture is conditional upon
agreement reached on the details of the Gencon form, which had not yet
been discussed.
D It should be noted that there are American cases to a contrary effect. The
widespread practice of fixing ³subject details´ ordinarily will not be
construed as requiring agreement on each and every charter term before a
binding contract is created. Once there has been agreement on essential
terms, a contract is deemed to exist and the negotiation of remaining details
becomes a ministerial task.
 
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 *1!(%!(#
It is mutually agreed between Messrs as owners and Messrs charterers that:
1.Cargo 15,000T Rice in bags 5% more or less at owner¶s option ( owners to
declare quantity to be shipped 2 days before vessel arriving at loading port).
‡ 2. Loading at one safe port Singapore.
‡ 3. Discharging at one safe port China.
‡ 4. Laydays and Canceling Date: 20th /30th Oct. 1989.
‡ 5. ðreight rate USD 19.00 per Metric ton ðIOST, CQD both end.
‡ 6. 100% freight prepaid by T/T to owner¶s account in US dollars at Singapore
‡ after completion of loading before releasing Bill of Lading.
‡ 7. Any dues/taxes on vessel, on freight to be for Owners¶ account.Any dues/taxes
‡ on cargo to be for Charterers¶ account.
‡ 8. If charterers fail to ship as agreed quantity, they are liable to pay the deadfreight
‡ at the freight rate as agreed.
‡ 9. Otherwise details as per Gencon C/P.
ðor and on behalf of ðor and on behalf of
(owners) (charterers)
**+ #! & '
D OWNERS: ABC shipping Co.
D CHTRS: ÕYZ Corporation Ltd
D CGO/QTTY: 35,000MT 10PCT MOLOO COAL IN BULK
D L/PORT: 1SAP CALCUTTA, INDIA
D D/PORT: 1SBP ZHANGJIAGANG, YZ RIVER, CHINA.
D LAYCAN: JUN 7-15TH, 2005
D ðRT: USD 19.00 PMT ðIOST. BSS 1/1
D ðRT PAYMENT: 100PCT ðRT TO BE PAID BY CHTRS TO
OWR'S NOMINATED BANK ACCOUNT 3 BANKG DAYS
AðTER COMPLETION Oð LDG AND IN CASE 'ðRT PREPAID'
B/L NEEDED, OWS TO ISSUE THE SAME ONLY AðTER
RECEIVING ðULL OCEAN ðRT, UNREVOCABLE AND
DISCOUNTLESS, WHETHER VSL/CGO LOST OR NOT.
D DEM/DES: DEMURRAGE USD 20,000 PER DAY/DHD
BENDS Ið ANY DEMURRAGE AT L/PORT, SAME
DEMURRAGE MONEY TO BE SETTLED AND PAID
BY CHTRS TO OWS BEðORE VSL'S ARRIVAL AT
DISPORT. DEM AT D/PORT, Ið ANY, TO BE
SETTLED AND PAID W/I 5 DAYS.
D N.O.R. TO BE RENDERED AND ACCEPTED
ATDNSHINC W/W/W/W, BENDS ACTUAL TIME
USED ðOR LDG/DISCHG BEðORE COMMENCE Oð
LAYTIME TO BE CALCULATED AS LAYTIME AS
PER GENCON 94 C/P ðORM, ONCE ON
DEMURRAGE, ALWAYS ON DEMMURAGE
D L/RATE: 8,000MT PWWD SHINC
D D/RATE: 12,000MT PWWD SHINC
D AGENTS: OWS TO APPOINT LOCAL AGENTS
BENDS, AND PAY PORT DISBURSEMENTS
D CHARGES/ðEE LIðTED BY VSL/ðRT TAÕ/ðLAG TB ðOR
OWS' ACCT
D CHARGES/ðEE LIðTED BY CGO TAÕ/TARIðð/STEVEDORE
TB ðOR CHTR'S ACCT
D OWS TO GTEE VSL'S GEARS TO BE IN GOOD ORDER AND
WORKABLE, AND SUITABLE ðOR GRAB OPERATION. IN
CASE ANY BREAKDOWN Oð VSL'S GEAR, LAYTIME TO BE
CALCULATED PRO RATA.
D OWS/MASTER TO GIVE CHTRS AND AGENTS 5/3/2/1 DAYS
PRIOR ARRIVAL NOTICE.
D THIS C/P IS GOVERNED BY CHINESE MARITIME LAW, ANY
DISPUTE AND ARGUMENT TB SETTLED BY SHANGHAI
MARITIME COUNT
D Ið SHIPPERS/CHTRS CANNOT LOAD/SHIP WITH ðIÕED CGO
5 CALENDAR DAYS AðTER VSL'S ARRIVAL AT LDG PORT,
CHTRS TO REMIT 5 DAYS DEMURRAGE MONEY TO OWR'S
BANK ACCOUNT AS GTEE AND OWS ARE INTITLED TO
WITHDRAW VSL AND CANCELL THIS C/P.
D ANY LOSS/DAMAGE TO OWS CAUSED IN THIS
CASE TO BE ðOR CHTR'S ACCT.
D DETAILS/OWISE AS PER GENCON 94 C/P ðORM
D AðTER BOTH SIDES SIGN AND CHOP/STAMP ON
ðAÕ COPY Oð THIS ðIÕTURE NOTE, THIS
ðIÕTURE TO COME TO EððECT. AND HAVE
SAME LEGAL EððECT WITH ORIGINAL C/P
SIGNED BY BENDS.
D IN CASE ANY DIððERENCE/DISCREPANCE
BETWEEN ENGLISH AND CHINESE VERSION Oð
THIS ðIÕTURE NOTE, ENGLISH VERSION TO
DOMINATE.
 K
   
It is this day mutually agreed through friendly consultation between
Shipowner and Charterer on chartering of M/V ³ABC´ with terms and
conditions as following:
 Delivery place: port of Yantai, China
Delivery time: around 12/15 July, 1999. Begin with the moment that the
outward document completed or pilot onboard the vessel whichever occurred
last, whether on Sunday, Holiday or not, when in day or night.
Redelivery place: the last discharging port in Japan of the voyage.
 Redelivery time: when dropped outward pilot at the place of clause 3.
Daily hire: US$3,700 per day or pro rata including crew¶s overtime.

Hire payment: first 15 days hire will be paid in advance before delivered
the vessel, the rest to be sent within 3 banking days after redelivery the vessel.
 Cargo to be loaded: rough granite.
 Stevedores damage to vessel: charterers to be fully responsible for damage
to the vessel caused by stevedores or others employees by the charterers.
Agents: charterers to appoint agents at both ends and pay agency fee.
Commission: 2.5 percent total.
(11)Other terms and conditions to be subject to NYPE.
 6.3 Standard form of fixture note of
voyage charter party
|%!|%! !!&|
#
1!(|%!!
§2000 Standard ðorm
day______/month_____/year_____
It is mutually agreed between_____________________as Owners
(address:____________fax:___________telephone:_________)
and________________________________________as Charterers
(address:____________fax:___________telephone:_________)
that this ðixture Note shall be performed subject to the following
terms and conditions:
$!&!-(1--&;
M/V:________ðlag:___________Built:_____________
Classification:_______ _Registered shipowners:_______
GT/NT/DWT:______/_____/_______TS SSW:___________
LOA/BM:______/_____MS Grain/Bale Capa:__/____CBMS
Ho/Ha:______/________Derr:_______Tweendeck:________
[add other items when necessary]_______________________
_________________________________________
+$|!(!"<!; [ Indicate Alternative§A or§B with¥]
[ ] §A ______m/ts of __________in____[bag or bulk],____% more or less at
________ option [Owners' option or Charterers' option].
[ ] §B _____cbms of__________________________,____% more or less at
________option [Charterers' option or Owners' option].
$$

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$$

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[ ] (A) _____safe port(s) at_____________/________________ .
[ ] (B) _____safe berth(s) at port(s) of _______/_ ___________.
D 5$Loading/Discharging Rate: [Indicate Alternative§A or§B or (C) with¥]
[ ] §A _________/__________m/ts per weather working day, Sundays and
holidays excepted unless used (PWWD SHEÕ UU) .
[ ] §B _________/___________m/ts per weather working day , Sundays and
holidays excepted even if used (PWWD SHEÕ EIU).
[ ] §C Customary quick despatch at port(s) of_________[ loading or
discharging](CQD).

D 6$Laytime Calculation: [ Indicate Alternative§A or§B with¥]

[ ] §A Separate laytime for loading and discharging.
[ ] §B Total laytime for loading and discharging.

D 7$ðreight Rate: [ Indicate Alternative§A or§B or§C or§ D with¥]

[ ] §A Lumpsum _____________ fiost.
[ ] §B __________ per________[net or gross] m/t fiost .
[ ] §C __________ per________[net or gross] m/t on free in and liner out .
[ ] §D __________ per________[net or gross] cbm fiost.
D 8$(%!;[Indicate Alternative§A or§B or§C with¥]
[ ] §A ðreight to be paid within _____banking days after completion of loading .
[ ] §B ðreight to be paid within _____banking days after completion of loading, but
always before breaking bulk.
D ðreight collected or to be collected as per aforesaid (A) or (B) shall be deemed
earned by Owners upon cargo loading on board, and such freight must be paid by
Charterers non-returnable and non-discountable whether vessel/cargo lost or not.
D [ ] (C) ðreight to be paid within _____banking days after completion of
discharging.
7$!(2- !%;
______/_______per day or pro rata to be settled within____days after completion
of discharging provided that Owner's lien,if any,on the cargo shall not be affected
by this provision.
D 9$!#-2-2
Taxes/dues/fee if any on vessel/freight to be for Owners' account, howsoever
the amount thereof may be assessed. Same on cargo if any to be for Charterers'
account, howsoever the amount thereof may be assessed.
D $
(;[ Indicate Alternative§A or (B with¥]
[ ] §A Owners' agents both ends.
[ ] §B Owners' agent at loading port and Charterers' agent at discharging port.
D +$|--;[ Indicate Alternative§A or§B with¥]
[ ] (A) Commission on freight, dead-freight and demurrage totals____ percent
including address commission.
[ ] (B) Commission on freight, dead-freight and demurrage totals____percent ,
plus____percent to be for___________________________ .
D !$]!'!"
!
This ðixture Note shall be governed by and construed in accordance with
Chinese law, and the Charter Party shall be established when this ðixture Note
is signed. Any dispute arising out of or in connection with this ðixture Note
shall be submitted to China Maritime Arbitration Commission for arbitration in
Beijing. The arbitration award shall be final and binding upon the parties
D /$|%!;[ Indicate Alternative (A) or (B) with¥]
[ ] (A) Other terms and conditions are as per Gencon Charter 1994, except
Clause 2.
[ ] (B) Other terms and conditions are as per Gencon Charter 1976, except
Clause(s)
D $2 !&:--;____________________________________
_______________________________________________________
______________________ ______________________
Owners' signature Charterers' signature
V0




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 7.1 Information and Instruction to Master
The voyage instructions in general contain the following items:
D Name of the ports of call.

D Name of the commodity.

D Name of the agents at calling port.

D Quantities to be loaded/discharged at each port.

D Loading/unloading conditions and terms.

D Where and how much bunkers is to be supplied.

D Where and how many crew members are to be embark/disembark.

D Where supplies for the ship can be lifted, etc.

 7.2 Appointment of Agents
D Attending to the procedures for ship's entry into & departure from the
ports of sea areas; arranging pilotage, berth, loading and unloading,
etc.
D Attending to marine survey, ship's repair; supply of fresh water,
provisions and stores; purchasing and/or forwarding ship's spare parts,
sea charts, etc.
D Attending to the matters of ship's tenancy, sales and delivery.
D Attending to the business of chartering ships and providing
consultation and information.
D Arranging for passports, visa, medical treatment, repatriation and
sightseeing for crew members.
D Attending to the maritime affairs.
 7.3 Performance of Voyage Chartering
D The vessel must be directed to the port of loading.
Often a canceling day has been determined for the
latest arrival of the ship at the port of loading, and if
she has not arrived at that time the charterer may
cancel the charter. The charterer may also be entitled
to claim damages when the arrival of the vessel is
delayed. The shipowner has then a duty to carry out
the agreed voyage without delay and without deviating
from the agreed or customary route.
 7.3 Performance of Voyage Chartering
D In the port of loading the charterer must deliver the agreed cargo.
Without particular agreement to the contrary the cargo must not be
of a dangerous nature. The charterer usually has a duty to deliver a
full cargo within the ship¶s capacity. If too little cargo is delivered or
the cargo is delivered in such a state that the ship¶s capacity cannot
be utilized, a freight compensation, the so-called deadfreight, can be
claimed by the shipowner. This compensation is based on the
difference between the full freight to which the shipowner would
have been entitled if all cargo were delivered and the freight to be
paid according to the intake quantity less any expenses saved for
short delivered cargo. If, on the other hand, the vessel cannot load
the agreed quantity, a corresponding freight reduction will be made.
In addition, the charterer may eventually claim compensation for
additional costs, for example, for other tonnage that has been
chartered.
 7.3 Performance of Voyage Chartering
D The freight will be paid for cargo discharged after the voyage. If the
ship is lost or does not reach her destination, no freight will be paid
at all. In order to protect the shipowner¶s right to freight, the freight
prepaid clause is often added or amended with ³freight shall be
considered as fully earned upon shipment and non returnable in any
event whether or not the voyage shall be performed and whether or
not the vessel and/or cargo shall be lost or not lost.´
D On arrival at the port of destination the master will, provided that the
freight has been paid, deliver the cargo to the consignee named in
the bill of lading or to the first person who presents a properly
indorsed bill of lading.
 $*/!|%!(
D The ship must be delivered to the time charterer not later than a
certain date, and any delay beyond the canceling date entitled the
charterer to cancel the charter. The voyages also have to be
carried out without delay. If the vessel is delayed due to
breakdown of machinery or for other specified reasons she may be
off-hire, and then a reduction of the time may be made so that no
hire will be paid during the off-hire period. But under a time
charter the shipowner, basically, is not liable for delay not caused
by the ship.
D The hire is payable in advance for a month or other period. If the
hire is not paid promptly the shipowner may be entitled to cancel
the charter. The liability for the cargo may be determined in
different ways and may rest with the shipowner or with the
charterer or may be divided between them in one way or another.
 $*/!|%!(
D When giving orders to the vessel the charterer must keep within the
trading Restrictions prescribed by the contract, with respect to
geographical areas as well as cargoes to be carried. Unless the
parties have reached an agreement to the contrary, the charterer
may only order the vessel to safe ports and berths. He must follow
the terms and conditions of the charter party as to excepted cargoes
and, as in a voyage charter, he must not ordinarily have goods
carried which may cause damage to the ship, the personnel or other
cargo.
D At the end of the charter period the charterer has to redeliver the
vessel at the place agreed. It would often be hard for the charterer to
use the ship effectively during the last part of the charter period if
he had to redeliver her on a particular day. The charter party
therefore ordinarily contains provisions on over lap, entitling the
charterer to use the vessel for a reasonable time after the expiration
of the charter against an agreed hire or on under lap, entitling the
charterer to redeliver her somewhat earlier than the basic charter
provides.
 

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D

;
&'!-
--& signifies that the charterer is
obliged to secure a berth that could be reached
immediately on arrival. ðor tankers the term is more
commonly used.
D



;
&'!-
--&
&'!-
&!signifies
that the charterer is obliged to secure a berth that could
be reached immediately on arrival and the berth there
will always be sufficient water to prevent the ship from
touching bottom at any time.
D
||;
 signifies that the person concerned is
liable for payment.
D
2;
:!& & 2! signifies a location on arrival at which a
vessel will deliver on to a time charter.
D

;
!&  
:!& signifies the time a ship will actually
arrive at the port or place.
D
;
!&    ! signifies the time a ship will
actually depart from the port.
D

2
|;
  !2
(% 2"!- !" &"!-
&"" means that any time including Sundays and Holidays the
master could tender NOR or delivery the vessel.
4
; 4=
"- ! is a ðuel Surcharge expressed as
a percentage added or subtracted from the freight amount, reflecting
the movement in the market place price for bunkers.
D 44; 4!&&!- 4- is a lump sum amount paid to shipowner for
positioning his vessel at a certain place as prerequisite for her
delivery on to time charterer. Occasionally paid for accepting
redelivery from time charterer in an unfavorable position.
D 444;44!=(4&= refers to freight payments that must be
received before discharge of a vessel commences. ðreight not to be
paid until after arrival at the discharge port but before
commencement of unloading.
D 4!= &= |!(; Cargo that is shipped in packing units such as
cartons, cases, crates, bales, or drums, but not containerized.
D 4| ; 4!& |! -> "# is a daily benchmark index published
by the Baltic calculated from the weighted average weights on major
routes, both voyage and time charter, as assessed by a panel of
shipbrokers.
D 4
2;4%"-refers to load & discharge ports.
D 4 ; 4!&  "# refers to the Baltic Exchange's general dry
freight market indicator which is an average of the BCI, BHMI, BPI.
D 4 ;4!&!= "# refers to the average of rates on
the BITR dirty routes.
D 4 , ; 4!& !"!# "# refers to a daily benchmark index
published by the Baltic calculated from the weighted average
weights on major timecharter routes, as assessed by a panel of
shipbrokers.
D | ; |%!
-   may refer to charterer¶s option to
discharge at a number of ports or relative to a cargo size margin.
D |
;|

|
  ,NT is an agreement by
an owner or operator to lift an agreed number of cargoes over a
period of time.
D |<;|-!<=- !%means that the vessel is to be
loaded or discharged as quickly as is customary and possible.
D |12; |-: 1!( refers to a series of consecutive voyages,
usually laden from port A to port B, returning in ballast condition
and so on until completion of final cargo discharge.
D ; !(2 - !% is an expression confirming that
the shipowner may be entitled to demurrage for port delay to his
vessel but that no despatch is applicable in case laytime is saved.
D  ; !(2 !& - !% is more frequently encountered
than DðD in deep-sea trades, where despatch earned is agreed to be
at half the daily rate of demurrage.
D ;  ( '!" & signifies a point of
delivery on to or redelivery off time charter.
D ]2;  ( ]!- '!" 2! & is as DOP
but more clarified. In some ports as many as four pilots
may be used on the outward passage. This term indicates
that all acts of pilotage must be complete.
D 
; !"'(%
&& &" means the total deadweight
of a vessel against a particular draft including cargoes,
bunkers, constant weights, etc.
D ||; !"'(% |!( |! ! means an estimate
of the actual cargo intake against a particular draft less
bunkers, constant weights, etc.
D  ; :  -" signifies that time spent on cargo
working in excepted periods will not count as laytime,
even if used.
D 
; -!"  # "  
:!& signifies
the time a ship will be expected to arrive at the loading or
discharging port or place.
D |; -!"  # "   |
signifies the time a ship will be expected to commence
the loading or discharging cargo.
D ; -!"  # "    !
signifies the time a ship will be expected to leave the
loading or discharging port or place.
D 2; -!"  # "   2!&( signifies
the time a ship will be expected to leave the loading or
discharging port or place for sea voyage.
D 
; '!" (%
(* means of hedging exposure to
freight market risk through the trading of specified timecharter and
voyage rates for forward positions. Settlement is against a relevant
route assessment published by the Baltic Exchange.
D  3; "!- !" &"!- # " means that laytime will
not count during ðridays and Holidays.
D 
|;"!-!"%&"!- &"" means that laytime counts
during ðridays and holidays.
D  ; !" means cargo to be loaded and discharged
free of expense to the shipowner.
D  2;  5  !" 2'" means cargo to be loaded, stowed
and discharged free of expense to the shipowner.
D  2;  5 5 2'" !" " ensures that none of
the loading, stowing, trimming and discharging, expenses will be
for the account of the shipowner.
D ;   ! refers to the vessel has been approved by the
port medical authorities as not having any sanitary disqualification
that would prevent her from proceeding to the berth and
commencing operations.
D ]
|

; ]!"!-2|!&( means a spread of dates between
which dates a vessel is to present for loading. Too early and she will
probably have to wait. Too late and she risks being cancelled by the
charterers.
D ,]; ,  ]-- refers to a cargo size option usually clarifying
whose option to select the final cargo size.
D ,]|; ,  ]-- |%!
-   means that the
charterer has the option for selection of the final goods size before
loading at the loading port.
D ,]; ,  ]-- '
-   means that he
shipowner has the option for selection of the final goods size before
loading at the loading port.
D
;
  !"-- means the notice to charter, shipper,
receiver or other person as required by the charter party that the
vessel is ready to load or discharge.
D ;  indicates that a cargo or a ship is available promptly.
D 4; !(  4!" refers to cargo, bunkers or fresh water
remaining on board a vessel at any particular time.
D 2
; 2!
%!( refers to an anchorage where ship waiting for
berth must be safe for her.
D 24;2!4%refers to a berth where ship calling at must be safe for
her.
D 2; 2'!( ! means cubic space (measurement tonne)
occupied by one tonne (2,240 lbs/1,000 kgs) of cargo.
D 2 3; 2"!- !" &"!- # " means that laytime will not
count during Sundays or Holidays.
D 2
|; 2"!- !" &"!- &"" means that laytime will
count during Sundays and Holidays, which are considered to be
normal working days.
D 22 3; 2!"!-5 2"!-5 &"!- #&"" means that
laytime will not count during Saturday, Sundays or Holidays.
D 2;2!refers to a port where ship calling at must be safe for
her.
D 2];2!=(]!"refers to lifting capacities of cranes or
derricks.
D  ; !=( '!" & signifies a location on arrival at which
taking aboard the pilot a ship delivers on to her time charter.
D ; &-- -"signifies that if work is done during an excepted
period laytime will count.
D ||
;%%|--|&!"

D  4
;%% 4%

D  
;%% !

D  
;%% 

D All the four terms are connected with the question of when the
ship can be considered as ³arrived´ and so present a notice of
readiness. In cases when all four apply the abbreviation 
is used instead.
D ;
  , 
 means that time during which
weather that prevents working shall not count as laytime.
D ;
 0

shall mean a working day
of 24 consecutive hours except for any time when weather
prevents the loading or discharging of the vessel or would have
prevented it, had work been in progress.
 


'



D The Sellers: China National ABC Import and Export Corp. Shanxi.
Branch.
D The Buyers: Thai1and ðar East ÕYZ International Trading Go.
D The Goods: Coke 6,000MT ðOBT TIANJIN USD68/MT. Total
amount. USD408, 000.00
D Shipment quantity-10% more or less allowed.
D Time of Shipment: To be shipped on or before May 5th, l998
D Port of loading: Õingang, Tianjin.
D Port of discharging: Bangkok.
 +!-!- |&"(
1!(
|%!!
; 999, |0
4 ]0 32400
D 6000MT COKE IN BULK Sð ABT 1.8M 5 PCT
MOL
D ÕGG/BKK ðIOT BSS l/l

D LYCN 25/4-3/5 l998

D ADCOM 2.5PCT

D PLS ADV ANY SUTBL VSL

AVLBL N YR REST OððER

D TKS/BRGDS
 $!(Offer )
RE: 6000MT COKE IN BULK ÕGG/BKK
RYTLÕ 2/4/98 ON THE CPTND SUBJ N OððER AS ðLWS:
D 1 SBP ÕINGANG/1 SBP BANGKOK

D 6000MT COKE IN BULK 5PCTMOL Sð ABT l .8M

D LYCN 20/30 APR l998

D LOAD/DISCH 2500/2500MT WWDSHEÕUU

D USD20.00 PMT ðIOST l/l BSS

D ðULL ðRT BE PAID W/I 3 BANKING DAYS AðT

COMPLTN Oð LOADING
D DEM/DES USD4000/DHD
D OWS AGENTS BENDS
D AP ON CGO DUE TO VSLS AGE Ið ANY TB ðOR CHTES
ACCT
D ADCOM 2.5PCT
D SUBJ DTLS OWISE PER GENCON
D ðYI VSLS MAIN PARTL ASðLWS
NV RUDIA-PAN-80 BLT-SDBC-3 HOLDS-LOA ll7.20-
DWT 8623-7.6M-G/B 12560/l l740 M -3 x 20T DERS-l2 K
D YR EARLIEST CðM THE ABV APRECD
D BRGDS
$!( Counter offer )
,1  
999, |0 32400
D TKS ðOR YR OððER 4/4/1998 WE COUNTER
ASðLWS
D LOAD/DISCH l500/2000MT WWDSHEÕEIU

D USD 18.00 PMT ðIOST l /1 BSS

D DEM/DES USD3000/DHD

D AP Ið ANY LPSM USD 1000 OWS ACCT

D OTHERS AS PER YRTLÕ 3/4/98

D PLS URG CðM THE ABV

D TKS BRGDS
$!( ðirm offer )
D TKS ðOR YR COUNTER 4/4/98 WE ðIRM
OððER ASðLWS
D LOAD /DISCH 2000/2500MT WWDSHEÕ UU
D USD 19.50 PMT ðIOST l/1 BSS
D ADCOM 1 .25PCT
D OTHERS AS PER OUR PREVIOUS TLÕES
D SUBJ OWRS BOD APRVL W/l 24HRS
D BRGDS
$!( Acceptance )
,1  
999, |0 32400
D TKS ðOR YR ðIRM OððER AS GOOD
RELATION BTWN US YR ðIRM OððER
ACPTD PLS ADJST ðRT SUGST USD
19.00PMT
D PLS URG CðM THE ABV

D BRGDS
 $!( ðirm offer)
MV RUDIA 6000MT COKE ÕGG/BKK
D 

 K   
    
 
D K    
    !
D "
!  
D # #$

 #$

D
#%     
D 
    #  !  & #"    #&
D ##
#!#$#
D   & #
D   " 
# %    ##
#    "
D # %

D  #         $ & #
D  
    
 '&  (
D    $  

D BRGDS
D TK U ðOR UR PROðORMA WE SUGST TO DELET
TALLYING N SEPERATION/CGO ðUMIGATION
CLAUSES N ADD CLAUSE Oð ISSUING 2ND SEð Oð
B/LADING AT HKG SUGST USING ðLWG AS NORMAL
PRACTICE:
D "UPON RCPT ðULL ðRT (LESS 1 .25PCT ADCOM), OWRS
AGREE TO ISSUE ðREE Oð CHARGE TO CHTRS A 2ND
SET ðRT PREPAID B/LADING IN HKG AGNST CHTRS
LETTER Oð INDEMNITY IN OWNRS WORDINGS
INDEMNIðING OWRS AGNST ALL CONSEQS
THEREðROM THE 1ST SET Oð B/LADING TB RETURD TO
OWNRS ASAP
D Ið U HV NO OBJTN PLS GO AHEAD TO PREPARE C/P
ðOR EARLIER SIGNATURE.
D TK U VERY MUCH
D BRGS
D Messrs Thailand ðar East ÕYZ International Trading Co. Bangkok
D Dear Sirs,
D Please find enclosed herewith two sets of the Charter Party dated.
Hong Kong 7th April, l998 as per our telexes exchange from 2nd to
7th April, l998 Covering a shipment of 6,000.00 metric tons of coke
in bulk from Õingang to Bangkok.
D Please check and sing them and return us one set which being duly
signed by your goodselves.
D We thank you very much for prompt fixture of the Charter Party
based on your support and our board appreciates cooperation
between our two parties and looking forward to developing our
good relation.
D ðor your information, MV "Rudia" is now sailing to Pushan to
discharge there a full cargo of gypsum in bulk and we expect she
can depart from Pushan around 22nd instance and arrive at Õingang
on 23rd. ________________
Vice President
MARD Shipping Co., Ltd