Dead Freight Agreement

The court referred the decision back to the Tribunal to rule on the validity of the owner`s claim on the facts, but it can be inferred from the judgment that, where a sailing order is given by charterers or by a third party on behalf of the charterer preventing the loading of the full designated cargo and the participation of the master, which, for safety reasons, orders the ship to sail poses no problem (as in The ”Archimidis” above), then there may be reasons for the owners to pursue a valid right to dead cargo against charterer. Dead cargo. Sea freight is payable for freight agreed by charterers to be shipped but not actually shipped. As a general rule, it is the responsibility of the master to indicate in writing the maximum quantity of cargo that his ship can load. The payment of dead freight shall be deducted from the costs which, depending on the state of the charterer, would be borne by the shipowners, for example. B loading or unloading costs. There is obviously no reason for shipowners to be compensated for the cargo they have lost because the charterers have not loaded the agreed cargo and should also be able to reduce loading and unloading costs if the charter does not meet, for example, the conditions of FIOST (where the cargo is loaded, unloader, tidy and discharged costs to the shipowner). Dead cargo is the compensation to be paid to the shipowner not only because of the short cargo shipped by the charterer, but also when the nature of the cargo prevents the full capacity of the ship. For example, if the shape of the part is such that part of the ship`s space is wasted in the hold, it is called ”broken storage” and the dead cargo would have to pay for the reduction of the total quantity that results. What prompted you to look for dead cargo? Please let us know where you read or heard it (including the quote, if possible). In this case, the Commercial Court also considered a complaint filed by owners about dead cargo. The ship sailed without loading its nominated cargo, when it turned out that if the ship waited to load the full cargo, it would miss the tide and had to wait another 3 weeks. (The issue of secure port/berth was irrelevant, because if the ship had completed loading during the mooring period, there would have been no problem sailing with the tide and with a full load).

Dead cargo. Normally, this expression refers to the compensation that the user of a ship must pay to the owner of the ship. On regular services, it is used, in particular, but for the same purpose, to indicate the compensation to be paid by a shipper who does not comply with the minimum freight volume obligations under a service contract. . . .

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