Time Charter

Short Description

In a time charter, the vessel is hired for a specific amount of time. The owner still manages the vessel but the charterer gives orders for the employment of the vessel, and may sub-charter the vessel on a time charter or voyage charter basis.The demise or bareboat charter is a subtype of time charter in which the charterer takes responsibility for the crewing and maintenance of the ship during the time of the charter, assuming the legal responsibilities of the owner and is known as a disponent owner. A bareboat charter or demise charter is an arrangement for the hiring of a vessel whereby no administration or technical maintenance is included as part of the agreement. The charterer obtains possession and full control of the vessel along with the legal and financial responsibility for it. The charterer pays for all operating expenses, including fuel, crew, port expenses and P&I and hull insurance. In commercial demise chartering, the charter period may last for many years; and may end with the charterer acquiring title (ownership) of the ship. In this case, a demise charter is a form of hire-purchase from the owners, who may well have been the shipbuilders. Demise chartering is common for tankers and bulk-carriers.

TIME CHARTER A charterer pay for the use of a vessel for a specified period. The charterer also provides and pays for fuel, port charges, and pilotage. The shipowner retains responsibility for navigation and most operations aboard the vessel.

BAREBOAT CHARTERER: Charterer gets the ship, its hull, and machinery, and must hire a crew or the services of a ship management company. By contrast, a time charterer pays for a ready-to-go vessel.

TC OUT contracts are also stored in the module, however these are generated through the Voyage Estimate module and documented under that module. TC IN TC COntracts module.

Enter test here....

INDICATE THE COST OF THE SHIP:

Alternative 1; rent a ship (or use one you alreday rented). If it is already rented, the tc in contract will already be automatically retrieved

Alternative 2: buy or use your own ship. If already owned, the Breakeven / Day will be filled in automatically (if it has been defined in the Running Cost section of the Internal Data on the Vessel Admin).

On time charter, the charterer undertakes to hire the ship for a stated period of time or for a specified round-trip voyage or, occasionally, for a stated one-way voyage, the rate of hire being expressed in terms of so much per ton deadweight per month. Whereas on a voyage charter the owner bears all the expenses of the voyage (subject to agreement about costs of loading and discharging), on...

Transport vessel or vehicle charter for a fixed perod instead of for a certain number of voyages or trips. Time charter generally does not include loading and unloadingcosts in the charter rate.

• A time charter is the hiring of a vessel for a specific period      of time; the owner still manages the vessel but the charterer selects the      ports and directs the vessel where to go. The charterer pays for all fuel      the vessel consumes, port charges, and a daily hire to the owner of      the vessel.

The purpose of the TC Contract modules is to store all TC contracts, both in and out, external and internal. This is useful as the contracts can be accessed either directly through the module or via the voyage estimate or booking and operations modules. It provides easy access to the most important terms and conditions of all contracts. If the contract is supplemented with an attachment of e.g. scanned CP, the user has access to the full details directly in the system.

In addition to merely storing and providing access to the main details of the contracts, the TC In contracts will also enable:

1. Automatic calculation of TC hire (cost) for each voyage performed during the period of hiring the vessel

2. Usage of the Hire Payable module to keep track of all invoices and statements towards the owner

3. Forecasting of future results and budgeted vessel cost through various reports and Postions Dashboard

TC OUT contracts are also stored in the module, however these are generated through the Voyage Estimate module and documented under that module.

 Ability to deduct owner's cost items against a charterer's invoice on TC Out voyages. By adding owner's items reported by the charterer into the DA module the items wil automatically appear as deductions against the charterer's hire invoice. If the item is applicable for DA commission the commission will also be automatically deducted.

Mandatory CP date on Voyage Freeze Screen The CP date is mandatory when freezing a voyage.

A time charter is the hiring of a vessel for a specific period of time; the owner still manages the vessel but the charterer selects the ports and directs the vessel where to go. The charterer pays for all fuel the vessel consumes, port charges, commissions, and a daily hire to the owner of the vessel.

A trip time charter is a comparatively short time charter agreed for a specified route only (as opposed to the standard time charter where charterer is free to employ the vessel within agreed trading areas).the hire of a ship or aircraft for a specified period

Transport vessel or vehicle charter for one or a specified number of trips (voyages). Time charter generally includes loading and unloading costs in the charter rate. Also called spot charter.

A time charter is the hiring of a vessel for a specific period of time; the owner still manages the vessel but the charterer selects the ports and directs the vessel where to go. The charterer pays for all fuel the vessel consumes, port charges, commissions, and a daily hire to the owner of the vessel.

A trip time charteris a comparatively short time charter agreed for a specified route only (as opposed to the standard time charter where charterer is free to employ the vessel within agreed trading areas).

time charter -  a contract for the hire of a ship or charterparty for a specified period of time; the charterer pays for the bunker fuel, fresh water, port charges, etc. in addition to charter 

Transport vessel or vehicle charter for a fixed perod instead of for a certain number of voyages or trips. Time charter generally does not include loading and unloadingcosts in the charter rate.

On time charter, the charterer undertakes to hire the ship for a stated period of time or for a specified round-trip voyage or, occasionally, for a stated one-way voyage, the rate of hire being expressed in terms of so much per ton deadweight per month. Whereas on a voyage charter the owner bears all the expenses of the voyage (subject to agreement about costs of loading and discharging), on...

A TC In Contract can be defined as a contract of hire of a vessel for a specified period of time, whilst a TC Out Contract handles the letting of a vessel for a particular time period. Under both, the Charterer will decide route and ports, pay a daily hire, all port charges and fuel consumption whilst the Vessel Owner remains in control of the vessel.

Each contract will include agreed terms and conditions, for example duration and rate/s, option/s, profit sharing, deliver/redelivery terms, invoice parameters, etc. If a contract entry is supplemented with an attachment of for example a scanned Charter Party (CP), its full details will be directly accessible in the system. Invoices will be generated towards either the charterer (TC Out, Accounts Receivable) or the owner (TC In, Hire Payable).

Only TC In Contracts are entered and saved directly into the Time Charter Contracts module. TC Out Contracts are automatically saved and archived in the module but created through Voyage Estimate.

Let’s start with the concept of a voyage charter. A voyage charter is where someone needs to move cargo from point A to point B. They pay the going rate, and once the cargo is delivered, then – barring some form of legal claim, the voyage ends and both parties move on. Similar to you booking a hotel for a few days. Time-charters take this idea a step further. Under this arrangement, the person looking to move cargo might know that he has a lot of cargo to move – and will therefore need the vessel for more than voyage. Instead of booking the vessel every few weeks, he instead agrees to charter (i.e. rent or lease) the vessel for, let’s say one year. The rate he agrees to take the ship is known as the time-charter rate. In addition to paying this rate, known as “hire”, the person now chartering the vessel must pay all voyage costs, which include bunkers, port costs, canal fees – or generally speaking – any costs incurred due to the fact that the vessel in not sitting idle at anchor.

Long Description

 The Voyage charter section:

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