When renting or Yacht booking Cyprus chartering a boat or any other type of vessel, it’s crucial to have a detailed understanding of the lease contract.
A charter agreement typically includes vital details such as the names of both parties involved, a accurate description of the vessel, an outline of the lease duration, the lease charges, taxes, and deposits. It may also establish rules and guidelines for the usage of the vessel.
The jargon of a charter agreement can be convoluted, which can make it challenging to understand. As a charterer, you should never be afraid to ask for clarification or consult with a lawyer if you are unsure about any provision in the agreement. Being aware of what you’re getting into is crucial to ensuring that you’re getting the best outcomes possible.
One key element of a charter agreement is the condition of the vessel. Be sure to examine the vessel carefully prior to signing the agreement and note down any existing damage. This will help you avoid being held liable for any damage that existed before the rental period started.
Another critical aspect of a charter agreement is the liability clause. This provision determines the level of risk you accept as a charterer, and can have substantial financial implications. Generally, a charter agreement can have one of three different types of liability, including bareboat charter, full-service charter, or partial-service charter.
Insurance is another crucial aspect of a charter agreement. Make sure you understand what type of insuranceCoverage is included in the agreement, the deductible, and insurance limits. It’s also essential to know whether the owner has primary insurance and whether a general average provision has been agreed upon.
Safety and protocols should also be clearly outlined in the charter agreement, as well as any pertinent information regarding navigation and cruising laws. This information should be detailed in a separate section that explains safety procedures, communication protocols, and any other specific demands.
It’s not uncommon for a charter agreement to include a provision that requires you to return the vessel in the same state as you received it. In the event that any damage or defects are discovered upon return, you may be responsible for repair costs if you’re unable to demonstrate proof of maintenance and maintenance.
The term of a charter agreement typically varies from a weekend to a month or more, based on the services being offered. Prior to signing a charter agreement, you should also review business hours, passenger capacity, cargo capacity, and other vital details.
Upon reviewing a charter agreement, you must try and identify areas that may appear unclear or contentious. Never be afraid to bargain or seek advice – time spent now can save you thousands of dollars or prevent you from losing your charter payment.