Ship Chartering, Laytime, and Demurrage Masterclass (CLASSROOM) - SCLD

Ship Chartering, Laytime, and Demurrage Masterclass (CLASSROOM) - SCLD

Course Summary

Master the A to Z of Chartering Contracts, Laytime and Demurrage. The shipping adventure, sometimes called the carriage of goods by sea involves several stages from the loading voyage, with the vessel sailing in ballast to the loading port, the loading operation and then the carrying voyage until the unloading or discharging of the cargo. The shipowners and charterer roles and responsibilities in every stage and the inter-play between them and how it pans out during the course of a voyage will determine the success or failure of that voyage.  It is important to understand contractual provisions in a charter party and negotiate the terms in order to avoid pitfalls in chartering of the ships and to provide for the calculating of laytime and demurrage which will invariably affect all the parties’ bottom line.

This 5-day Ship chartering, Laytime & Demurrage Masterclass workshop will give participants a comprehensive understanding of the essential aspects of chartering. This EuroMaTech training course will enable participants to better negotiate charter parties, have insight to make strategic decisions on chartering and to be at an advantage when negotiating chartering contracts. The knowledge and expertise gained from this workshop will enable the participants to return to work with many new strategies to apply in practice.

What You Will Learn

The Ship Chartering, Laytime & Demurrage Masterclass training course helps participants to capitalize on the expert knowledge to gain maximum value on these vital issues:

• Attain a comprehensive and in-depth knowledge of ship charter contracts
• Recognise the differences between the many types of charter parties
• Understand the jargon and abbreviations
• Appreciate the rights and obligations of Charterers and Owners
• Avoiding pitfalls in negotiating chartering contracts
• Manage & Mitigate the risks involved in chartering of vessels

Course Content

MODULE 1 : Introduction to Ship Chartering

• The Ship Definition
• The Seaworthiness Concept 
• Ship Characteristics / Particulars
• What is Ship Chartering?
• Basic Terms Used In Shipping
• Classification of Chartering Market
• The Market Players in Chartering
• The Role of the Shipbroker

MODULE 2 : Tanker Operation, Chartering & Terminologies

• Types of Tankers
  • Categories
  • Capacities
• Introduction to Tanker Operation (Mooring, Loading & Discharging Operation
• Tanker Operation Terminologies
  • Crude Oil Washing (COW), 
  • Inert Gas System (IGS), 
  • Segregated ballast Tanks (SBT)  
  • Single Point Mooring (SPM)
• Worldscale Freight
• Tanker Chartering
• Transporting Oil Cargo
  • Methods of Transporting Cargo
  • Oil Cargo Handling Equipment

MODULE 3 : Ship Chartering and Broking

• Types of Vessel’s Charter Parties
  • Time Charter 
  • Voyage Charter 
  • Pare Boat 
• Charter Party Forms
• Legal Aspects between the Owning, Operating & Chartering Partners 
• General and additional Clauses of the Charter Party
• Responsibilities Owners & Charters under time/voyage charters
• The responsibility of the Master, Officers and Engineers
• Shipbroking and Chartering
  • Shipbroker - Origin and Practice
  • Brokers and their functions

MODULE 4 : Charter Party Common Clauses and Concepts

• Glossary of Chartering Terms
• Charter Party Clauses
  • Laycan
  • Laytime
  • Notice of Readiness
  • Demurrage
  • Dispatch
  • Voyage Estimating
• Lien Clause
• Clauses associated with Costs
• Interruption of laytime (weekends/holidays, shifting, strikes, breakdowns)
• Cargo capacity, speed and bunker consumption, ship’s fouling, dry docking-maintenance, geographical limits & safe ports.
• Hire, Off-hire
• INCOTERMS and CIF, CFR and FOB export sales.
• The War Clause

MODULE 5 : Laytime / Laycan Types & Calculations

• Laytime Definitions 2013
• The types of laytime
• The commencement of laytime
• Differences between dry cargo and tanker laytime
• Laytime calculation of multiple charters
• The complications that may occur in the commencement of laytime
• Exception for laytime commencement
• Legal framework 
  • The basis of laytime and demurrage 
  • The Notice of Readiness (NOR) 
  • Statement of Facts (SOF) 
  • The “Arrived Ship” Notion 

MODULE 6 : Demurrage, Detention and Despatch Definition & Calculation

• Demurrage, Detention and Despatch Definition
• Determining the rate of demurrage in dry cargo and liquid cargo trades
• The responsibility of the charterer to load full and complete cargo
• Practical differences in the despatch calculation
• Practical differences between reversible and average laytime

MODULE 7 : Ship Management and Logistics

• Roles of Departments in a shipping company
  • Ship Operations and Management
  • Freight Forwarder
• Types of Freight Forwarders
• Incoterms 2023
  • Incoterms 2023 - what is it?
  • Incoterms 2023 - Rights and Liabilities of Buyer and Seller

MODULE 8 : Maritime Liabilities And Marine Insurance

• Shipowner loss & liabilities:
  • Collisions, jetty contacts and groundings
  • Hull and engine damage repairs and time lost
  • Cargo damage (Contamination), pollution, crew injury and death
  • Sinking and total loss
• Charterer liabilities:
  • Unsafe port and berth claims by shipowners
  • Contaminated bunker fuel damage to ship’s engines
  • Bunker pollution
• Cargo owner loss & liabilities
  • Cargo damage, total loss or CTL while in transit
  • Cargo theft and piracy

MODULE 9 : Chartering Documents

• Bill of Lading main types and commercial functions.
• Cargo Manifest
• Cargo Documents
  • Certificate of Origin
  • Certificate of Quality
  • Notes of Protests
  • Statement of Facts
  • SSSCL

MODULE 10 : Marine Insurance

• What is Marine Insurance
• Principles of Marine Insurance
• Functions of Marine Insurance
• Basic principles of marine insurance as a contract of indemnity.
• Marine Insurance Policies
• Types of Marine Insurance
  • Premiums and Calls
  • Hull clauses
  • Cargo Clauses
  • Particular average
  • General average (GA)
  • Actual Total losses
  • Constructive Total Losses
  • Sue and labor
  • Collision liability
  • Subrogation
  • Claims administration
  • Strikes and war risk
  • Kidnap and Ransom risks
  • Terrorism & Piracy
  • Perils of the seas
• Insurance claims settlement and recovery claims
• The International Group of P and I Clubs