lump-sum charter
Quick Summary
A "lump-sum charter" refers to a contract where a shipowner agrees to transport a specific quantity of a stated cargo between two ports for a fixed, single payment. This is one of four primary methods of chartering a tramp ship, alongside voyage charter, time charter, and bareboat charter. In a lump-sum contract, the price is set for the entire shipment, regardless of the exact amount of cargo within the agreed parameters. This differs from other charter types where payment might be per ton of cargo or per unit of time. The charter party document outlines the terms of this agreement and is subject to legal interpretation in case of disputes.1
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- charter party
…charter, bareboat charter, and “lump-sum” contract. The voyage charter is the most common. Under this method a ship is chartered for a one-way voyage between specific ports with a specified cargo at a negotiated rate of freight. On time charter, the charterer hires the ship for a stated period…
Read More…charter, bareboat charter, and “lump-sum” contract. The voyage charter is the most common. Under this method a ship is chartered for a one-way voyage between specific ports with a specified cargo at a negotiated rate of freight. On time charter, the charterer hires the ship for a stated period…
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shipThe tramp tradeA contract charter is usually employed when a large amount of cargo—too much for a single ship on a single voyage—is to be moved over a period of time. A typical example might be movement of a steel producer’s entire supply of iron ore from mine…
Read MoreA contract charter is usually employed when a large amount of cargo—too much for a single ship on a single voyage—is to be moved over a period of time. A typical example might be movement of a steel producer’s entire supply of iron ore from mine…
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