BIMCO’s New Charter Party Clause for Solid Bulk Cargoes that Can Liquefy
Tagged: BIMCO, Cargo, charterer, P&I, risk
In conjunction with the International Group of P&I Clubs, BIMCO (the Baltic and International Maritime Council) has released an industry standard clause for the carriage of solid bulk cargoes, by Charterers, that may be subject to liquefaction.
Iron ore fines and nickel ore have recently been highlighted as two commodities requiring special attention.
The Clause enhances the rights of the vessel Owner and Master, whilst simultaneously placing more responsibility on the Charterer for any consequences arising out of failures to comply with applicable regulations.
The five different sections of the BIMCO Solid Bulk Cargoes that Can Liquefy Clause for Charter Parties can be summarised as follows:
(a) Charterers will present and load solid bulk cargoes in compliance with applicable international regulations, including the International Maritime Solid Bulk Cargoes (IMSBC) Code 2009;
(b) Prior to loading, Charterers shall provide the ship’s Master, or his representative, all information as per the ISMBC Code, including a certificate of the Transportable Moisture Limit (TML);
(c) Owners have the right to take and test samples, at the Charterers’ risk, cost, expense and time. The Master or Owners’ representative shall have unrestricted access to cargo for such purposes. Should the Master consider the crew, vessel or cargo at risk, he can refuse to accept, unload, or demand the Charterer make safe the cargo.
(d) All loss, damage, delay, expenses, costs and liabilities related to complying with applicable regulations shall be for the Charterers’ account;
(e) The Clause does not alter the Charterer’s obligations under the Charter Party, and the Master or Owners’ failure to comply with the Clause does not amount to a waiver of any rights.
It has been a concern of BIMCO’s that many shipowners and their representatives have been unable to test moisture content and thereby ensure the safety of cargo onboard their vessels. This Clause has emerged as a result, clearly defining the rights and responsibilities of those involved. Therefore, BIMCO strongly recommends its inclusion when applicable.
The Special Circular can be found at:
https://www.bimco.org/en/Chartering/~/media/Chartering/Special_Circulars/SC2012_04.ashx
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