Documents and Correspondence in mercantile business

Rules)
The Charter Party
The Mate’s Receipt
The Bill of Lading (B/L or Blading)
Average and indemnification
The Sea Protest and Statement of Facts
Letter of Protest
Notice of Readiness (NOR)
Cargo manifest
Captain’s Declaration

the cargo that will be transported

the carrier
the shipowner, usually referred to as “the Owners”

the consignee (“recipient”)
the person or company to whom the cargo will be delivered

the charterer
the person or company who wishes to charter (hire) the vessel

the shipbroker (or agent)
the intermediary between shipper and carrier

Marine Insurance Companies and P&I* Clubs (underwriters) will insure
all parties against losses due to perils and risks (*Protection & Indemnity).

has taken all reasonable measures to avoid losses”.

Conference Rules have been made up to determine the carrier’s liabilities during the transportation of cargo, and to protect him against unjust claims.

HAGUE / VISBEE RULES
“The carrier will be protected against claims when specific defences have been applied; in exchange the carrier must exercise due diligence and shall properly load, handle, carry, keep, care for and discharge the cargo”.

ROTTERDAM RULES (Sept, 2009)
Amended existing rules with emphasis on door-to-door transportation;
enhancement of protection of interests of cargo-owner.

and a charterer who wishes to charter (“hire”) a vessel or part of a vessel for the carriage of cargo.

Demise - or bareboat Charter:
charterer charters the vessel without its crew.
Non-demise Charter:
shipowner provides both the vessel and her crew.

Time Charter:
the vessel is chartered for an agreed period of time.
Voyage Charter:
the vessel is chartered for (a) particular voyage(s).

that have been loaded on board the vessel.

“Deadfreight”:
when the amount of cargo received by the vessel does not agree with the
amount stated in the Charter Party.
The master will now make up a “Deadfreight Letter” that will indemnify
the shipowner against claims from the owner of the cargo.

The Bill of Lading will now be claused as “foul”.
A “clean“ Blading: no cargo is damaged or missing.

cargo that has been delivered to and received by the vessel.

Contract of transportation between carrier and the party that holds
the B/L.

“Document of Title”:
he who owns the B/L is the owner of the goods it describes.

A B/L is a negotiable document,
which means that it can be sold.

cargo shipping marks, package numbers, contents, cubic measurement,
gross weight, etc.
- port of loading and port of discharge
- freight, terms of carriage and payment
number of Bills of Lading
master’s signature (or his agent’s) and the date.

A Bill of Lading states:

difference) between ship and shore figures (according to the tally notes),
or when cargo has been damaged by the pre-carrier or shoregang,
the Master of the vessel will clause the Bill of Lading as “FOUL”.

LIABILITY
The question is:
“who is to blame (who is liable) for the missing or damaged cargo”.
This can either be the charterer or the shipper, not the shipowner.

accidental cause.

General Average
Deliberately inflicted damage to prevent more damage or loss
(e.g.: - jettison of cargo
- damage by water after extinguishing a fire
- damage after refloating effort
- cost for overdue arrival in discharge port due to “Act of God”
(i.e. natural disaster).

cargo:
if cargo is not in apparent good order you must clause the Blading
(“FOUL”)

only sign documents when you are authorized;
or better: sign for receipt only - contact the office.

never sign a Letter of Indemnity (“Back Letter”)
(which is not a legal tool and is regarded as a “conspiracy” between shipper and carrier to
defraud the consignee).

tally cargo that is brought on board - if tally notes have different figures:
count again!

Indemnify yourself from any liability by applying
GOOD SEAMANSHIP!

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vessel has suffered losses of cargo or damage to ship and/or cargo.
(It is made up by a Notary Public or the Consul of the country of registration).

Protest must be made up in the event of the following:
- general average (deliberately inflicted damage to prevent more damage)
wind and / or sea conditions that have caused damage or delay
(“Act of God ”)
- breach of contract by the Charterer, the Consignee or their agents.

A Sea Protest is often preceded by a written Statement of Facts, made up by
the Master, to specify the circumstances that have caused the damage or loss.

record complaints concerning any operational matter performed by a recipient or other party that will protect the Master from any blame.
It is not a legal document.
A letter of Protest is written in case of:
mishandling of cargo, delivery of wrong fuel,
violation of regulations, berths unclear,
equipment that has become inoperative,
misconduct or negligence by shore gang,
discrepancy between ship and shore figures,
etc.

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and the authorities that the
vessel is ready to load or discharge.
A NOR must contain:
- ports of loading / discharging,
- time of commencement of loading / discharging,
- type of cargo and tonnage.

Some important expressions:
“reporting day”: the day that the NOR must be handed over to
according to the Charter Party.
“detention”: delay in the loading or discharging of the cargo.
“demurrage”: compensation of damages due to detention

separate destination.

flag
- owner and charterer
- tonnages, dimensions
- times of arrival, embarkation of pilot
- number of tugs used
- draft on arrival
- cargo to be loaded and/or discharged
- number of holds, hatches, decks, derricks, winches
- type of engine and propeller
- service speed
- bunker
- ports of call and destination
- other requested data.

Declaration to authorities with the vessel’s particulars during the past voyage.