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APPENDIX I
Standard Law and Arbitration Clause
This Contract shall be governed by and construed in accordance with English law and
any dispute arising out of or in connection with this Contract shall be referred to
arbitration in London in accordance with the Arbitration Act 1996 or any statutory
modification or re-enactment thereof save to the extent necessary to give effect to the
provisions of this Clause.
The arbitration shall be conducted in accordance with the London Maritime Arbitrators
Association (LMAA) Terms current at the time when the arbitration proceedings are
commenced.
The reference shall be to three Arbitrators. A party wishing to refer a dispute to arbitration
shall appoint its Arbitrator and send notice of such appointment in writing to the other
party requiring the other party to appoint its own Arbitrator within 14 calendar days of that
notice and stating that it will appoint its Arbitrator as sole Arbitrator unless the other party
appoints its own Arbitrator and gives notice that it has done so within the 14 days
specified. The party referring a dispute to arbitration may, without the requirement of any
further prior notice to the other party, appoint its Arbitrator as sole Arbitrator and shall
advise the other party accordingly. The award of a sole Arbitrator shall be binding on both
parties as if he had been appointed by agreement.
Nothing herein shall prevent the parties agreeing in writing to vary these provisions to
provide for the appointment of a sole Arbitrator.
In cases where neither the claim nor any counterclaim exceeds the sum of US$50,000
(or such other sum as the parties may agree) the arbitration shall be conducted in
accordance with LMAA Small Claims Procedure current at the time when the arbitration
proceedings are commenced.
This bill of lading shall have effect subject to the provisions of the Carriage of Goods by
Sea Act of the United States, approved 16th April, 1936, which shall be deemed to be
incorporated herein, and nothing herein contained shall be deemed a surrender by the
carrier of any of its rights or immunities or an increase of any of its responsibilities or
liabilities under said Act. The provisions stated in said Act shall (except as may be
otherwise specifically provided herein) govern before the goods are loaded on and after
they are discharged from the ship and throughout the entire time the goods are in the
custody of the Carrier. The Carrier shall not be liable in any capacity whatsoever for any
delay, non-delivery or mis-delivery, or loss of or damage to the goods occurring while the
goods are not in the actual custody of the Carrier.
FORM A
1. This Bill of Lading shall have effect subject to any national law making the
International Convention for the Unification of Certain Rules of Law Relating to Bills
of Lading signed at Brussels on 25th August 1924 (the Hague Rules) or the Hague
Rules as amended by the Protocol signed at Brussels on 23rd February 1968 (the
Hague-Visby Rules) compulsorily applicable to this Bill of Lading. If any term of this
Bill of Lading be repugnant to that legislation to any extent, such term shall be void to
that extent but no further. Neither the Hague Rules nor the Hague-Visby Rules shall
apply to this contract where the goods carried hereunder consist of live animals or
cargo which by this contract is stated as being carried on deck and is so carried.
2. Save where the Hague or Hague-Visby Rules apply by reason of (1) above, this
Bill of Lading shall take effect subject to any national law in force at the port of
shipment or place of issue of the Bill of Lading making the United Nations
Convention on the Carriage of Goods by Sea 1978 (the Hamburg Rules)
compulsorily applicable to this Bill of Lading in which case this Bill of Lading shall
have effect subject to the Hamburg Rules which shall nullify any stipulation
derogating therefrom to the detriment of the shipper or consignee.
3. Where the Hague, Hague-Visby or Hamburg Rules are not compulsorily applicable
to this Bill of Lading, the carrier shall be entitled to the benefits of all privileges, rights
and immunities contained in Articles I to VII of the Hague Rules, save that the
limitation sum for the purposes of Article IV Rule 5 of the Hague Rules shall be 100
Sterling.
FORM B
1. This Bill of Lading shall have effect subject to any legislation making the United
Nations Convention on the Carriage of Goods by Sea 1978 (the Hamburg Rules)
compulsorily applicable to this Bill of Lading and in such circumstances the said
Rules nullify any stipulation derogating therefrom to the detriment of the shipper or
consignee. If any term of this Bill of Lading be repugnant to the legislation to any
extent, such term shall be void to that extent but no further.
2. Save where the Hamburg Rules apply by reason of (1) above, this Bill of Lading
shall have effect subject to any national law making the International Convention for
the Unification of Certain Rules of Law Relating to Bills of Lading signed at Brussels
on 25th August 1924 (the Hague Rules) or the Hague Rules as amended by the
Protocol signed at Brussels on the 23rd February 1968 (the Hague-Visby Rules)
compulsorily applicable to this Bill of Lading. If any terms of this Bill of Lading be
repugnant to that legislation to any event, such term shall be void to that extent but
no further. Neither the Hague Rules nor the Hague-Visby Rules shall apply to this
contract where the goods carried hereunder consist of live animals or cargo which by
this contract is stated as being carried on deck and is so carried.
3. Where the Hague, Hague-Visby or Hamburg Rules are not compulsorily applicable
to this Bill of Lading, the carrier shall be entitled to the benefits of all privileges, rights
and immunities contained in Articles I to VII of the Hague Rules, save that the
limitation sum for the purposes of Article IV Rule 5 of the Hague Rules shall be 100
Sterling.
CHARTERPARTY CLAUSE
Neither the charterers nor their agents shall permit the issue of any bill of lading, waybill
or other document evidencing a contract of carriage (whether or not signed on behalf of
DECK CLAUSE
The Shipper has agreed that the cargo carried under this Bill of Lading may be carried on
deck or under deck at the carriers option.
Himalaya Clause
It is hereby expressly agreed that no servant or agent of the Carrier (including every
independent contractor from time to time employed by the Carrier) shall in any
circumstances whatsoever be under any liability whatsoever to the Shipper, Consignee
or Owner of the goods or to any holder of this Bill of Lading for any loss, damage or delay
of whatsoever kind arising or resulting directly or indirectly from any act, neglect or
default on his part while acting in the course of or in connection with his employment and,
but without prejudice to the generality of the foregoing provisions in this Clause, every
exemption, limitation, condition and liberty herein contained and every right, exemption
from liability, defence and immunity of whatsoever nature applicable to the Carrier or to
which the Carrier is entitled hereunder shall also be available and shall extend to protect
every such servant or agent of the Carrier acting as aforesaid and for the purpose of all
the foregoing provisions of this Clause the Carrier is or shall be deemed to be acting as
agent or trustee on behalf of and for the benefit of all persons who are or might be his
servants or agents from time to time (including independent contractors as aforesaid) and
all such persons shall to this extent be or be deemed to be parties to the contract in or
evidenced by this Bill of Lading.
When used in time charterparties, the following should be added at the beginning of the
Clause:
If the liability for any collision in which the vessel is involved while performing this
Charterparty falls to be determined in accordance with the laws of the United States of
America, the following provisions shall apply: and the following sentence should be
added at the end of the clause.
Charterers shall procure that all bills of lading issued under this Charterparty shall contain
a provision in the foregoing terms, to be applicable where the liability for any collision in
which the vessel is involved falls to be determined in accordance with the laws of the
United States of America.
Voyage Clause
With liberty to sail without pilots, to proceed via any route to proceed return to and stay at
any port or ports whatsoever (including the loading port) in any order in or out of the route
Strikes Clause
Ship not to be responsible for any loss, damage or delay, directly or indirectly caused by
or arising from strikes, lock-outs, labour disturbances, trade disputes, or anything done in
contemplation of or in furtherance thereof, whether the owners be parties thereto or not.
PORT OF LOADING
(a) In the event of the loading port being inaccessible by reason of ice when the
vessel is ready to proceed from her last port or at any time during the voyage or on
the vessels arrival or in case frost sets in after the vessels arrival, the Captain for
fear of being frozen in is at liberty to leave without cargo, and this Charter shall be
null and void.
(b) If during loading the Captain, for fear of vessel being frozen in, deems it advisable
to leave, he has liberty to do so with what cargo he has on board and to proceed to
any other port or ports with option of completing cargo for Owners benefit for any
port or ports including port of discharge. Any part cargo thus loaded under this
Charter to be forwarded to destination at vessels expense but against payment of
freight, provided that no extra expenses be thereby caused to the Receivers, freight
being paid on quantity delivered (in proportion if lump sum), all other conditions as
per Charter.
(c) In case of more than one loading port, and if one or more of the ports are closed
by ice, the Captain or owners to be at liberty either to load the part cargo at the open
port and fill up elsewhere for their own account as under section (b) or to declare the
Charter null and void unless Charterers agree to load full cargo at the open port.
(d) This Ice Clause not to apply in the spring.
PORT OF DISCHARGE
(a) Should ice (except in the spring) prevent the vessel from reaching the port of
discharge Receivers shall have the option of keeping vessel waiting until the reopening of navigation and paying demurrage, or of ordering the vessel to a safe and
immediately accessible port where she can safely discharge without risk of detention
by ice. Such orders to be given within 48 hours after Captain or Owners have given
notice to Charterers of the impossibility of reaching port of destination.
(b) If during discharging the Captain for fear of the vessel being frozen in deems it
advisable to leave, he has liberty to do so with what cargo he has on board and to
proceed to the nearest accessible port where she can safely discharge.
(c) On delivery of the cargo at such port, all conditions of the Bill of Lading shall apply
and vessel shall receive the same freight as if she had discharged at the original port
of destination, except that if the distance of the substituted port exceeds 100 nautical
miles, the freight on the cargo delivered at the substituted port to be increased in
proportion.
(i) The Owners may effect war risks insurance in respect of the Hull and
Machinery of the Vessel and their other interests (including, but not limited to,
loss of earnings and detention, the crew and theirprotection and Indemnity
Risks), and the premiums and/or callstherefor shall be for their account.
o (ii) If the Underwriters of such insurance should require payment of premiums
and/or calls because, pursuant to the Charterers orders, the Vessel is within, or
is due to enter and remain within, or pass through any area or areas which are
specified by such Underwriters as being subject to additional premiums because
of War Risks, then the actual premiums and/or calls paid shall be reimbursed by
the Charterers to the Owners at the same time as the next payment of hire is
due, or upon redelivery, whichever occurs first.
(e) If the Owners become liable under the terms of employment to pay to thecrew
any bonus or additional wages in respect of sailing into an areawhich is dangerous in
the manner defined by the said terms, then the actual bonus or additional wages paid
shall be reimbursed to the Owners by the Charterers at the same time as the next
payment of hire is due, or upon redelivery, whichever occurs first.
(f) The Vessel shall have liberty:o (i) to comply with all orders, directions, recommendations or advice as to
departure, arrival, routes, sailing in convoy, ports of call, stoppages, destinations,
discharge of cargo, delivery, or in any other way whatsoever, which are given by
the Government of the Nation under whose flag the Vessel sails, or other
Government to whose laws the Owners are subject, or any other Government,
body or group whatsoever acting with the power to compel compliance with their
orders or directions;
o (ii) to comply with the order, directions or recommendations of any war risks
underwriters who have the authority to give the same under the terms of the war
risks insurance;
o (iii) to comply with the terms of any resolution of the Security Council of the
United Nations, the effective orders of any other Supranational body which has
the right to issue and give the same, and with national laws aimed at enforcing
the same to which the Owners are subject, and to obey the orders and directions
of those who are charged with their enforcement;
o (iv) to discharge at any other port any cargo or part thereof which may render the
Vessel liable to confiscation as a contraband carrier;
o (v) to call at any other port to change the crew or any part thereof or other
persons on board the Vessel when there is reason to believe that they may be
subject to internment, imprisonment or other sanctions.
o (g) If in accordance with their rights under the foregoing provisions of this Clause,
the Owners shall refuse to proceed to the loading or discharging ports, or any
one or more of them, they shall immediately inform the Charterers. No cargo
shall be discharged at any alternative port without first giving the Charterers
notice of the Owners intention to do so and requesting them to nominate a safe
port for such discharge. Failing such nomination by the Charterers within 48
hours of the receipt of such notice and request, the Owners may discharge the
cargo at any safe port of their own choice.
(h) If in compliance with any of the provisions of sub-clauses (b) to (g) of this
Clause anything is done or not done, such shall not be deemed a deviation, but
shall be considered as due fulfilment of this Charter Party.
the port of loading) in complete fulfilment of the Contract of Carriage. The Owners
shall be entitled to recover from the Charterers the extra expenses of such discharge
and, if the discharge takes place at any port other than the loading port, to receive
the full freight as though the cargo had been carried to the discharging port and if the
extra distance exceeds 100 miles, to additional freight which shall be the same
percentage of the freight contracted for as the percentage which the extra distance
represents to the distance of the normal and customary route, the Owners having a
lien on the cargo for such expenses and freight.
(d) If at any stage of the voyage after the loading of the cargo commences, it appears
that, in the reasonable judgement of the Master and/or the Owners, the Vessel, her
cargo, crew or other persons on board the Vessel may be, or are likely to be,
exposed to War Risks on any part of the route (including any canal or waterway)
which is normally and customarily used in a voyage of the nature contracted for, and
there is another longer route to the discharging port, the Owners shall give notice to
the Charterers that this route will be taken. In this event the Owners shall be entitled,
if the total extra distance exceeds 100 miles, to additional freight which shall be the
same percentage of the freight contracted for as the percentage which the extra
distance represents to the distance of the normal and customary route.
(e)
o (i) The Owners may effect war risks insurance in respect of the Hull and
Machinery of the Vessel and their other interests (including, but not limited to,
loss of earnings and detention, the crew and their Protection and Indemnity
Risks), and the premiums and/or calls therefor shall be for their account.
o (ii) If the Underwriters of such insurance should require payment of premiums
and/or calls because, pursuant to the Charterers orders, or in order to fulfil the
Owners obligation under thisContract of Carriage, the Vessel is within, or is due
to enter and remain within, or pass through any area or areas which are specified
by such Underwriters as being subject to additional premiums because of War
Risks, then the actual premiums and/or calls paid shall be reimbursed by the
Charterers to the Owners within 14 days after receipt of the Owners invoice. If
the Vessel discharges all of her cargo within an area subject to additional
premiums as herein set forth, the Charterers shall reimburse the Owners for the
actual additional premiums paid which may accrue from completion of discharge
until the Vessel leaves such area or areas referred to above. The Owners shall
leave the area as soon as possible after completion of discharge.
(f) The Vessel shall have liberty:o (i) to comply with all orders, directions, recommendations or advice as to
departure, arrival, routes, sailing in convoy, ports of call, stoppages, destinations,
discharge of cargo, delivery or in any way whatsoever which are given by the
Government of the Nation under whose flag the Vessel sails, or other
Government to whose laws the Owners are subject, or any other Government
which so requires, or any body or group acting with the power to compel
compliance with their orders or directions;
o (ii) to comply with the orders, directions or recommendations of any war?risks
underwriters who have the authority to give the same under the terms of the war
risks insurance;
(iii) to comply with the terms of any resolution of the Security Council ofthe
United Nations, the effective orders of any other Supranational body which has
the right to issue and give the same, and with national laws aimed at enforcing
the same to which the Owners are subject, and to obey the orders and directions
of those who are charged with their enforcement;
o (iv) to discharge at any other port any cargo or part thereof which may render the
Vessel liable to confiscation as a contraband carrier;
o (v) to call at any other port to change the crew or any part thereof or other
persons on board the Vessel when there is reason to believe that they may be
subject to internment, imprisonment or other sanctions;
o (vi) where cargo has not been loaded or has been discharged by the Owners
under any provisions of this Clause, to load other cargo for the Owners own
benefit and carry it to any other port or ports whatsoever, whether backwards or
forwards or in a contrary direction to the ordinary or customary route.
(g) If in compliance with any of the provisions of sub-clauses (b) to (f) of this Clause
anything is done or not done, such shall not be deemed to be a deviation, but shall
be considered as due fulfilment of the Contract of Carriage.
Stowaways Clause
(a)
o
(i) The Charterers warrant to exercise due care and diligence in preventing
stowaways in gaining access to the Vessel by means of secreting away in the
goods and/or containers shipped by the Charterers.
(ii) If, despite the exercise of due care and diligence by the Charterers,
stowaways have gained access to the Vessel by means of secreting away in the
goods and/or containers shipped by the Charterers, this shall amount to breach
of charter for the consequences of which the Charterers shall be liable and shall
hold the Owners harmless and shall keep them indemnified against all claims
whatsoever which may arise and be made against them. Furthermore, all time
lost and all expenses whatsoever and howsoever incurred, including fines, shall
be for the Charterers account and the Vessel shall remain on hire.
(iii) Should the Vessel be arrested as a result of the Charterers breach of charter
according to sub-clause (a)(ii) above, the Charterers shall take all reasonable
steps to secure that, within a reasonable time, the Vessel is released and at their
expense put up bail to secure the release of the Vessel.
(b)
o
(i) If, despite the exercise of due care and diligence by the Owners, stowaways
have gained access to the Vessel by means other than secreting away in the
goods and/or containers shipped by the Charterers, all time lost and all expenses
whatsoever and howsoever incurred, including fines, shall be for the Owners
account and the Vessel shall be off hire.
(ii) Should the Vessel be arrested as a result of stowaways having gained access
to the Vessel by means other than secreting away in the goods and/or containers
shipped by the Charterers, the Owners shall take all reasonable steps to secure
that, within a reasonable time, the Vessel is released and at their expense put up
bail to secure release of the Vessel.
(1) The Charterers shall supply bunkers of a quality suitable for burning in the
Vessels engines and auxiliaries and which conform to the specification(s) mutually
agreed under this Charter.
(2) At the time of delivery of the Vessel the Owners shall place at the disposal of the
Charterers, the bunker delivery note(s) and any samples relating to the fuels existing
on board.
(3) During the currency of the Charter the Charterers shall ensure that bunker
delivery notes are presented to the Vessel on the delivery of fuel(s) and that during
bunkering representative samples of the fuel(s) supplied shall be taken at the