CHARTERER CONTRIBUTION CLAUSE

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CHARTERER'S LIABILITY TO DAMAGE OF HULL( CLH) :-
             It is not a standard a P&I cover but can be obtained by charterer from their P&I or from their fixed premium underwriters. For example damage caused to the hull while loading, main engine breakdown due to bad quality fuel supplied by charterer etc. In these cases CLH cover will address the owner's claim for the damage to the vessel, hull, machinery and dry docking if required.

CHARTERER'S LIABILITY TOWARDS CARGO CLAIM:-
    As per NYPE agreement 1996, cargo claims are to be settled between owner and charterer, in accordance with inter club agreement. Depending upon what has caused the claim to rise, claims may be allocated 100% to either owner or charterer or a 50%-50% allocation. Example
1) Unseaworthiness of vessel -- 100% owner
2) Claims due to loading, stowage, lashing, discharge -- 100% charterer unless the word responsibility is added and master is responsible for above operations, then owner -- 50% and charterer-- 50%
3) Claims for shortage and over carriage. 50% owner, 50% charterer.

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