Implications Of Ship Arrest On The Charterer
- IJLLR Journal
- Feb 27
- 1 min read
Madhumitha Gopinath
ABSTRACT
Ship arrest is a strong legal tool in maritime law. It can significantly affect charterers' contracts and business dealings. This paper examines how ship arrest affects charterers in both voyage and time charterparties. It specifically examines delay clauses, hire obligations, and off-hire provisions. It investigates whether hire must be paid during detention periods and discusses how risk is shared between owners and charterers when arrest stems from third-party claims. By analyzing key cases, such as NYK Bulkship (Atlantic) NV v Cargill International SA (The Global Santosh), the study shows that the effects of arrest mainly depend on how the contracts are written, not on vague ideas of “sphere of risk.” The paper stresses that careful wording of off-hire and indemnity clauses is vital for fair risk sharing and to avoid unexpected financial issues. It concludes that clear contract language and quick actions by charterers are key to reducing financial losses from ship arrest.
Keywords: Ship Arrest, Charterer, Charterparty, Delay Clauses, Hire Payment, Off-Hire, Maritime Law.
