Charterparties: how long do you have to bring a claim?

Voyage, time or bareboat charter: the precise contract must be identified before the merits are discussed.

Limitation depends directly on that classification.

A one-year limitation period

Article L. 5423-4 of the French Transport Code provides that claims arising from a charterparty are time-barred after one year.

This period may concern disputes over freight, demurrage, performance of the charterparty, vessel availability or the respective obligations of owner and charterer.

The first difficulty is therefore to establish that the claim actually arises from the charterparty rather than another maritime regime.

The starting point depends on the type of charter

Article R. 5423-3 of the French Transport Code distinguishes several situations.

For a time charter or a bareboat charter, time runs from expiry of the contract or permanent cessation of its performance.

For a voyage charter, it runs from completion of discharge or the event bringing the voyage to an end.

Sub-chartering follows the same approach depending on whether it is on a voyage or time basis.

Knowing the length of the limitation period is therefore not enough: it is necessary to determine precisely the date on which the year starts running.

Start with the charterparty

The French Transport Code provides that a charter is generally evidenced in writing and that the instrument recording the parties’ commitments is the charterparty.

When the file is opened, obtain:

  • the charterparty and any amendments;
  • the precise type of charter;
  • the date on which the contract or voyage ended;
  • the dispute-resolution clauses;
  • correspondence that may affect limitation.

Prolonged commercial negotiations must never obscure the deadline.

Does the dispute actually arise from a charterparty and, if so, when did the one-year period begin?

If your matter concerns a dispute concerning a maritime charterparty, contact the firm, which will get back to you to discuss your situation.

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