A voyage charter is the simplest of the three main charter party types, and understanding it first makes the other two easier to place. Under a voyage charter, the owner agrees to carry a specific cargo between named ports for an agreed freight rate, while the owner keeps full control of the vessel and crew throughout.
Time charter and bareboat charter compared
A time charter works differently. Instead of paying for one voyage, the charterer hires the vessel for a set period and directs where it goes and what cargo it carries, while the owner still crews and maintains the ship.
Fuel costs shift with this arrangement too, since the charterer typically pays for bunkers under a time charter, whereas the owner absorbs that cost on a voyage charter.
Bareboat charter goes further still. The charterer takes the vessel with no crew and no management, essentially leasing the ship itself and taking on full operational and legal responsibility for the period of the charter.
This structure suits companies that already run their own fleet management and simply need additional tonnage, including operators chartering self-discharging ships for specific bulk trades.
Laytime, notice of readiness and demurrage
Voyage charters bring their own vocabulary, and laytime sits at the center of it. Laytime is the period allowed for loading and discharging cargo without extra cost to the charterer, and it starts running once notice of readiness is tendered, confirming the vessel has arrived and is ready in all respects.
The clock connects directly to the port call itself, since berthing delays or documentation problems can push back when notice of readiness is validly given. Running past the agreed laytime triggers demurrage and detention charges, compensating the owner for the vessel’s lost time.
None of this exists separately from the paperwork. The bill of lading evidences the cargo actually shipped and the terms of carriage, and disputes over laytime calculations often trace back to inconsistencies between the charter party and the bill. BIMCO, which drafts many of the standard charter party forms used across the industry, maintains a library of contractual guidance covering exactly these issues, from time and voyage charters through to bills of lading and payment disputes.
Why the charter type shapes who protects your interests
The charter type in place also determines who appoints the agent handling the port call. On a voyage charter, the charterer usually nominates the agent, which is why owners sometimes appoint their own charterers’ agent oversight through a separate protecting agent instead.
FONASBA’s own guidance on ship agents and brokers describes this split clearly, distinguishing owners brokers from charterers brokers and the different interests each represents.
Getting the charter type right at the fixture stage avoids confusion later over fuel costs, laytime and who answers for delay.
For owners and charterers calling the Dutch Caribbean, SeaHarbor Agencies handles the agency side of all three charter types, keeping laytime calculations, notice of readiness and disbursements aligned with the charter party from the moment the vessel is fixed.