Skip to main content
International

BIMCO releases Covid crew change clause for time charters

29 June 2020

BIMCO has released a Covid-19 crew change clause for time charters that allows vessels to divert from agreed routes to get seafarers home.

The clause is designed to give shipowners the liberty to deviate for crew changes under tightly defined circumstances.

It also provides an option for charterers to contribute to crew change costs in recognition of the extraordinary expense of making a Covid-related crew change. 'Charterers have a shared interest in having an efficient, rested and well-performing, crew on the ship,' BIMCO said in its explanatory notes.

'The Covid-19 Crew Change Clause has been drafted in response to the extraordinary circumstances faced by many owners whose crew have had to remain on board during the Covid-19 "lockdown" for periods often extending beyond their contracts of employment,' BIMCO said.

Under the new clause, owners and charterers could choose to keep the vessel on hire at an agreed reduced rate during the deviation, with BIMCO suggesting a 50% rate reduction if no amount is stated. Shipowners and charterers would share the cost of bunkers consumed during the deviation.

Alternatively, the vessel could be considered off-hire during the deviation with the ship owner picking up the cost of bunkers consumed.

It is the shipowners' responsibility to pay for all port charges, pilotage and other expenses arising out of such crew changes while the vessel is at the port of deviation.

The clause is meant for use in longer term time charter parties, not single voyage or trip time charters because it is predicated on owners not knowing at the time of fixing where the ship will be traded by charterers and/or the travel restrictions at the time when crew changes become due.

BIMCO advises shipowners to inform their P&I Club of the intention to deviate before invoking the clause.

'The industry is dealing with an extraordinary situation that should encourage owners and charterers to work together to resolve the situation for their mutual benefit,' BIMCO said. 'As it is likely that deviations for crew changes may take several days to complete, it is vitally important that owners fully inform charterers of their intention to deviate and, in doing so, consider charterers' interests such as cancellation dates for the next employment of the ship.'


Tags

More articles

Nautilus news

Mark Dickinson appointed commissioner to Maritime Skills Commission

Nautilus general secretary Mark Dickinson has been appointed a commissioner on the Maritime Skills Commission (MSC) which is tasked with expanding the industry's pool of maritime talent.

  • News
  • 23 June 2020
Nautilus news

Nautilus new Fair Treatment App is a 'friend in your pocket' wherever you are

Nautilus International celebrated International Day of the Seafarer with the launch of a new Nautilus Fair Treatment App, which provides members with instant access to Union advice and support following an incident at sea.

  • News
  • 24 June 2020
International

Global crew change video campaign launched by unions and employers

Global crew change video campaign launched by unions and employers

  • News
  • 25 June 2020
Welfare

Crew welfare debate for Day of the Seafarer dominated by pandemic crew change crisis

An online event to mark International Day of the Seafarer 2020 focused mainly on the worldwide crew change crisis, with panellists discussing how to get stranded seafarers home – or at least have a bearable life onboard while they waited.

  • News
  • 26 June 2020
Government

Nautilus welcomes UK prime minister's commitment to 'global keyworkers' in crew change crisis

Nautilus has welcomed a commitment from UK prime minister Boris Johnson to address the plight of seafarers stranded by the Covid-19 crew change crisis.

  • News
  • 25 June 2020
Welfare

Free maritime mental health support highlighted on International Day of the Seafarer

The Seafarers Hospital Society (SHS) has renewed its contract with online mental health service Big White Wall for another year, in response to the Covid-19 pandemic.

  • News
  • 25 June 2020
Health and safety

Time pressure a factor in cargo loading accident

Time pressures may have been one of the factors leading to an accident in which two seafarers were injured during cargo operations in the Scottish port of Campbeltown last year, an investigation has revealed.

  • News
  • 24 June 2020

Become a Nautilus member today