Bluebnc Charter Terms & Conditions (Crewed Charters)

The following Terms & Conditions apply to all crewed yacht charters arranged by Bluebnc, Inc. or its affiliates. These standard provisions (Clauses 1–25) are based on the industry-standard MYBA Charter Agreement clauses , with modifications to suit Bluebnc’s operations. Additional clauses have been added (Clauses 26 onward) to address Bluebnc-specific policies, compliance with local laws, and jurisdiction.

CLAUSE 1 – AGREEMENT TO LET AND HIRE

The OWNER agrees to let the Vessel to the CHARTERER and not to enter into any other Agreement for the charter of the Vessel for the same period. The CHARTERER agrees to hire the Vessel and shall pay the Charter Fee, the Advance Provisioning Allowance, any Delivery/Re-delivery Fee, the Security Deposit, and other agreed charges in cleared funds no later than the dates and to the account specified in this Agreement .

CLAUSE 2 – DELIVERY

The OWNER shall at the beginning of the Charter Period deliver the Vessel free of encumbrance to the CHARTERER at the Place of Delivery in full commission and working order, compliant with its flag state requirements, and the CHARTERER shall take delivery of the Vessel at the agreed time. The Vessel will be delivered seaworthy, clean, in good condition throughout, with all equipment in working order (including up-to-date safety and life-saving equipment as required by its registration authority, with child-size life-jackets if any children are in the Charterer’s party), and ready for service, properly crewed, fueled, and fit for a vessel of her size and type for use as allowed by Clause 13. The OWNER does not warrant the comfort or performance of the Vessel in bad weather conditions for all cruises or passages within the Cruising Area.

CLAUSE 3 – RE-DELIVERY

The CHARTERER shall re-deliver the Vessel to the OWNER at the Place of Re-Delivery, free of any debts incurred on behalf of the CHARTERER, and in as good condition as upon delivery (except for ordinary wear and tear from use). The CHARTERER may end the charter early by re-delivering the Vessel before the end of the Charter Period, but no refund of the Charter Fee will be given for early termination. If the CHARTERER fails to re-deliver the Vessel at the agreed time and place, without prejudice to any other rights of the OWNER, the CHARTERER shall pay demurrage as set out in Clause 10(b) for each delayed day or part thereof.

CLAUSE 4 – CRUISING AREA

a) The CHARTERER shall restrict the cruising of the Vessel to the Cruising Area specified, and only within regions where the Vessel is legally permitted to cruise. The CHARTERER shall also restrict time underway to an average of six (6) hours per day, unless the Captain agrees at his sole discretion to exceed this limit.

b) While the Captain and/or Broker will make reasonable efforts to secure requested berths or marina slots for the Vessel, it is understood that neither the Captain, Broker, nor Stakeholder (if applicable) can be held liable if such berth arrangements are not obtained.

CLAUSE 5 – MAXIMUM NUMBER OF PERSONS – RESPONSIBILITY FOR CHILDREN – HEALTH OF THE CHARTERER’S PARTY

a) The CHARTERER shall not at any time during the Charter Period exceed the maximum number of guests onboard as stated in the Charter Agreement (both for sleeping and cruising), except with the Captain’s consent for reasonable day visitors when the Vessel is safely moored and local authorities permit it.

b) If children (minors) are taken on board, the CHARTERER and their guests are fully responsible for their conduct, safety, and entertainment. The crew shall not be held responsible for the supervision or entertainment of children.

c) The CHARTERER warrants the medical fitness of all members of his party for the voyage contemplated. The nature of yacht charter may be unsuitable for persons with physical disabilities or undergoing medical treatment. By signing this Agreement, the CHARTERER confirms that all guests are in a fit state of health. The CHARTERER and all guests are responsible for obtaining any necessary visas and vaccinations for all countries on the itinerary.

CLAUSE 6 – CREW

a) The OWNER shall provide a properly qualified and licensed Captain (in accordance with the Vessel’s flag state requirements and insurance standards) and a suitably experienced and trained crew. No member of the crew shall possess or use illegal drugs or firearms (except firearms declared on the vessel’s manifest) on board, and the Captain and crew shall comply with the laws and regulations of any country into whose waters the Vessel enters during the Charter.

b) The crew is entitled to a minimum rest period in line with applicable maritime regulations or the Vessel’s Code of Practice. The CHARTERER acknowledges that crew shifts and rest requirements must be observed for safety.

c) The Captain and crew are to keep all information relating to the OWNER, CHARTERER, and guests, and to the charter itself, strictly confidential. No information should be disclosed to third parties without prior written permission from the party concerned.

CLAUSE 7 – CAPTAIN’S AUTHORITY AND RESPONSIBILITIES

a) The OWNER shall ensure the Captain treats the CHARTERER as a valued guest of the OWNER. The Captain must comply with all reasonable requests of the CHARTERER regarding the operation, management, and movement of the Vessel, as far as is consistent with safety, the agreed itinerary, weather conditions, and this Agreement. However, the Captain is not required to comply with any instruction that, in the Captain’s reasonable judgment, would cause the Vessel to go to any port or area that is not safe, might cause the CHARTERER to fail to re-deliver the Vessel on time, or would result in a breach of this Agreement (including prohibited use under Clause 13). If the CHARTERER or any guest fails to observe any provision of Clause 13 or other clauses after a written warning from the Captain, the Captain shall inform the OWNER, Broker, and Stakeholder. The OWNER may then terminate the Charter immediately or instruct the Captain to return the Vessel to the Place of Re-Delivery. Upon such instruction, the Charter Period will be terminated, the CHARTERER and guests shall disembark at the next safe port, having settled all outstanding expenses with the Captain, and the CHARTERER shall not be entitled to any refund of the Charter Fee.

b) With regard to use of water-sports equipment, the Captain has the authority to prohibit or limit use by the CHARTERER or any guest for safety or legal reasons. The Captain may exclude any person from using any equipment if, in the Captain’s judgment, they are not operating it safely, are under the influence of alcohol or drugs, or are behaving irresponsibly or in a manner likely to injure themselves, others, or cause damage.

NOTIFICATIONS BY THE CAPTAIN: The Captain shall promptly notify the Broker and Stakeholder (if any) of any serious incidents, such as breakdowns, accidents, injuries, or significant delays, as well as any changes in crew, that occur during the Charter Period.

CLAUSE 8 – OPERATING COSTS

The Charter Fee includes the hire of the Vessel and its equipment in working order; all on-board equipment, tools, basic consumable stores (cleaning supplies, engine oil, etc.), and the vessel’s standard inventory; the crew’s wages, food, and uniforms; ship’s laundry (bed linen and towels); and the insurance of the Vessel and crew as per Clause 16. All other operating expenses during the charter are payable by the CHARTERER at cost, usually via the APA (Advance Provisioning Allowance). Such additional expenses include, but are not limited to: fuel for main engines, generators, tenders and water-sports equipment; all food, beverages and other provisions for the Charterer and guests; marina and port fees, berth reservations, harbor and pilot charges; local taxes and VAT (unless included in the Charter Fee); customs clearance fees; shoreside electricity, water and other utilities; trash disposal fees; ship’s agent or concierge fees if engaged; dockage, mooring or anchorage fees; personal laundry of the Charterer and guests; communications (internet, satellite or phone usage) and onboard entertainment expenses; and the hire or purchase cost of any special equipment or excursions arranged at the Charterer’s request.

If the CHARTERER requests any extraordinary provisions or services (such as special equipment rental, off-yacht excursions, etc. not normally part of a charter), the Captain or Broker may require an additional payment in advance or on boarding, aside from the APA, to cover such costs. The CHARTERER shall pay any such requested extraordinary expenses as advised.

The CHARTERER will pay an APA as stated in the Charter Agreement, which the Broker (or Stakeholder) will forward to the Captain (usually just before the charter begins) for provisioning the Vessel. The Captain shall keep the CHARTERER reasonably informed of expenditures and the remaining balance of the APA throughout the charter. If the APA balance becomes insufficient in light of ongoing expenses, the Captain will inform the CHARTERER and the CHARTERER agrees to promptly pay additional funds as needed to maintain a sufficient balance. The OWNER shall ensure the Captain exercises due diligence and good judgment in expending the APA. All bank or transfer fees for sending APA funds to the Vessel are for the CHARTERER’s account. (Exchange rate fluctuations, if any, are also at the CHARTERER’s risk.)

Prior to final disembarkation, the Captain shall present the CHARTERER with a detailed account of all APA expenditures, with as many supporting receipts or documentation as practical. If the APA funds have been over-expended, the CHARTERER shall pay the shortfall to the Captain before leaving the Vessel. If there is any unspent APA remaining, the Captain shall refund the balance to the CHARTERER at the end of the charter. Note: Due to the nature of yachting operations, payment by personal check, credit card, or other non-cash methods for settling final APA balances may not be feasible; the CHARTERER should ensure they have access to sufficient funds (cash or wire transfer) to settle any outstanding amounts at the end of the charter or arrange to deposit additional funds with the Broker during the charter if necessary.

CLAUSE 9 – DELAY IN DELIVERY (Non-Availability at Commencement)

a) If, by reason of force majeure (as defined in Clause 18(a)), the OWNER fails to deliver the Vessel at the Place of Delivery at the commencement of the Charter Period, but delivers the Vessel within forty-eight (48) hours of the scheduled start time (or within a period equal to one-tenth of the Charter Period, whichever is shorter), the OWNER shall refund to the CHARTERER a pro-rata portion of the Charter Fee for the lost time, or, if mutually agreed, the Charter Period may be extended by an equivalent period of time (subject to vessel availability and scheduling).

b) If the OWNER by reason of force majeure fails to deliver the Vessel within 48 hours (or within one-tenth of the Charter Period) from the start of the Charter Period (whichever is shorter), then the CHARTERER may treat this Agreement as terminated. The CHARTERER’s exclusive remedy in such case is to receive immediate refund (without interest) of all amounts paid by the CHARTERER under this Agreement. Alternatively, if mutually agreed, the parties may postpone the Charter Period to a later date or agree on a Charter Period extension equivalent to the delay.

c) If the OWNER fails to deliver the Vessel at the Place of Delivery at the start of the Charter Period for any reason other than force majeure (e.g., for reasons within the OWNER’s control), the CHARTERER shall have the right to treat this Agreement as repudiated by the OWNER. The CHARTERER will then be entitled to immediate repayment, without interest, of all sums paid under this Agreement, and in addition the OWNER shall pay the CHARTERER liquidated damages equal to fifty percent (50%) of the Charter Fee. This amount is agreed as the reasonable pre-estimate of losses, given the difficulty of proving actual damages, and not as a penalty.

(CANCELLATION BY OWNER)

d) If prior to the commencement of the Charter Period the OWNER gives notice of cancellation via the Broker:

• If such cancellation is due to force majeure, then the provisions of clause 9(b) above (refund of all payments) shall apply (and no further damages).
• If the cancellation is for any reason other than force majeure, the CHARTERER shall receive immediate refund of all monies paid, and in addition the OWNER shall pay liquidated damages to the CHARTERER on the following scale:

  i. If notice of cancellation is given 30 days or more before the Charter start date: liquidated damages equal to 25% of the Charter Fee.

  ii. If notice is given >14 days but < 30 days before the start: damages equal to 35% of the Charter Fee.

  iii. If notice is given 14 days or less before the start: damages equal to 50% of the Charter Fee.

  These agreed amounts (i–iii) shall be payable by the OWNER to the CHARTERER immediately upon cancellation. (For clarity, the Broker’s commission on the original Charter Fee shall still be deemed earned per Clause 24.)

CLAUSE 10 – DELAY IN RE-DELIVERY (Late Return)

a) If the CHARTERER is unable to re-deliver the Vessel at the agreed Place of Re-Delivery and time due to force majeure, then the re-delivery shall be effected as soon as safely possible thereafter, and without penalty or additional charge against the CHARTERER. The charter conditions shall remain in effect during the delay.

b) If the CHARTERER fails to re-deliver the Vessel at the Place of Re-Delivery at the agreed time due to reasons within the CHARTERER’s control (intentional or negligent delay, change of itinerary against the Captain’s advice, etc.), then the CHARTERER shall pay demurrage to the OWNER via the Broker or Stakeholder’s account at the daily charter rate plus fifty percent (150% of the prorated daily rate) for each day or part day of delay. The CHARTERER shall also be liable for all operating costs (as per Clause 8) during the period of delayed re-delivery and shall indemnify the OWNER against any loss or damage resulting from the delayed re-delivery, including claims by subsequent charterers or other third parties for missed commitments, and any losses due to cancellation or delay of a subsequent charter of the Vessel.

CLAUSE 11 – CANCELLATION BY CHARTERER & CONSEQUENCES OF NON-PAYMENT

a) Charterer Cancellation: If the CHARTERER gives notice at any time prior to the commencement of the Charter Period of an intent to cancel the charter, the OWNER may retain (or be paid, as the case may be) a portion of the Charter Fee as liquidated damages, determined as follows:

• If cancellation is notified after this Agreement is signed but before the final installment of Charter Fee is due, the OWNER shall be entitled to retain (or receive) the first installment (usually 50% deposit) paid by the CHARTERER.
• If cancellation is notified after the date the final installment has fallen due (or after it has been paid), the OWNER shall be entitled to retain (or receive) 100% of the Charter Fee (i.e. both the deposit and the final installment).

In either case, if any installment due from the CHARTERER has not yet been paid as of the cancellation, the OWNER has a claim for that unpaid amount as if it were due. The OWNER shall, however, make best efforts to mitigate losses as per subclause (iii) below.

ii) Failure to Pay / Default: If the CHARTERER fails to pay any amount due under this Agreement (such as the charter fee installments or APA) on time, and such failure continues after written notice from the OWNER or Broker, the OWNER may treat this as a repudiation (fundamental breach) by the CHARTERER. The OWNER will be entitled to terminate the Agreement, retain all payments already made by the CHARTERER, and seek any unpaid amounts due. This is without prejudice to the OWNER’s rights to claim further damages if the circumstances justify (subject to the duty to mitigate in (iii) below).

iii) Duty to Mitigate: Notwithstanding the OWNER’s right to retain payments as liquidated damages under subclauses (i) and (ii) above, the OWNER shall use reasonable efforts to re-charter the Vessel for all or part of the cancelled period. If the OWNER is able to secure a new charter for all or part of the original Charter Period, the OWNER will credit the net hire from the replacement charter against the damages owed by the CHARTERER. The net hire is defined as the gross charter fee from the new charter minus commissions and any costs directly resulting from the re-chartering (such as marketing or repositioning costs). The intention is that the OWNER should receive no more or less net income than would have been received under the original Agreement had no cancellation occurred. Therefore, the OWNER will refund to the CHARTERER (or waive the right to collect) any amounts in excess of that net entitlement. The OWNER shall not unreasonably refuse to re-let the Vessel, although charters which may negatively affect the Vessel’s reputation, crew, or schedule may be declined.

iv) If the CHARTERER’s cancellation occurs after any APA or delivery/re-delivery fees have been expended or committed for provisioning or positioning the Vessel, those committed funds shall be deducted from any refund (to the extent they cannot be refunded or reused for another charter). For example, if fresh provisions have been purchased, or repositioning fuel expended, the CHARTERER shall bear those costs unless they can be mitigated (e.g., used for another charter or returned for refund). The Captain and OWNER will endeavor to minimize such costs.

b) Owner’s Bankruptcy: If after signature of this Agreement, the OWNER is adjudged bankrupt, or (if the OWNER is a company) goes into liquidation or administration (or any analogous insolvency proceeding), the CHARTERER may cancel the charter by written notice and all monies paid by the CHARTERER (whether to the OWNER, the Broker, or Stakeholder) shall be promptly refunded in full, without any deductions.

CLAUSE 12 – BREAKDOWN OR DISABLEMENT

If after the commencement of the Charter Period the Vessel at any time is disabled by breakdown of machinery, grounding, collision, or other cause so as to prevent reasonable use of the Vessel by the CHARTERER, then:

• If the disablement lasts between 12 and 48 consecutive hours (or up to one-tenth of the Charter Period, whichever is shorter) and is not due to any act or negligence of the CHARTERER or their party, the OWNER shall refund the CHARTERER an amount of the Charter Fee corresponding to the period the Vessel is unusable or, if mutually agreed, the Charter Period shall be extended by a period equivalent to the disablement (at no extra Charter Fee) if scheduling permits. If the CHARTERER wishes to invoke this clause, they must immediately notify the Captain (or the Broker) of the issue. The CHARTERER remains responsible for normal expenses during the disablement period (as APA continues to be spent for provisions, crew, etc.), but not for the costs directly related to the immobilization of the Vessel (repairs, towing, etc., which are the OWNER’s responsibility).
• If the Vessel is disabled for more than 48 consecutive hours (or more than one-tenth of the Charter Period, whichever is shorter), or if the Vessel is lost or rendered an actual or constructive total loss, then the CHARTERER may terminate this Agreement by written notice to the OWNER (or via the Broker, or to the Captain if no other communication is possible). Upon such termination, the Charter Fee shall be prorated and refunded without interest for the unused portion of the Charter Period from the time of loss/disablement. The CHARTERER may leave the Vessel at the location of disablement (handing the vessel back to the crew/owner there). The CHARTERER is entitled to claim from the OWNER the reasonable cost of transportation of the CHARTERER and guests from the point of termination to the originally agreed Place of Re-Delivery, and reasonable accommodation expenses during transit, unless the breakdown was due to an act or negligence of the CHARTERER (in which case such costs are the CHARTERER’s responsibility).
• Alternatively, after a long disablement (over 48 hours or one-tenth of the charter) and depending on its nature and impact, the CHARTERER may choose to remain on board for the duration of the Charter Period despite the impairment. In that case, the CHARTERER waives any right to further claims or refund for the lost time, accepting the Vessel “as is” for the remainder of the charter. This election must be mutual and in writing.

CLAUSE 13 – USE OF THE VESSEL

The CHARTERER shall comply, and shall ensure that all guests comply, with the laws and regulations of any country the Vessel enters during the Charter. No drugs, weapons, or any other illegal items or substances shall be brought on board. The Vessel operates a zero-tolerance policy for illegal drugs and weapons. The possession or use of any unlawful drug or any firearm (except legally declared firearms for which permission has been obtained) by any guest will be cause for immediate termination of the charter, without refund, at the discretion of the OWNER or Captain.

The CHARTERER shall not bring any pet or other animal on board without the OWNER’s prior written consent. The CHARTERER and guests must conduct themselves in a prudent manner, respecting the crew and not causing a nuisance to others or bringing the Vessel into disrepute. The Vessel shall not be used for commercial photo or film shoots or other commercial activities without the OWNER’s written permission. The CHARTERER and guests shall treat the crew with due respect; no harassment of crew (whether sexual or otherwise) will be tolerated. Unless otherwise agreed, smoking is only permitted in designated exterior areas as directed by the Captain (and never inside the yacht’s interior).

The Captain will notify the CHARTERER of any breach of these use restrictions by the CHARTERER or guests. If such behavior or violation continues after a warning, the Captain will inform the OWNER or Stakeholder and the OWNER may terminate the charter under Clause 7(a) (returning the Vessel to port and disembarking the Charterer and guests with no refund).

If any guest of the CHARTERER commits an offense contrary to the laws of any jurisdiction which results in the detention, fine, or imprisonment of any crew member, or causes the Vessel to be detained, seized, or fined, the CHARTERER shall indemnify and hold the OWNER harmless for any loss, damage, or expense incurred by the OWNER as a result. This includes losses due to the vessel’s detention or inability to charter. Such conduct shall also be cause for the OWNER to terminate the Charter immediately without refund.

CLAUSE 14 – NON-ASSIGNMENT

The CHARTERER may not assign this Agreement, sub-let the Vessel, or part with control of the Vessel without the prior written consent of the OWNER. Any such consent, if given, may be subject to conditions as the OWNER sees fit. (In practical terms, this charter is personal to the CHARTERER and their party; no transfer of the charter to another party is permitted.)

CLAUSE 15 – SALE OF THE VESSEL

a) The OWNER agrees not to sell the Vessel during the Charter Period (as defined in the Charter Agreement).

b) If the OWNER enters into an agreement to sell the Vessel after signing this Charter Agreement but before delivery to the CHARTERER, the OWNER shall immediately notify the CHARTERER and the Broker in writing of the sale. All parties shall keep this information confidential.

c) If the Vessel is sold before delivery to the CHARTERER, one of the following shall apply:

i. The OWNER shall procure that the buyer of the Vessel agrees to perform this charter on the same terms and conditions, by way of a written tri-partite Novation Agreement signed by the original OWNER, the new owner (Buyer), and the CHARTERER. Upon such novation, the original OWNER shall not be liable for further performance (and no penalty shall apply to the original OWNER), and no additional commission shall be due beyond what was agreed for this charter. The Charter Agreement will continue with the new owner as the OWNER party.

ii. If the Buyer is unwilling or unable to take over the Charter on the agreed terms, then this Charter Agreement shall be considered canceled by the OWNER under Clause 9. All payments made by the CHARTERER shall be promptly refunded in full, and in addition the OWNER (seller) shall pay to the CHARTERER liquidated damages as outlined in Clause 9(e)i–iii (depending on timing of the cancellation notice before the charter). The Broker and Stakeholder shall be paid by the original OWNER the full commission on the charter (as if it were completed) no later than 72 hours after such cancellation, in recognition of services rendered.

CLAUSE 16 – INSURANCE

a) The OWNER shall insure the Vessel throughout the charter against all customary marine risks for a vessel of her size, value, and type, including hull and machinery coverage, and shall ensure the policy permits charter use. Coverage shall be no less than the standard provided under Institute Yacht Clauses 1.11.85 or equivalent, including “Permission to Charter” endorsement and at least third-party liability coverage. The policy must also include coverage for waterskiing and other water-sports liabilities (covering use of tenders, jet-skis, wave-runners, other personal watercraft, windsurfers, dinghies, etc. by the Charterer or guests), as well as coverage for war, strikes, pollution, and crew medical/liability. The insurance shall cover crew against injuries and include third-party liability as appropriate. However, the CHARTERER remains liable for loss or damage caused by the acts or omissions of the CHARTERER or guests to the extent such loss/damage is not covered by the OWNER’s insurance.

b) All such insurance policies shall be subject to customary deductibles and other terms typical for a vessel of this size and type. Copies of relevant insurance certificates or summaries shall be available for review by the CHARTERER upon reasonable request prior to the charter, and evidence of current coverage will be kept aboard the Vessel.

c) The CHARTERER is strongly encouraged to carry independent insurance to cover personal effects of the CHARTERER and guests (as the Vessel’s insurance will typically exclude or limit liability for personal belongings), as well as separate insurance for medical, accident, or emergency evacuation for all guests.

d) The CHARTERER should be aware that this Agreement does not include Charterer’s liability insurance or cancellation/interruption insurance. It is the CHARTERER’s responsibility to obtain such coverage if desired. (Charterer’s liability insurance covers liability for accidental damage or injury caused by the Charterer or guests; cancellation insurance can protect the Charterer’s payments if the charter is cancelled for covered reasons.)

CLAUSE 17 – SECURITY DEPOSIT

If a Security Deposit is specified on Page One of this Agreement (or “N/A” if not required), it shall be held by the Stakeholder (or Broker) on the OWNER’s behalf. The Security Deposit, if taken, is a guarantee by the CHARTERER of compliance with the Agreement’s terms and can be used (in whole or part) to offset any damages, losses, or expenses caused by the CHARTERER or deductibles on insurance claims for such damage. The Captain shall, at the end of the charter, assess the Vessel for any damage or loss attributable to the CHARTERER. If no deductions are pending (confirmed in writing by the Captain to the Stakeholder), the Security Deposit shall be refunded to the CHARTERER in full, without interest, on the first business day after the end of the Charter Period (or after resolution of any outstanding damage claims, if later). If deductions have been made, the balance (if any) of the deposit shall be returned once the extent of the CHARTERER’s liability is determined. The CHARTERER remains liable for damage or loss exceeding the Security Deposit.

CLAUSE 18 – DEFINITIONS

a) Force Majeure: In this Agreement, force majeure means any cause or event not within a party’s reasonable control, which could not be avoided or prevented by due diligence, and which makes performance of obligations impossible or so impractical as to be considered impossible in the circumstances. This includes (but is not limited to) Acts of God, natural disasters, strikes, lock-outs or other labor disputes, civil commotion or riots, acts of terrorism or war (declared or undeclared), blockades, invasion, sabotage, lightning, fire, explosion, storm, tempest, grounding, fog, or governmental acts or regulations. It also includes major mechanical or electrical breakdowns that were not caused by lack of maintenance or the OWNER’s or crew’s negligence (and that could not have been prevented by reasonable precautions). Force majeure does not include crew changes or shipyard delays or other causes that could reasonably have been foreseen or mitigated.

b) OWNER, CHARTERER, BROKER, STAKEHOLDER: In these Terms, the terms “OWNER,” “CHARTERER,” “Broker,” and “Stakeholder” and corresponding pronouns apply regardless of whether the person is an individual, a company, or multiple persons. For instance, “OWNER” can mean the owning company or individual of the Vessel (or its representative), “CHARTERER” can mean the person(s) or company chartering the Vessel, and these terms apply whether male, female, singular, plural, or corporate as context requires.

CLAUSE 19 – SALVAGE

During the Charter Period, if the Vessel performs any act of salvage or assistance to another vessel, all resulting salvage awards or revenues (if any) shall be shared equally between the OWNER and the CHARTERER after deducting the crew’s share (if any) and any expenses or hire relevant to the salvage operation . This accounts for the fact that a portion of the charter hire covers the crew and vessel being at the CHARTERER’s disposal, and any salvage benefit accrued during that time is divided with the CHARTERER. (If the Vessel is under towage or salvage governed by Lloyd’s Open Form or similar, the terms of that salvage contract will apply first.)

CLAUSE 20 – PAYMENT OF CHARTER FEES AND EXPENSES

All funds payable under this Agreement (Charter Fee, APA, Delivery fees, etc.) should be paid to the Broker’s designated escrow or client account (or Stakeholder’s account) in the currency specified. The Broker or Stakeholder shall hold such funds in trust on behalf of the OWNER (and CHARTERER where applicable for APA) and disburse them according to this Clause: 50% of the Charter Fee (the first installment/deposit) is typically due upon signing, and the balance of the Charter Fee is due as per the agreed schedule (often 4-6 weeks before charter). The Stakeholder (or Broker) shall pay the OWNER 50% of the Charter Fee, less commission, on or shortly after the charter commencement date, and the remaining 50% (balance) on the first business day after completion of the Charter (provided no disputes). The APA shall be transferred to the Captain (or OWNER for forwarding to Captain) prior to embarkation to allow provisioning. Any agreed Delivery/Re-delivery fees or other extras shall either be paid with the first installment or forwarded to the Captain as incurred. All payments to the OWNER will be net of the Broker’s commission, which the Stakeholder/Broker will deduct as per Clause 24.

CLAUSE 21 – COMPLAINTS

If the CHARTERER has any complaint during the Charter Period, the CHARTERER shall promptly notify the Captain in the first instance. The Captain will log the time, date, and nature of the complaint and do his best to resolve the issue on board. If the issue cannot be resolved on board to the CHARTERER’s satisfaction, the CHARTERER should then notify the OWNER or the Broker of the complaint within 24 hours of the problematic event or condition. Initial notice may be given verbally (e.g., by phone or in person), but the CHARTERER should as soon as possible follow up in writing (email or letter) detailing the complaint. This written complaint should specify what the issue is and, if possible, what remedy is being sought. Prompt notice of complaints is important to allow the OWNER/Broker an opportunity to address and rectify issues during the charter if possible. Failure to promptly voice a complaint may be taken into account in resolving any dispute after the fact.

CLAUSE 22 – FORCE MAJEURE (Technical)

If a party (usually the OWNER) seeks to invoke force majeure due to a breakdown or disablement of the Vessel under Clause 12 or a delay under Clause 9 or 10, the OWNER will ensure that the Captain or the OWNER’s representative provides to the CHARTERER (or the CHARTERER’s representative) a detailed technical report on the issue. This should include relevant log entries, maintenance records (if applicable), and any supporting documentation (e.g., reports from mechanics or shipyard) to substantiate the cause of the breakdown or delay and confirm it falls under force majeure. This documentation should be provided as soon as practicable in the circumstances.

CLAUSE 23 – LAW AND JURISDICTION

Unless otherwise specifically agreed in writing, this Agreement shall be governed by the laws of the jurisdiction corresponding to the Bluebnc entity identified in the Charter Agreement, and the parties submit to the exclusive jurisdiction of the courts of that jurisdiction. In practice, this means:

• For charters operated by Bluebnc Spain S.L. (Palma), Spanish law governs and any dispute shall be submitted to the courts of Palma de Mallorca, Spain.
• For charters operated by Bluebnc Yachting Ltd (Valletta), Maltese law governs and any dispute shall be submitted to the courts of Valletta, Malta.
• For charters operated by Bluebnc (Greece), Greek law governs and disputes shall be submitted to the courts of Athens, Greece.
• For charters operated by Bluebnc, Inc. (USA), the law of the State of Florida (and applicable U.S. federal maritime law) governs, and disputes shall be submitted to the state or federal courts of Miami, Florida.

If any other Bluebnc entity or jurisdiction applies (including, as applicable, laws of France, Italy, or the U.K. when charters take place in those waters), the governing law and forum shall correspond to that entity’s location or the primary place of performance, as disclosed to the Charterer. The parties may agree in writing to alternative dispute resolution (such as arbitration or a different venue) provided such agreement is made after a dispute arises or explicitly in an addendum to this Agreement. In the absence of such alternative agreement, the above law and court jurisdiction terms shall apply.

CLAUSE 24 – BROKERS

a) The CHARTERER and OWNER recognize Bluebnc and any co-broker involved as the Broker(s) who arranged this charter. The OWNER agrees that the charter fee includes a standard brokerage commission. Upon signature of this Agreement by both OWNER and CHARTERER and payment of the initial deposit by the CHARTERER, the full brokerage commission on the gross Charter Fee (and any agreed Delivery/Re-delivery fees) is deemed earned by the Broker(s). This commission is due and payable by the OWNER on the Charter Fee (and delivery fees, if any) whether or not the charter actually takes place, and regardless of any subsequent cancellation by any party (including by force majeure or default). In the event of any cancellation by the CHARTERER resulting in return of funds, the Broker’s commission shall be deducted from the deposit or other funds prior to refund, as an earned cost. (For clarity, the CHARTERER is not responsible for paying the commission; it is deducted from monies paid by or due to the OWNER.)

b) If the CHARTERER and OWNER agree to extend the Charter Period (i.e., the CHARTERER charters the Vessel for additional days immediately following the original period), the OWNER agrees to pay the Broker(s) commission on the gross charter fee for the extension at the same rate as for this original charter. Payment of commission on the extension is due immediately as it is earned (generally deducted from APA or additional funds paid by CHARTERER for the extension).

c) The Broker(s) in this Agreement act only as intermediaries between OWNER and CHARTERER and assume no responsibility for the safety, operation, or management of the Vessel, or for any loss, damage, or injury to persons or property suffered on the Vessel or in connection with the charter, except as may be caused by their own negligence or willful misconduct. The Broker(s) make no representations or warranties as to the Vessel’s fitness or seaworthiness. Accordingly, the CHARTERER and OWNER agree that the Broker(s) shall not be liable for any loss, damage, or claim arising from this Agreement or the charter. Any liability of the Broker(s) is several and limited to the amount of the brokerage commission earned. The OWNER and CHARTERER each agree to indemnify and hold harmless the Broker(s) for any liability or loss (including legal fees) arising from any claim by any third party related to the charter, except to the extent caused by the Broker’s own fault.

d) Commission on Future Charters or Sale: The Broker’s commission is earned only on this original charter transaction. If the CHARTERER later re-charters the Vessel (for a separate, future charter) or purchases the Vessel directly from the OWNER, the Broker shall not be entitled to commission for such subsequent charter or sale unless the Broker is directly involved in arranging it or otherwise agreed in writing. (This differs from standard MYBA terms, under which brokers may claim commission on re-charters or purchase within 2 years; Bluebnc does not automatically claim such commissions.) The CHARTERER and OWNER are, however, free to involve Bluebnc or any broker in future transactions as they may mutually agree.

e) For the purpose of this Clause 24, the terms “OWNER” and “CHARTERER” shall also include their affiliated companies, agents, or any person or entity acting on their behalf or deriving rights through them (for example, if the Charterer is a company or uses an agent, or if the Owner is a company or the vessel is owned via a company or trust). This ensures the Broker’s protections and the parties’ obligations cover those related entities.

CLAUSE 25 – NOTICES

Any notice required to be given under this Agreement (including notices of cancellation, complaints, or any other formal communication) shall be given in writing. Written notice may be delivered by hand, sent by reputable courier or certified mail, or transmitted by electronic means that provide a record (such as fax or email). Notices to the OWNER shall be sent to the address (or email/fax) stated in this Agreement for the OWNER or to the Broker for forwarding. Notices to the CHARTERER shall be sent to the CHARTERER’s address (or email) as stated in this Agreement, or, where appropriate, delivered to the CHARTERER on board the Vessel. A notice shall be deemed delivered when actually received, or if sent via courier or mail, upon confirmation of delivery, or if by fax/email, upon confirmation of successful transmission. The effective date of notice shall be the date such notice is received by the relevant party (or their agent/Broker).

CLAUSE 26 – BLUEBNC GROUP COMPANIES & SCOPE

These Terms & Conditions apply to charters arranged through Bluebnc, Inc. and its affiliated group companies, including but not limited to Bluebnc Spain S.L., Bluebnc Yachting Ltd (Malta), any Bluebnc operations in Greece, France, Italy, the UK, the USA, or any other jurisdiction (collectively, the “Bluebnc Group”). The specific Bluebnc entity acting as Broker or agent for the OWNER will be identified in the Charter Agreement or booking confirmation. All references herein to the “Broker” shall be deemed to include the relevant Bluebnc Group company performing brokerage services. These Terms & Conditions are exclusive to crewed charters (where the vessel is provided with a captain and crew). For bareboat or bareboat-with-skipper charters (where the charterer essentially leases the vessel without a full crew provided by the owner), separate terms may apply. Nothing in these Terms shall be construed to apply to bareboat charters unless expressly stated. Bluebnc’s role under these Terms is that of a Yacht Charter Broker and/or Stakeholder (escrow agent) facilitating the charter arrangement between the OWNER and CHARTERER; Bluebnc is not a party to the charter contract as an Owner (unless a Bluebnc entity is listed as the Owner or Owner’s representative due to managing the vessel on the owner’s behalf).

CLAUSE 27 – LOCAL REGULATIONS AND COMPLIANCE

The OWNER and CHARTERER shall ensure that the charter complies with all applicable local laws and maritime regulations in the cruising area. Nothing in this Agreement shall compel any party or the crew to violate any law or regulation. This includes, but is not limited to:

• Maritime licenses and permits: The OWNER warrants that the Vessel holds any necessary charter license or permit for the jurisdiction of the charter. (For example, if the charter will take place in Spanish waters, the OWNER warrants that the Vessel has a valid Balearic charter license or other required Spanish charter permit; if in Greece, that the Vessel has a Greek charter license or meets all local legal requirements; etc.) The OWNER shall indemnify the CHARTERER for any loss arising from the Vessel lacking proper authority to charter in the agreed area.
• Crew qualifications and manning laws: The OWNER will ensure the crew meets all manning requirements of the Vessel’s flag state and the host country (if different). For instance, if local law requires a pilot, local captain, or specific crew nationality or certifications, those will be complied with.
• Safety and pollution regulations: The Vessel and crew shall comply with all safety regulations, including those of the flag state and host ports (e.g., for life-saving equipment, fire protection, navigation rules, waste disposal, etc.). The CHARTERER and guests shall also comply with any local regulations regarding fishing, diving, protected areas, etc., as instructed by the crew.
• Tax and Customs: Where applicable, the appropriate VAT/taxes on the Charter Fee and APA have been or will be applied and remitted according to the local laws (e.g., Spanish IVA for charters in Spain, Greek VAT for charters in Greece, French TVA for charters in French waters, etc.). The CHARTERER agrees to pay any such taxes as required by law, and the OWNER or Bluebnc entity will ensure compliance with tax collection and reporting. The CHARTERER’s obligation to pay for fuel, provisions, etc., may include local taxes on those items (often reflected in APA expenses).
• Legal Restrictions: The CHARTERER and all guests must abide by local laws regarding fishing, spearfishing, removal of artifacts, diving in protected waters, etc. It is the CHARTERER’s responsibility to obtain any required permissions (with the assistance of the Captain or Broker as needed) for activities like fishing permits or diving licenses in certain areas. If the itinerary includes multiple countries (e.g., Italy and France in one charter, or international waters), the CHARTERER and OWNER should be aware of differing regulations (such as cabotage laws, maximum charter duration limits, etc.) and will work together to ensure compliance.

In summary, the OWNER and Captain shall ensure the legal seaworthiness and charter-worthiness of the Vessel in the cruising area, and the CHARTERER shall ensure that the conduct of the charter party (themselves and guests) complies with all local laws. Non-compliance with local laws by the CHARTERER or guests can lead to early termination of the charter under Clause 13 and forfeiture of charter fees. Non-compliance by the OWNER (such as failure to have required license) can be deemed a failure to deliver or grounds for cancellation with refund to CHARTERER. Both parties agree to cooperate in good faith to meet all legal requirements of Spain, Malta, Greece, France, Italy, the UK, the US, or any other jurisdiction applicable to the charter.

CLAUSE 28 – MYBA STANDARD AGREEMENT OVERRIDE

It is understood that these Terms & Conditions are largely based on the standard MYBA Charter Agreement clauses for convenience and consistency. However, if the parties to a charter separately sign an official MYBA Charter Agreement (or another standard charter contract) covering the same charter transaction, then in the event of any conflict or inconsistency, the terms of the signed MYBA Charter Agreement (or such other contract) shall prevail over these Bluebnc Terms & Conditions. In practice, Bluebnc may prepare a full MYBA Charter Agreement for certain charters (especially longer term or higher value charters). Once that MYBA agreement is signed by both OWNER and CHARTERER, it becomes the binding contract, and these Terms (if provided) serve as a reference. To the extent any provisions of these Terms are not reflected or are differently worded in the MYBA contract, the signed MYBA contract’s provisions supersede them. Nevertheless, if the MYBA Charter Agreement references “Clauses 1–25” as standard terms, those clauses are essentially mirrored above. This clause simply clarifies that a formally executed charter agreement (such as MYBA) holds legal priority. Additionally, these Terms & Conditions are intended to supplement, not contradict, any mandatory provisions of law or specific agreements made in writing between the parties. Bluebnc and its affiliates issue these Terms & Conditions in good faith to outline the rights and responsibilities of all parties in a crewed charter. If any provision herein is held invalid or unenforceable under applicable law, the remainder of the Terms shall remain in effect and the invalid provision shall be interpreted in a manner consistent with the intent of the parties and applicable law.

End of Bluebnc Charter Terms & Conditions