AXEL JOHNSON ENERGY CORP.TANKER CLAUSES
REVISED APRIL '93
1. FMC CLAUSE:
Owner warrants to have secured and carries aboard the vessel a U.S. Federal Maritime Commission Certificate of Financial Responsibility as
required under the U.S. Water Quality Improvement Act of 1970 (Effective 0001/April 3, 1971).
2. U.S. COAST GUARD CLAUSE:
Owner certifies that during the term of this Charter Party the vessel will be in fulI compliance with U.S. Coast Guard Pollution Prevention
Regulations as specifically described as 33 CFR Parts 154, 155 and 156 or will hold necessary waivers if not in compliance. Any delays as a
result of non-compliance shall not count as used laytime.
3. REVISED 1987 TOVALOP CLAUSE (3/87):
Owners warrant that the vessel is a Participating Tanker in TOVALOP and will so remain during this Charter, provided however that nothing
herein shall prevent Owners, upon prior notice to Charterers, from withdrawing from TOVALOP under Clauses III(B) or X thereof, and provided
further that upon any withdrawal under Clause III(B) or under Clause X, Charterers shall have the option to terminate this Charter.
When an escape or discharge of Oil occurs from the vessel and causes or threatens to cause Pollution Damage, or when there is the threat of
an escape or discharge of Oil (i.e. a grave and imminent danger of the escape or discharge of Oil which, if it occurred, would create a serious
danger of Pollution Damage), then Charterers may, at their option, upon notice to Owners or Master, undertake such measures as are
reasonably necessary to prevent or minimize such Damage or to remove the Threat, unless Owners promptly undertake the same. Charterers
shall keep Owners advised of the nature and result of any such measures taken by them, and if time permits, the nature of the measures
intended to be taken by them. Any of the aforementioned measures taken by Charterers shall be deemed taken on Owner's authority and as
Owner's agent, and shall be at Owner's expense except to the extent that:
(1) Any such escape or discharge or Threat was caused or contributed to by Charterers, or
(2) By reason of the exceptions set out in Article III, paragraph 2, of the 1969 International Convention on Civil Liability for Oil Pollution
Damage, Owners are, or, had the said Convention applied to such escape or discharge or to the Threat, would have been exempt from liability
for the same, or
(3)The cost of such measures together with all other liabilities, costs and expenses of Owners arising out of or in connection with such escape
or discharge or Threat removal exceeds the maximum liability applicable to the vessel under TOVALOP at the time of such escape or discharge
or Threat, save and insofar as Owners shall be entitled to recover such excess under either the 1971 International Convention on the
Establishment of an International Fund for Compensation for Oil Pollution Damage or under CRISTAL.
PROVIDED ALWAYS that if Owners in their absolute discretion consider said measures should be discontinued, Owners shall so notify Charterers
and thereafter Charterers shall have no right to continue said measures under the provisions of this Clause and all further liability to Charterers
under the Clause shall thereupon cease.
The above provisions are not in derogation of such other rights as Charterers or Owners may have under the Charter or may otherwise have
or acquire by Law or any International Convention or TOVALOP.
For the purpose of the Clause, the meaning of the term "Oil" and "Pollution Damage" shall be as defined in TOVALOP and "ton" shall be
understood in relation to "tonnage" as defined therein.
4. YORK/ANTWERP RULES:
York/Antwerp Rules 1974, as amended in 1990, shall form a part of this Charter Party.
5. GENERAL AVERAGE/ARBITRATION:
General Average/Arbitration to be held in New York in accordance with U.S. Law.
6. MOBIL U.S. ANTI-POLLUTION & SAFETY REGULATIONS:
Owner warrants that the vessel complies with all applicable United States Federal and State laws and regulations relative to pollution and
safety including, but not limited to, the United States Coast Guard (USCG) regulations contained in Titles 33 and 46 of the Code of Federal
Regulations, as amended.
With specific reference to the United States Oil Pollution Act of 1990 (OPA '90) and the provisions of that act requiring the submission to the
USCG of Vessel Response Plans (VRP), Owner warrants that it has submitted such a VRP for the vessel in compliance with the requirements
of OPA '90 and with the USCG Navigational and Vessel Inspection Circular Number 8 of 1992 (NAVIC 8-92), and with any subsequent rules
and/or regulations that amend the requirements of NAVIC 8-92. Owner further warrants that the vessel will be operated in full compliance
with the legally applicable VRP requirements. The qualified individuals listed in the vessel's VRP, and their contact telephone numbers are:
MOBIL U.S. ANTI-POLLUTION & SAFETY REGULATIONS (Cont'd):
1. ( )
2. ( )
Any delay to the vessel that results from the failure of the Owner or the operator or the vessel to comply with any of the aforesaid laws and
regulations shall not count as used laytime or as demurrage if the vessel is on demurrage, and any expenses incurred thereby shall be for
Owner's account.
7. AMOCO OIL POLLUTION INSURANCE CLAUSE:
Owners warrant that is has and will continue to have throughout the period of this Charter:
(1)Standard oil pollution insurance coverage issued by the vessel's P&I Club (currently $500 million); plus
(2)Any additional oil pollution insurance coverage which is available or becomes available through the vessel's P&I Club (as of
, U.S. $ is available).
Oil pollution insurance coverage premiums and any deductible shall be for the account of Owner.
8. EXXON DRUG & ALCOHOL POLICY CLAUSE:
Owner warrants that it has a policy on Drug and Alcohol Abuse ("Policy") applicable to the Vessel which meets or exceeds the standards in
the Oil Companies International Marine Forum Guidelines for the Control of Drugs and Alcohol Onboard Ship. Under the Policy,
alcohol impairment shall be defined as a blood alcohol content of 40 mg/100 ml or greater; the appropriate seafarers to be tested shall be
all Vessel officers and the drug/alcohol testing and screening shall include unannounced testing in addition to routine medical
examinations. An objective of the Policy should be that the frequency of the unannounced testing be adequate to act as an effective abuse
deterrent, and that all officers be tested at least once a year through a combined program of unannounced testing and routine medical
examinations.
Owner further warrants that the Policy will remain in effect during the term of this Charter and that Owner shall exercise due diligence to
ensure that the Policy is complied with. It is understood than an actual impairment or any test finding of impairment shall not in an
of itself mean the Owner has failed to exercise due diligence.
9. WORLD SCALE REFERENCE CLAUSE:
All hours, terms and conditions as set forth in Worldscale and amendments thereto shall apply to this Charter Party.
10.CUBA CLAUSE
The vessel party warrants prior to the date the vessel berths that "This vessel has not been to or from Cuba within the last 180 days."
11.NON-CANADIAN COMPLIANCE CLAUSE:
Vessel will have onboard a non-Canadian compliance certificate.
12.EXTRA INSURANCE:
Understood any extra insurance incurred because of vessel's age, flag or ownership to be for Owners' account.
13.LAYTIME CLAUSE:
Should vessel arrive at loading port prior commencement of laydays, laytime will start six (6) hours after the agreed-upon commencement
of laydays or when vessel is all fast alongside, whichever occurs first, even if NOR tendered on arrival.
In the event vessel is accepted by Charterers to load prior to commencement of laydays, laytime to count from vessel being all-fast alongside.
All time saved from vessel being all-fast to the agreed lay-commencement or to completion of loading, whichever occurs first, shall be credited
to time waiting, if any, to berth at discharge port(s).
14.BUNKER CLAUSE:
Vessel to be sufficiently bunkered and in all respects ready to perform intended voyage prior tendering notice of readiness at load port.
15.DOCUMENT CLAUSE:
Charterers are to be allowed four (4) hours for waiting receipt of documents at loading port(s) after disconnection of cargo hoses.
16.SURVEY AND SAMPLE CLAUSE:
Owners agree to allow an independent surveyor appointed by Charterers and Charterers' representative to survey and take samples of cargo
and bunker tanks, cofferdams, ballast and slop tanks or any other void space on the vessel prior to, during, and after the time of the vessel's
loading and discharge with extra time, if any, to count as laytime, unless caused by the fault or neglect of the Owners, vessel, her master, crew
or the representatives of any of them.
17.WEATHER AND LAYTIME CLAUSE:
A. Under Clause #6 of Part II - berthing delays due to weather (including fog or ice), tide or daylight hours shall be deemed beyond
Charterers' control, and shall not count as used laytime. Any delays after berthing due to weather conditions shall not count as used
laytime.
B. In the event laytime has expired, Charterers shall be allowed the benefits of Clause #6 of Part II at each port of loading or discharge before
demurrage shall be incurred (six (6) hours).
18.CLAUSE #7 - PART II ASBATANKVOY CHARTER PARTY:
Add: "Whether on demurrage or not."
19.HEATING CLAUSE (EITHER "A" OR "B"):
A. Vessel is to maintain loaded temperature but maximum 135 degrees Fahrenheit. If requested by Charterers, vessel is to heat the cargo above
the loaded temperature and maintain said temperature throughout the voyage and discharge, but not exceeding 135 degrees Fahrenheit.
Charterers to pay Owners for actual costs of increasing cargo temperature, i.e. for actual bunker consumption for raising cargo temperature,
against statement from Master/Chief Engineer, log abstract and copy of last bunker invoice.
B. Vessel is to maintain loaded temperature but maximum 135 degrees Fahrenheit. If requested by Charterers, vessel is to heat the cargo above
the loaded temperature and maintain throughout the voyage and discharge, but not exceeding 135 degrees Fahrenheit. Charterers to pay one
(1) Worldscale point for each five (5) degrees, or pro-rata, on cargo quantity loaded and heated during the voyage. Average cargo
temperature on arrival at discharge port is to determine additional rate to be paid.
20.AGENCY:
Vessel is to utilize Charterer's Agents at both loading and discharge ports.
21.RELOAD CLAUSE:
Charterers have the option to load additional cargo and/or discharge part or all of the cargo at one safe port Caribbean Sea including Bahamas,
thence reload part or full cargo and proceed to a discharge port(s) within the range defined in Clause D contained in this Charter Party. If
exercised, Charterers to pay for all used time after expiry of six (6) hours NOR or berthing whichever occurs sooner, until disconnection of
hoses. If vessel discharges part or entire cargo thence reloads part or full cargo, Charterers shall be allowed six (6) hours between completion
of discharge and commencement of reloading unless time of commencement of reloading occurs sooner, when time shall again count.
Freight always to be based on the maximum Bill of Lading quantity carried on any part of the voyage, or the minimum quantity as per Charter
Party, whichever is the greater.
Charterers to pay for bunkers consumed for discharge operation and Owners to submit invoice giving quantity used supported by a statement
from the Master/Chief Engineer, copy of log abstract and copy of original invoice when bunkers last purchased.
22.BILL OF LADING INDEMNIFICATION CLAUSE:
In the event the original Bill of Lading does not arrive at the port(s) of ultimate discharge prior to the vessel's arrival, the Owners shall release
and discharge the entire cargo in accordance with the Charterers' instructions and Charterers agree to indemnify and hold Owners harmless
from and against any and all claims, demands or liabilities in connection with or arising out of the discharging of the cargo without
presentation of such original Bill of Lading. LOI is to be in accordance with Owners' P & I Club wording, with no bank guarantee.
23.LIGHTERAGE:
If lightering is performed at any customary lightering anchorage for a port, time used in such lightering to count as used laytime. Such
anchorage shall not be considered as a second discharge port or second discharge berth and running time from such anchorage to berth shall
not count as laytime, or demurrage if allowed laytime has expired. Laytime at anchorage (whether or not the vessel is on demurrage) shall
begin six (6) hours after receipt of Notice or Readiness by Charterers or when first lighter barge arrives alongside, whichever occurs first.
For the purposes of this clause, lightering in New York for berthing in New York area including all Hudson River and Long Island Sound Ports,
lightering at Big Stone for berthing at a Delaware River port, lightering at Jamestown Anchorage for berthing at Sandwich, Tiverton or
Providence, lightering at Newport News for berthing at Piney Point, and lightering at Boston for berthing at Salem, Portsmouth or Portland
shall be considered lightering at customary lightering anchorages. Any and all expenses incurred at lighterage anchorage except Owners' items,
are to be for Charterers' account, including but not limited to deviation to and from said lighterage area, if any, and all port costs at lighterage
area providing acceptable supporting documentation provided.
24.PUMPING CLAUSE:
A. Owner warrants vessel can discharge entire cargo within twenty-four (24) hours or maintain a pressure at ship's manifold of 100 p.s.i.,
provided receiving facilities permit.
B. Ship is to have a working pressure gauge(s) attached to the cargo manifold(s) in use during the entire discharging operations, and ship
and shore pressures are to be recorded at least every two (2) working hours.
On completion of discharging, copy of recorded pressures (ship and shore) to be signed by receiving terminal representative and by the Master,
and this document will be required to support any demurrage claim (slow discharging) submitted by Owners.
Otherwise, calculations of demurrage will be based on shore pressure figures only.
25.CARGO RETENTION CLAUSE:
In the event that any cargo remains onboard upon completion of discharge, Charterers shall have the right to deduct from freight an amount
equal to the FOB port of loading value of such cargo plus freight due with respect thereto, provided that the volume of cargo remaining
onboard is liquid, pumpable and reachable by vessel's equipment as determined by one (1) independent surveyor, as mutually agreed upon
between Charterers and Owners, with the cost of same shared by the respective parties. Any action or lack of action in accordance with this
provision shall be without prejudice to any rights or obligations of the parties.
26.DEMURRAGE TIME BAR CLAUSE:
Owners agree that in order to be honored, any demurrage claims arising under this Charter Party are to be received by Charterers within ninety
(90) days of completion of the voyage. Failure to deliver such claim - with full documentation - within said ninety (90) days will automatically
void such claim and Charterers will be relieved of any further obligation vis-a-vis said demurrage claim.
27.OVERAGE:
If applicable, freight on overage, if any, to be at 50% of fixing rate.
28.ADDRESS COMMISSION:
Address commission 1.25% of address commission is due Axel Johnson Energy, Stamford, CT.
29.EXXON CHARTER PARTY ADMINISTRATION CLAUSE:
Charter Party terms and conditions are evidenced by the fixture confirmation fax, cable or telex approved (by answering said fax/cable/telex)
by both Owner and Charterer. Except as requested in writing by either Owner or Charterer, there shall be no formal written and signed Charter
Party.
RETURN. to RIGOS home page