What should you keep in mind when signing a sea transport contract?

x Does your business have shipments that need to be transported by sea and want to learn about sea transport contracts?
x You want to know what to prepare and what to keep in mind when signing a contract to transport goods by sea?
x Are you wondering who will have to sign the contract? How many types of contracts are there? Is a contract required for sea transport?

PROSHIP.VN we will quickly share notes when signing a Sea Freight , including what is the concept of a Sea Freight Contract? Who is the subject of a sea transport contract? Why is it NECESSARY to HAVE this sea transport contract,...right next.

What is a contract of carriage of goods by sea? Who is the signatory?

Concept of maritime transport contract

Contracts of carriage by sea are explained according to Clause 1, Article 145 of the 2015 Vietnam Maritime Code, which stipulates as follows:

Contract for carriage of goods by sea

1. A contract for the carriage of goods by sea is an agreement entered into between the carrier and the charterer, whereby the carrier collects the transportation service price paid by the charterer and uses the ship to transport goods. Transfer goods from the port of receipt to the port of discharge.

2. Goods are machinery, equipment, raw materials, fuel, consumer goods and other movable property, including live animals, containers or similar tools provided by the shipper to pack the goods to be transported. transported under a contract of carriage of goods by sea.

Accordingly, a contract for the carriage of goods by sea is an agreement entered into between the carrier and the charterer, whereby the carrier collects the shipping service price paid by the charterer and uses the ship to transport goods. Transporting goods from the port of receipt to the port of discharge.

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What should you keep in mind when signing a sea transport contract?
A contract for the carriage of goods by sea is a cooperation agreement between the carrier and the charterer specified in Clause 1, Article 145 of the 2015 Vietnam Maritime Code.

Subjects signing sea transport contracts

The signing was carried out by relevant parties, including:

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  • The shipper who hires the service is the person who authorizes or authorizes another person to sign a contract with the transfer service provider;
  • The carrier himself or entrusts another person to enter into a contract with the customer. Then the service provider will carry out all the shipping of goods by sea to the place where they need to be sent in the safest way.

>>See more: Reasons why sea freight costs are low?

Note when signing a sea freight contract

After signing the sea transport contract, SHOULD BE NOTED:

  • A sea transportation contract is a valid, legally enforceable commitment agreed between the chartered party and the carrier. Therefore, after having a certain source of goods to bring back to Vietnam to carry out trading functions, the carrier needs to hire a carrier;
  • According to Article 70 - Section 1 - Chapter V, the shipping company will collect the deposit in advance, then perform the task of delivering the goods to the right place stated in the contract. Fees are determined by the agreement of both parties in the contract;
  • Normally, if there is a small quantity of goods, it is better to go by air for more convenience. However, with large quantities and no urgent need, to save costs, most shipping companies will choose to go by sea;
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What should you keep in mind when signing a sea transport contract?
When signing a contract to transport goods by sea, the parties need to pay attention to the legality, type of goods, freight, related responsibilities, etc. to limit unnecessary disputes.
  • The form of transporting goods by sea is quite rich and diverse, not subject to curfew for some items such as clothing, household appliances, electronics, raw materials, etc. Except for banned substances such as mines, bombs, fireworks, etc. explosives,... (goods on the Vietnamese Government's list of prohibited imports);
  • Once you have received the correct item, double-check all assurances that the responsible carrier will pay all charges to the hired party. Once both parties have agreed and are satisfied, the contract will immediately terminate and become invalid. If a dispute occurs or the condition of the goods is not guaranteed, all forms of fines and compensation will be based on the points specified in the contract;
  • When signing a sea transportation contract, the chartered party must have the responsibility to ensure the safety of the goods and products. If the item is a live animal or transporting goods on deck, the agreement is to reduce liability for the renter. Both parties will provide the most reasonable level of liability mitigation before signing a contract to transport goods by sea.

What types of sea freight contracts include?

According to Article 146 of the Vietnam Maritime Code 2015, regulations on types of contracts for transporting goods by sea are as follows:

Types of contracts for transporting goods by sea:

1. A contract of carriage according to a shipping document is a contract for the carriage of goods by sea that is concluded on the condition that the carrier does not authorize the charterer to transport the whole ship or a specific part of the ship, but only on the basis of on the type, quantity, size or weight of the goods to be transported.

Transportation contracts based on shipping documents are concluded in a form agreed upon by the parties.

2. A voyage contract is a contract for the carriage of goods by sea that is concluded on the condition that the carrier allows the charterer to transport the entire ship or a specific part of the ship to transport goods by voyage.

The trip transportation contract must be concluded in writing.

Why is a Sea Freight Contract needed?

A contract for transporting goods by sea is a contract signed between related parties including the service provider and the shipping owner with a written commitment and agreement on the terms of transportation. goods.

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Therefore, those responsible for properly fulfilling the obligations stated in the contract terms. The party collects the freight paid by the customer and transports the goods from the receiving port to the shipping port by ship.

What should you keep in mind when signing a sea transport contract?
If unfortunately any dispute occurs during shipping, this shipping contract will be effective evidence for both parties to sit together and come up with a solution.

During the transportation process, the service provider and customer need to have a contract to resolve unfortunate problems encountered. Based on the content of the signed sea transport contract, the document is brought out to distinguish the right and wrong parts, eliminating conflicts between the two parties.

When a dispute occurs, the contract is the most effective thing, and is the evidence presented to the competent authorities to resolve disagreements between the two parties regarding terms of compensation for goods loss. Therefore, shippers need to consider and be careful before signing a contract to avoid unnecessary conflicts later.

The above are important notes when signing a sea transportation contract so that the parties involved can clearly understand and understand why this contract is needed. If you have any questions related to Contracts for transporting goods by sea or need to book cheap North-South sea container shipping services, contact immediately 0909 344 247  for advice from Proship Logistics, Direct support.

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