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Emergency Contact Milly Brooks: Dealing with difficult charterers under the MYBA form Home Latest updates News Milly Brooks: Dealing with difficult charterers under the MYBA form 22 Nov 2018 Download Sign up for alerts The MYBA Charter Agreement is widely used in the luxury yacht market. The Club has recently assisted with several cases involving charterers committing multiple breaches of clause 13. This is the clause that governs the way in which the charterer and their guests shall use the yacht during the charter period. These cases have illustrated that, in practice, careful consideration needs to be given to an owner’s options when dealing with poorly behaved charterers under the MYBA Charter Agreement. CLAUSE 13 Clause 13 of the MYBA Charter Agreement (“Agreement”) sets out the charterer’s obligations with respect to the use of the yacht. Among other things, the charterer must comply with the laws and regulations of any country into whose water the yacht enters. They must also ensure that their behaviour, and the behaviour of their guests, does not cause a nuisance to any person or bring the yacht into disrepute and they and their guests must afford the crew due respect at all times. CLAUSE 7 Under clause 7 of the Agreement, if the Captain reasonably believes that the charterer or their guests have infringed any of the terms in clause 13, they are required to give ‘due and specific’ warning to the charterer. If the behaviour continues, the Captain may, by notice in writing given to the charterer, terminate the Agreement forthwith and the charterers will be obliged to settle all outstanding expenses and will not be entitled to any refund of the Charter Fee. OWNERS' RIGHT TO TERMINATE There are certain actions of a charterer that give rise to an owners’ right to terminate forthwith, without giving due and specific warning to the charterers. The first such action is if the charterer or any of their guests commit an offence contrary to the laws and regulatio
Milly Brooks: Dealing with difficult charterers under the MYBA form
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