Charter novation agreement: for a ship finance transaction
Charter novation agreement: for a ship finance transaction

The following Banking & Finance guidance note provides comprehensive and up to date legal information covering:

  • Charter novation agreement: for a ship finance transaction
  • Parties
  • Background
  • Execution page
  • The Schedule

This DEED is made on [insert day and month] 20[insert year]

Parties

  1. 1

    [insert name of Owner], a company incorporated in [England and Wales] with registered number [insert company number] whose registered office is at [insert address] (the Owner); and

  1. 2

    [insert name of Buyer] a company incorporated in [England and Wales] with registered number [insert company number] whose registered office is at [insert address] (the Buyer);

  1. 3

    [insert name of Charterer] a company incorporated in [England and Wales] with registered number [insert company number] whose registered office is at [insert address] (the Charterer)

  2. (each of the Owner, Buyer and Charterer is a Party and together the Owner, Buyer and Charterer are the Parties).

Background

  1. (A)

    The Owner and the Charterer have entered into a charter agreement dated [insert date] (the Charter), a copy of which is annexed to this Deed, in respect of the m.v. [insert name of ship] registered as a United Kingdom ship in the name of the Owner under official number [insert ship number] (the Ship). Since the date of the Charter the Owner has agreed to sell the Ship to the Buyer under the terms of a memorandum of agreement dated [insert date] (the Sale Agreement) and subject to the terms of the