ABSTRACT
This chapter describes the negotiation and contracting procedure in connection with chartering; and adds some more legal points. The choice of the applicable law may depend on several individual factors: the nationality of the parties; the place where the contract has been concluded; the place of the contractual performance; the language of the agreement. When a written contract is used the agreement is, for practical purposes, often regarded as concluded upon the signing of the contract. Normally, an oral agreement is binding on both parties. Some agreements must be in writing to be effective and this requirement may vary from one legal system to another. The reason why commercial contracts are frequently in writing is the need for evidence as between the parties and also the administrative need for documentation in a large organization. Since there is no legal requirement that a charter agreement has to be made in writing, an agreement will be binding when the parties are agreement.
