ABSTRACT
An off-hire clause in a charterparty suspends the Charterer's obligation to pay hire on the occurrence of the events specified in the off-hire clause. The wording of off-hire clauses vary from charterparty to charterparty. Whether an off-hire clause applies to a particular situation requires careful consideration of the wording of the clause in each case. In general terms, there are two types of off-hire clauses. The clause is concerned to identify an actual period of real time during which time is being lost, not an identifiable length of time by which 'the chartered service' or what the judge sometimes called 'the charter service overall' can be said to have been delayed. The Charterer can simply withhold payment if it believes that any default in performance by the Owner falls within the ambit of the off-hire clause.
