Applicability of the Charterparty Terms

Applicability of the Charterparty Terms to a Contract of Carriage. Where broad words of incorporation are used, some charterparty terms could be incorporated which will not make sense in a contract of carriage. For example, a charterparty term making the charterer responsible to pay demurrage or to provide bunkers will not make sense in a contract of carriage [as in Miramar (1984)]. Thus it will not be incorporated unless the charterparty specifically intends that, for example, by referring to ‘shipper/charterer/receiver’ in the char- terparty. That would be unusual. In some circumstances the court will allow ‘verbal manipulation’ so that a relevant charterparty term makes sense in a contract of carriage. For example, if an arbitration clause has been expressly incorporated, but refers to ‘disputes under this charterparty’, it will be read in the bill of lading as meaning ‘disputes under this bill of lading’.