Statement of Facts in Ship Chartering

Statement of Facts (SOF) in Ship Chartering

Statement of Facts (SOF) is a very important document upon which operators base their calculations for the computation of Lay Time.

Statement of Facts (SOF) is a standard form document that is completed by the Ship Master or the Ship Agent.

Statement of Facts (SOF) provides information and keeps track of all activities concerning the ship from the moment it has arrived at port until the completion of all cargo operations and the departure of the ship.

Statement of Facts (SOF) includes the following information:

• The date and time of the ship’s arrival
• The time Notice of Readiness (NOR) was tendered and accepted
• The time waiting for berth
• The time the ship berthed/shifted to another berth
• The time cargo operations commenced, the time and period of any disruptions to cargo operations, completion of cargo operations and departure
• The weather conditions and how they affected cargo operations
• Other information pertaining to or influencing the calculation of laytime

There are various standard form statement of facts forms for both dry cargo and tanker ships. One commonly used Statement of Facts (SOF) form is published by BIMCO.

Statement of Facts (SOF) form is issued by the Shipowner’s agent at the loading and discharging port and is signed by the Ship Master as well as by the other parties that have an interest in the ship and cargo in question, including the charterer’s representatives, shippers or the receivers.

By signing Statement of Facts (SOF) form, parties agree and concur to its content. If there is disagreement on any particular issue, then the party that objects to the specific provision may sign Under Protest, clearly stating the objection.

In addition to the statement of facts and consequent to its issue, the ship operator will produce a so-called Lay Time Statement.

The statement is based on the facts reported in the statement of facts form at the loading and discharge ports and reflects in detail the calculation of laytime used, as well as a calculation for demurrage or dispatch as the case may be. Relevant facts are the date and time that loading operations commenced or stopped, weather and other conditions affecting its progress, number of gangs employed, breakdowns, shiftings, and so on. Computer Software is available for the calculation of laytime.

In tanker chartering, the Statement of Facts (SOF) includes dates and times for tendering notice of readiness, commencement and completion of cargo operations, and details of pumping times and delays, together with reasons for the delay.

—

What is Statement of Facts (SOF) in Ship Chartering?

A Statement of Facts (SOF) is an essential document in the realm of ship chartering and maritime logistics. It outlines all the critical elements and activities that occur while a vessel is at port. The document is prepared by the port agent and is usually verified and signed by the ship’s master, the ship’s agent, and sometimes the receiver of the goods.

A typical Statement of Facts in ship chartering might include the following components:

  1. Vessel Details: This includes information such as the vessel’s name, IMO number, gross and net tonnage, flag state, call sign, and other relevant data.
  2. Voyage Information: Details about the voyage include the voyage number, last port of call, next port of call, and vessel’s ETA (Estimated Time of Arrival) and ETD (Estimated Time of Departure).
  3. Cargo Details: This includes information about the type of cargo being carried, its quantity, loading and discharge rates, and any special handling requirements. It also includes any laytime or demurrage calculations.
  4. Timeline of Events: A detailed timeline of all activities that occur during the vessel’s port stay is included in the SOF. This timeline includes the vessel’s arrival, berthing, commencement and completion of cargo operations, unberthing, and departure. It also includes any noteworthy occurrences or delays, such as bad weather or equipment breakdowns.
  5. Parties Involved: The SOF also includes a list of all parties involved, such as the charterer, shipper, receiver, vessel’s agent, stevedores, and any other relevant entities.
  6. Signatures: At the end of the SOF, the ship’s master and the ship’s agent sign to verify the accuracy of the information. Sometimes the receiver of the goods may also sign.

A Statement of Facts is vital in shipping as it serves as a record of the vessel’s activities at port, and any deviations or discrepancies in the timeline can have significant financial implications. These documents are often used to resolve disputes over demurrage charges, and provide a precise account of events in case of any legal disputes or investigations.

 

BIMCO Standard Statement of Facts

“Statement of Facts (SOF)”: This document is appended to a laytime calculation record (referred to as the “Timesheet”) and serves as a comprehensive account of the occurrences that can impact the computation of laytime.

In certain instances, the “Statement of Facts (SOF)” may form a component of the Timesheet, preceding the sections where durations for loading, discharging, shifting, adverse weather conditions, other exceptional intervals, and the submission of Notice of Readiness (NOR), etc., are recorded.

Shipowners and charterers have the option to employ their own versions of the “Statement of Facts (SOF)” and Timesheets. Nonetheless, BIMCO offers standardized templates, which prove exceedingly valuable. BIMCO’s “Standard Statement of Pacts” and “Standard Time Sheet” are available in both an extensive format (for extended periods) and a concise format. A universally applicable SOF exists, as well as one specifically tailored for use in oil and chemical tank vessel charters.

We kindly suggest that you visit the web page of BIMCO (Baltic and International Maritime Council) to obtain the original Standard Statement of Facts (SOF) Forms and documents. www.bimco.org

 

 

What is SOF? Why is SOF important in Ship Chartering?

SOF stands for Statement of Facts. It’s a vital document in the ship chartering process as it provides an accurate, chronological record of all the events during a ship’s time at a port. This includes the ship’s arrival, when loading or unloading began and finished, and when the ship departed. The SOF is usually signed by the ship’s master, the port agent, and a representative of the cargo owner, and it serves as an agreement between all parties involved.

SOF is critically important in ship chartering for the following reasons:

  1. Demurrage and Dispatch: The SOF is essential in calculating demurrage and dispatch. Demurrage is a penalty for the charterer if the vessel is kept waiting beyond the stipulated time, while dispatch is a reward for the charterer if the ship’s operations are completed sooner than the agreed time.
  2. Record Keeping: The SOF is a precise record of the vessel’s activities at the port. It’s often used to resolve disputes and issues that may arise between the ship owner, charterer, and other parties involved.
  3. Operational Efficiency: The SOF helps in analyzing operational efficiency. It can provide insight into the time taken for different activities and help in improving future operations.
  4. Legal Evidence: In case of any legal disputes or issues, the SOF serves as an essential piece of evidence because it is an agreed record of events.

Therefore, maintaining an accurate Statement of Facts is crucial to ensure smooth operations, efficient communication, fair dealing, and conflict resolution in ship chartering.

 

Statement of Facts (SOF) Vs Time Sheet

  1. Statement of Facts (SOF):A Statement of Facts (SOF) in ship chartering is a detailed chronological record of a ship’s activities at a port. It shows the date and time of all significant events, such as the arrival at the port, when the pilot came on board, when the vessel was all fast, when cargo operations began and ended, and when the ship left the port. The SOF is used to calculate the time spent in port for demurrage or despatch purposes.
  2. Timesheet:A timesheet in ship chartering, similar to an SOF, is a document that records the detailed breakdown of time spent by a chartered ship in the operation. It typically covers the period from the vessel’s arrival at the loading port until its departure from the discharge port. This includes time for loading and unloading cargo, waiting, and any delays that occur. The timesheet is important for the preparations of Statement of Facts (SOF) and calculating laytime. Timesheet provides a broader overview of the time spent in the whole operation, from arrival at the loading port to departure from the discharge port. On the other hand, SOF is signed by the Ship Master.

Statement of Facts (SOF) form is issued by the Shipowner’s agent at the loading and discharging port and is signed by the Ship Master as well as by the other parties that have an interest in the ship and cargo in question, including the charterer’s representatives, shippers or the receivers.

 

Statement of Facts (SOF) Example

Vessel Details: Name of Vessel: [Insert vessel name] IMO Number: [Insert IMO number] Flag State: [Insert flag state] Port of Registry: [Insert port of registry] Port of Loading: [Insert port of loading] Port of Discharge: [Insert port of discharge] Date of Departure: [Insert date of departure] Date of Arrival: [Insert date of arrival]

Cargo Details: Commodity: [Insert commodity] Quantity: [Insert quantity] Packaging: [Insert packaging details] Weight: [Insert weight] Measurement: [Insert measurement]

Charter Party Details: Charterer: [Insert charterer] Charter Party: [Insert charter party agreement]

Statement of Facts:

  1. The vessel arrived at the port of loading on [insert date].
  2. Cargo operations commenced on [insert date] and were completed on [insert date].
  3. The cargo was loaded in accordance with the instructions of the charterer and as per the terms of the charter party agreement.
  4. The vessel departed from the port of loading on [insert date] and proceeded towards the port of discharge.
  5. During the voyage, the vessel encountered [insert any relevant incidents or events].
  6. The vessel arrived at the port of discharge on [insert date].
  7. Cargo discharge operations commenced on [insert date] and were completed on [insert date].
  8. The cargo was discharged in accordance with the instructions of the charterer and as per the terms of the charter party agreement.

Remarks: [Insert any additional remarks or observations regarding the voyage or cargo operations, if applicable.]

Certification: I hereby certify that the above statement of facts is true and accurate to the best of my knowledge and belief.

Signed: [Insert name and position of signatory] Date: [Insert date]

Please note that this is a general example, and you may need to modify it to fit your specific requirements or include additional information as necessary.