Strikes Clause

Voyage charter-party usually contains a strikes clause. Strikes clause deals with delays and other problems arising as a result of strikes at the loading or discharging ports or in seaways and canals that ships sail through in the course of the voyage. Strikes clause covers the extent to which the shipowners are entitled to be compensated by the charterers for the delay of their ship as a result of a strike. Under strikes clause, if the strike occurs during loading, parties has right to order the ship to proceed to an alternative port. If the charterer nominates a port where a strike occurs the shipowner may indicate in the charter-party that the time lost will be treated as counting towards the estimation of laytime. If the strike occurs during operations then certain charter-parties like the GENCON indicate that time lost will be paid at half the demurrage rate.