Legislative Changes: Ship Sale Contracts And Charterparties

Introduction

Act LII/2016 was introduced primarily to amend and update the Aircraft Registration Act and other ancillary-related laws to ensure that local legislation kept abreast of the contemporary challenges and realities of the aviation industry. However, this act also promulgated particular amendments which go beyond aviation law into the realm of shipping.

These recent changes are making Maltese law an ideal legal regime to govern and regulate disputes which may arise under certain types of shipping contract – namely, ship sale and purchase agreements, promise of sale agreements and charterparties.

Choice of law

Most sales of vessels are concluded following the execution of a standard form agreement. The parties normally complete the relevant boxes and strike out those provisions or clauses, if any, which they do not want to include in the agreement. Accordingly, these standard form agreements help to ensure that negotiations are not too lengthy or