Cancelling Date: Meaning in Chartering
The cancelling date is the last day on which the ship has to be ready to load. If it is not ready by then, the charterer normally has the right to cancel the charter.
What the date means
In a voyage charter the ship must arrive and be ready to load between two dates, the laydays and the cancelling date, together called the laycan. The cancelling date is the end of that window. The word "cancelling" says what it does: after this date the charterer may cancel the contract.
What "ready" means
The ship must be at the loading port or place named in the charter party, in all respects ready to load, and must have given a valid notice of readiness if the contract requires it. A ship that is only near the port, or has no clean holds, may not meet the date. The words in the clause decide it.
The charterer's option
The right to cancel is an option, not an obligation. The charterer may cancel, or may accept the ship after the date. A charterer who does not want to lose the ship usually says so quickly and in writing. Some charter parties give the ship operator a duty to give notice when it expects to be late, and the charterer a time within which it must declare its option.
Extension of the date
If the ship operator sees that it will not arrive in time, it can ask the charterer to extend the cancelling date. The charterer may agree, often by an exchange of messages, and may ask for something in return, for example a change of the laycan or other terms. An agreed extension should be in writing, and it is added to the contract.
On Shipfixing
When you post a ship request you give the laydays date and the cancelling date, so ship operators see the window in which the ship is needed. Keep it realistic: a window that is too narrow gives fewer ships, and one that is too wide may not fit the cargo. See also laytime.
Post your ship request
Shipfixing connects charterers and ship operators. We scan for suitable ships. Voyage requests for ships below 10,000 DWT need no signup and no membership.
Related guides
More in glossary
- Time Charter
- Trip Time Charter
- Contract of Affreightment (COA)
- Time Charter vs Voyage Charter
- Demurrage and Despatch
- Charterer
- Shipowner, ship operator, disponent owner
- Ship broker
- Ship fixing and fixture
- Bulk carrier
- Deadweight tonnage (DWT)
- Bill of lading
- Freight
- Baltic Dry Index
- Lien
- Off-hire
- Bunkers
- FIO and FIOS
- Ton-mile
- Statement of facts
- Letter of indemnity
- Ballast voyage
- Dead freight
- Lighterage
- Stem
- Subjects
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