BIMCO keeps focus on COVID-19 advice and information
At BIMCO, we follow the authorities' recommendations and do everything possible to minimize the spread of Covid-19 (coronavirus). This means that we take a number of precautions in our daily lives, which also affect our courses.
Planned courses which cannot be held in accordance with recommendations from the authorities, will be re-booked for a later date. If you have already registered for a course, you will be notified by e-mail.
Please contact us if you have any questions firstname.lastname@example.org
Early bird discount
GBP 745 (Normal price GBP 825)
GBP 1000 (Normal price GBP 1115)
10% group discount is available for registering 3 or more participants from the same company.
Members of the following organisations, but who are not BIMCO members can take advantage of the discount BIMCO member rate.
Please contact the organisation for the discount code, which should be entered when signing up in the webshop.
The Sale & Purchase (S&P) seminar examines the mechanisms and processes behind the sale and purchase of vessels.
What will you learn?
Some of the topics the course will cover are:
- The development of Norwegian SALEFORM NSF from 1987 to 1993 and to 2012
- Memorandum of Agreement (MOA) – legally defined
- Physical condition of the vessel; sale by description, inspections regime
- The sale price; market value, spares, exclusions, bunkers, taxes, fees, expenses
- Sellers’ obligation to deliver the vessel free from encumbrances
- Examination of the choices of governing law and arbitration
- Overview and analysis of dispute resolution options and their pros and cons
- Non-performance; Force Majeure, total loss, Buyer’s breach, Seller’s breach
- Entire Agreement clause
- Payment considerations; Lodging the Deposit, Payment of the Purchase Price, Payment for bunkers, greases and oils
- Pre-delivery timetable; Initial vessel inspection, Buyers’ on-board representatives, Notices, vessel location and NOR, Diver’s Inspection / Drydocking, Process for measuring bunkers and identifying inventory
- Delivery; Financial closing meeting and documentary requirements
- Post-delivery considerations; Change of name / funnel markings, Post-delivery documentary obligations, Seller’s warranties, Latent defects
The owners of the handy size bulk carrier have contracted to sell her for a price of USD 11 million based on Norwegian SALEFORM NSF 2012. Immediately prior to the sale, the vessel had been on a 5-year time charter. The vessel was prematurely redelivered, when the time charterers ceased trading, leaving behind several unpaid creditors and outstanding claims. A rider clause to the MOA provided that the seller’s performance was guaranteed by the managers of the vessel. However, the managers never signed the guarantee.
The buyers undertook an inspection of the vessel and class records prior to negotiating the terms and signing the MOA. The buyers’ inspection found significant corrosion in the cargo holds, which was estimated to cost about USD 200.000 to repair. The MOA was amended to this effect.
In accordance with the contract, the buyers placed two technical superintendents onboard the vessel for familiarisation purposes. Whilst on board, they discovered that the engine automation system was not operating properly, a defect which in the buyers’ view affected class.
What legal issues does this cause? Can the buyers lawfully refuse delivery of the vessel, and what about the guarantee?
These are some of the questions the participants will get to answer. Through case studies, participants will work in small groups to discuss different scenarios and problems as they arise. The cases will inspire dialogue and help the participants understand the complexities of damaged cargo.
Why choose to participate?
The seminar has been expanded from one to two days and now covers all aspects of the Sale & Purchase process.
Part 1: The mechanisms of S&P. What are the obligations/benchmarks regarding the condition of the vessel (physical and legal), the price, etc.
Part 2: The process of S&P, covering, payments, notices, inspections, delivery, etc.
The combination of theory, discussion and casework will make the complexity of sale and purchase of vessels clearer and more manageable.
Participants will be taught by hand-picked industry experts who have built a career out of solving complicated issues related to sale and purchase of ships. The trainer group is an integrated team, which has worked with BIMCO for a long time. They will share valuable experiences and point participants toward practical solutions which can be used directly on the job.
The course will also facilitate networking between international shipping peers and enable long-term relationships between the participants.
The seminar is aimed at all practitioners involved in the sale and purchase of ships, and at those who wish to boost their knowledge and become more proficient in the entire process of selling and buying second-hand vessels.
How will this course help your professional development?
The process of selling and buying ships is a specialized business area with the potential for huge profits or losses. Disputes are common and having the best possible understanding of the allocation of risks and responsibilities help to avoid unnecessary or futile disputes.
The course will help you identify the potential challenges before they become a problem in this complex environment and enable you to ask the right questions to the parties involved. This will help you to understand and explain your own risks and exposures.
After the course, you will have a much deeper understanding of the fundamental issues related to sale and purchase, the flow of documentation and how risks can be mitigated. You will be in a better position when it comes to understanding and anticipating the procedures, both as a buyer and a seller.
A BIMCO certificate will be issued, showing the duration of the training.
BIMCO issues electronic course files as an Adobe PDF file enabling you to make personal notes using a computer or tablet. Please bring a computer or tablet! All documentation and presentations will be in English.