Ship Management Contracts

This publication compiles BIMCO’s ship management related contracts and explanatory notes into a handy and useful reference book. The latest edition of each contract is included.

This publication provides information on the following contracts and explanatory notes:

• CREWMAN A 2009
• CREWMAN B (LUMP SUM) 2009
• LAYUPMAN
• SHIPMAN 2009
• SUPERMAN

BIMCO members, please enter BIMCO as Promotional Code during checkout for 20% off

In the 1980s shipping went through one of the biggest structural changes the industry has ever seen which was the development of third party ship management services. A weak freight market forced many shipowners to explore new avenues to reduce their operational costs and one such avenue was the outsourcing of commercial and technical ship management to companies financially independent from the ship owning company and structured to carry out that kind of services as agents for and on behalf of owners; the so-called third party ship managers.

While the ship management industry evolved with an increasing part of the world fleet being placed under third-party ship management there was no standard management agreement that it could rely on as a basis for individual contract negotiations. This prompted a number of shipowners and ship managers to approach BIMCO in the mid 80s asking BIMCO to take the lead in the development of a standard ship management agreement striking a fair balance between the owners’ and managers’ rights and obligations. A few years later BIMCO launched what became known as SHIPMAN Standard Ship Management Agreement; perhaps one the most successful contracts within its area. Today SHIPMAN is an indispensable contractual tool for any shipowner and manager engaged in third party ship management – even banks.

Building on the success of SHIPMAN, BIMCO later developed two crew management agreements “Crewman A” cost plus and CREWMAN B lumpsum. It also developed a standard contract for the laying up of vessels codenamed LAYUPMAN. The contract, which was developed in response to the financial crisis in 2008 and increasing demand for the laying up of vessels, is a purpose designed contract for the laying up of vessels involving third party layup specialists. Finally, and to complete the suite of ship management related contracts, BIMCO developed a contract between ship managers or consultants and their clients providing supervision services during the construction of a ship. The contract which has been given the striking codename SUPERMAN can be dovetailed with BIMCO’s well-known standard newbuilding and repair contracts, NEWBUILDCON and REPAIRCON.

The intention with this book is to compile for easy reference all BIMCO’s ship management related contracts and explanatory notes and we do hope that readers will find it to be a handy and useful reference book. The latest edition of each contract is included.

Authentical digital copies of all the BIMCO related ship management agreements contained in the book are available to subscribers of BIMCO’s contract editing system - SmartCon.

CREWMAN A 2009 1

Standard Crew Management Agreement (Cost Plus Fee) 3

Explanatory Notes 21

CREWMAN B (LUMP SUM) 2009 51

Standard Crew Management Agreement (Lump Sum) 53

Explanatory Notes 69

LAYUPMAN 99

Standard Contract for the Laying up of Vessels 101

Explanatory Notes 123

SHIPMAN 2009 135

Standard Ship Management Agreement 137

Explanatory Notes 157

SUPERMAN 199

Standard Agreement for the Supervision of Vessel Construction 201

Explanatory Notes 217

BIMCO is the world’s largest direct-membership organisation for shipowners, charterers, shipbrokers and agents. In total, around 60% of the world’s merchant fleet is a BIMCO member, measured by tonnage (weight of the unloaded ships).

The organisation has NGO status and is based in Copenhagen, Denmark, with offices in Athens, Singapore and Shanghai.

With around 1900 member companies across 120 countries – from the largest shipowners in the world to small local port agents and law firms, BIMCO represents a wide range of maritime companies and organisations.

BIMCO’s goal is to secure a level playing field for the global shipping industry. BIMCO therefore works to promote and secure global standards and regulations for the maritime sector. The organisation’s century long effort into creating standard contracts and clauses is an expression of that aim.