Article 151 of the Saudi Commercial Maritime Law
المادة 151 من النظام البحري التجاري · الفصل الثاني: إيجار السفينة غير المجهزة
In a bareboat charter the lessee appoints the seamen, concludes their contracts and pays their wages and other employer obligations, and bears the costs of operating and insuring the ship.
Official text (Arabic)
This article has not been amended since the law was issued.
يعين المستأجر البحارة, ويبرم معهم عقود عمل، ويلتزم بأداء أجورهم وغيرها من الالتزامات التي تقع على عاتق صاحب العمل، ويتحمل مصروفات استغلال السفينة ونفقات التأمين عليها.
This is the official Arabic wording, the only legally binding version. We do not translate the law itself; the explanation below is ours. Official source: Bureau of Experts at the Council of Ministers
Article 151 explained in plain English
This article shows that in a bareboat ship charter the lessee bears the burdens of operating it. Under Article 1, in this type of charter the ship is delivered without provisions, seamen or fuel, so the lessee must equip it himself.
The lessee's obligations:
- Appointing the seamen and concluding employment contracts with them.
- Paying their wages and meeting the other obligations that fall on an employer.
- Bearing the costs of operating the ship.
- Bearing the costs of insuring it.
The result is that the lessee becomes the employer of the seamen, so they claim their wages and rights from him, not from the lessor.
It follows Article 150, which obliges the lessee to look after the ship and use it for the agreed purpose in accordance with its technical characteristics stated in its certificates. It is followed by Article 152, which obliges him to return the ship on the end of the contract in the condition in which he received it, allowing for ordinary wear. Anyone chartering a bareboat ship is advised to consult a lawyer specializing in maritime and commercial law to assess the burdens before contracting.
Practical example
A company in Jeddah chartered a bareboat ship for one year. The company appoints the master and seamen, concludes their employment contracts and pays their wages, and bears the fuel, operating costs and the cost of insuring the ship.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
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Frequently asked questions about Article 151 of the Saudi Commercial Maritime Law
Who appoints the seamen on a chartered bareboat ship?
The lessee, who concludes the employment contracts with them.
Who pays the wages of the crew of a chartered bareboat ship?
The lessee, who is obliged to pay their wages and meet the other obligations that fall on an employer.
Who bears the insurance of a chartered bareboat ship?
The lessee bears the costs of insuring it and the costs of operating it.
More articles on Ship Charter
- Article 20
The article permits registering a chartered foreign bareboat ship at the Kingdom's registration offices if the charterer meets the registration conditions, and creates a special temporary register for such ships.
1- تسجل السفينة الأجنبية غير المجهزة -لسفرة أو لرحلة واحدة أو لعدد من الرحلات والسفرات أو لمدة محددة- التي يستأجرها من تتوافر لديه شروط التسجيل بأي مكتب من مكات
- Article 21
The article subjects a chartered foreign bareboat ship registered in the Kingdom to the Kingdom's laws, with the charterer taking the owner's place in the law's obligations and penalties for the whole charter period.
تطبق على السفينة الأجنبية المستأجرة غير المجهزة المسجلة في المملكة، الأنظمة المعمول بها في المملكة، ويحل المستأجر طوال مدة الإيجار محل المالك فيما يتعلق بالالتز
- Article 22
The article requires the charterer of a ship that is not fitted out to apply to cancel its register and return the temporary registration certificate within fifteen days of the end of the charter contract.
يلتزم المستأجر بتقديم طلب شطب سجل السفينة المستأجرة غير المجهزة، وإعادة شهادة التسجيل المؤقتة الخاصة بها خلال خمسة عشر يوماً من تاريخ انتهاء عقد الإيجار.
- Article 23
The article requires the owner of a Saudi ship not fitted out, chartered to a foreigner, to notify the registration office fifteen days before the contract takes effect; registration is suspended or cancelled temporarily and the Kingdom's flag may not be flown during the charter.
في حالة تأجير سفينة سعودية غير مجهزة لأجنبي، فعلى مالكها إبلاغ مكتب التسجيل المسجلة فيه السفينة قبل سريان عقد الإيجار بخمسة عشر يوماً على الأقل، وعلى مكتب التسج
- Article 77
If the charterer manages the ship's navigation and alone is liable for the maritime debt, the ship or the charterer's other ships may be attached, but not the other ships of the lessor-owner.
1- إذا كان مستأجر السفينة يتولى إدارتها الملاحية، وكان وحده مسؤولاً عن أي دين بحري متعلق بها، جاز للدائن توقيع الحجز على هذه السفينة أو على أي سفينة أخرى مملوكة
- Article 142
A ship charter contract can be proven only in writing and must state the ship, the parties, loading and unloading, the rent and compensation and the type of charter, and a sale of the ship does not end the charter.
1- لا يثبت عقد إيجار السفينة إلا بالكتابة, ويجب أن يكون متضمناً اسم السفينة, ومقدار حمولتها, ودرجتها, والدولة التابعة لها، واسم المؤجر والمستأجر، والمكان والزما
The texts are reproduced from the official website of the Bureau of Experts at the Council of Ministers for reference; where they differ, the officially published Arabic text prevails. This content is not legal advice.