Article 153 of the Saudi Commercial Maritime Law
المادة 153 من النظام البحري التجاري · الفصل الثاني: إيجار السفينة غير المجهزة
The lessee of a bareboat ship guarantees third-party rights against the lessor where the right arises for a reason attributable to the lessee's operation of the ship.
Official text (Arabic)
This article has not been amended since the law was issued.
يضمن المستأجر حق الغير على المؤجر الناشئ بسبب يرجع إلى استغلال المستأجر للسفينة.
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 153 explained in plain English
This article addresses the case of a third party making a claim against the lessor because of the lessee's operation of the ship. A person may be harmed by the use of the ship, or a debt may arise for him because of it, and he turns to the lessor as owner of the ship.
In this case the article provides that the lessee guarantees this right, provided the right arose for a reason attributable to the lessee's operation of the ship. If the lessor has to pay the third party, he may have recourse against the lessee for what he paid.
The logic is that in a bareboat charter the lessee is the one who operates the ship and benefits from it, so it is fair that he bears the consequences of his operation.
Rights that arise for a reason not attributable to the lessee's operation are not covered by this article.
This article comes after Article 152, which obliges the lessee to return the ship and its provisions in the condition received, and before Article 154, which sets the period for hearing claims arising from a bareboat charter at two years. Ship lessors who receive claims because of the lessee's operation are advised to consult a lawyer specializing in maritime and commercial law.
Practical example
A company leased a bareboat ship to a lessee, then a fuel supplier claimed from the owning company the price of fuel supplied to the ship at the lessee's request. Because the debt arose from the lessee's operation of the ship, the lessee guarantees it, so if the company pays it has recourse against him.
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 153 of the Saudi Commercial Maritime Law
Who bears third-party claims arising from the lessee's operation of the ship?
The lessee guarantees third-party rights against the lessor if they arose for a reason attributable to his operation of the ship.
Does the lessee guarantee every claim against the lessor?
No, only rights that arose for a reason attributable to the lessee's operation of the ship.
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.