Common use of Chartering Clause in Contracts

Chartering. Except with approval, the relevant Owner shall not enter into any charter commitment for the Ship (except for the Ship’s Charter or Replacement Charter), which is: (a) a bareboat or demise charter or passes possession and operational control of the Ship to another person; (b) capable of lasting more than 12 calendar months; (c) on terms as to payment or amount of hire which are materially less beneficial to it than the terms which at that time could reasonably be expected to be obtained on the open market for vessels of the same age and type as the Ship under charter commitments of a similar type and period; or (d) to an Affiliate.

Chartering. Except with approval, the relevant Owner Borrower shall not enter into any charter commitment for the Ship (except for the Ship’s Charter or Replacement Charter), which is: (a) a bareboat or demise charter or passes possession and operational control of the Ship to another person; (b) capable of lasting more than 12 13 calendar months; (c) on terms as to payment or amount of hire which are materially less beneficial to it than the terms which at that time could reasonably be expected to be obtained on the open market for vessels of the same age and type as the Ship under charter commitments of a similar type and period; or (d) to an Affiliate.