What is deadfreight in chartering and when can it be claimed by the shipowner?

• A. Amount payable when the charterer fails to load the agreed cargo.
• B. A fee charged for late discharge.
• C. Amount payable when the charterer fails to load the agreed cargo or fails to tender it; owner can claim damages to compensate for idle capacity.
• D. A bonus paid to the charterer for timely delivery.

Answer: (C)

Deadfreight is the compensation a shipowner can claim when the charterer does not provide the agreed cargo or fails to tender it for loading, leaving part of the vessel’s capacity unused. It recognizes that the vessel could have earned freight on that cargo, so the owner seeks to recover the revenue that would have flowed from loading the missing quantity. The amount is typically calculated on the unutilized cargo at the agreed freight rate and is a damages remedy for idle capacity caused by the charterer’s fault.

This is distinct from charges for late discharge or for delays during loading or unloading. Demurrage, for example, covers time lost due to overrun of laytime, while despatch rewards quicker-than-anticipated loading. Deadfreight, instead, addresses the loss of potential freight when no cargo is loaded or tendered as agreed.