What is chartering?
In the field of transport, chartering is defined as a rental contract between two parties: the freighter and the charterer. The freighter is the owner of the modes of transport requested by the charterer. The latter weaves a professional partnership in order to exploit these logistical means.
Chartering concerns different sectors of activity. Although it is most often used in maritime transport, it is also found in aeronautics and land transport on roads or by rail. Depending on the specifics of the contract and the conditions of implementation, the organization of the freight (the goods) may be the responsibility of the charterer or the freighter.
It should be noted that freight is used both to define the goods and the freighter's remuneration. Its estimate depends on the distance to be covered, the delivery times, the volume of the freight (size, weight, etc.) and its packaging, not to mention the mode of transport chosen.
The specificities of chartering in 6 main principles
The conditions of application and the contractual clauses vary according to the mode of transport. Each particularity makes it possible to better determine the responsibilities and commitments of the various stakeholders. This can lead to the subcontracting of freight or the payment of operating and management costs. There are 6 main points to remember to fully understand what chartering entails.
- This is a rental contract solely dedicated to the transport of goods (freight).
- Its use is aimed at all areas of transport: maritime, air, rail, road.
- Freight volumes are flexible according to customer needs.
- It is possible to handle lots or half lots, pallets or bulk freight.
- Its legal framework depends on the Transport Code.
- The limitation period of a charter contract is one year.
- For the payment of his services, the freighter has a right of privilege on the goods in transit.
Examples and practice In addition to the specific clauses relating to each charter contract, the procedure generally respects the following steps:
- Solicitation of a freighter, a company specializing in chartering and transport organization solutions;
- Mention of needs in relation to the volume of freight as well as the regular or occasional frequency of transport;
- Choice of mode of transport. Eventually, it is possible to opt for a multimodal offer. That is to say, carry out the transit of freight by different means, such as sea, land and air;
- Implementation of logistics for the operation of the leased property;
- Reception and storage of the goods of its customers;
- Forwarding of freight to its delivery destination;
- Delivery to a subcontractor or transport to the final place of delivery.
If there may be disparities between the means of transport, these different phases take into account the organization and the overall logistics specific to the charter. These steps start from the signing of the contract to the delivery of the goods, through the operation of the rented means of transport.
Chartering in figures
The organization of transport, more particularly chartering, has an annual turnover of 21 billion euros in France. Nationally, nearly 2,700 companies share the market. All transport sectors combined, chartering generates more than 67,000 jobs.
These statistics represent approximately 10% of transport and logistics activity. This is equivalent to 200 billion euros in annual turnover, i.e. nearly 10% of national GDP.
(Source: https://www.e-tlf.com/dossiers-tlf/chiffres-cles/)
Regulatory bases
- Law n° 66-420 of June 18, 1966 on chartering and maritime transport contracts (https://www.legifrance.gouv.fr/)
- Transport Code (https://www.codes-et-lois.fr/code-des-transports/)
- Law n° 881091 of December 1, 1988 (http://www.assemblee-nationale.fr/)