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Shipper Agreement for United Arab Emirates

Shipper Agreement Template for United Arab Emirates

A comprehensive legal agreement governed by UAE law that establishes the terms and conditions between a shipping company and a party requiring cargo transportation services. This document is structured in compliance with UAE Federal Law No. 18 of 1981 (Maritime Code) and related regulations, outlining the rights, obligations, and liabilities of both parties in relation to the transportation of goods by sea. It includes detailed provisions for shipping services, rates, documentation requirements, liability allocation, and dispute resolution mechanisms specific to UAE jurisdiction.

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What is a Shipper Agreement?

The Shipper Agreement serves as a fundamental contract in UAE maritime commerce, establishing the legal and operational framework for shipping services. This document is essential when a company requires regular maritime transportation services for their goods and needs to formalize the relationship with a shipping provider. The agreement, governed by UAE law including the Maritime Code and related regulations, typically covers comprehensive shipping terms, rates, service levels, and liability provisions. It's particularly relevant given the UAE's position as a major global trading hub, with specific provisions addressing local port authorities' requirements and customs regulations. The Shipper Agreement becomes especially important for businesses engaging in regular import/export activities through UAE ports, requiring clear documentation of shipping terms and conditions that comply with local and international maritime laws.

What sections should be included in a Shipper Agreement?

1. Parties: Identification of the shipper and carrier/shipping company with full legal names and addresses

2. Background: Context of the agreement and brief description of the parties' business relationship

3. Definitions: Detailed definitions of key terms used throughout the agreement

4. Scope of Services: Detailed description of shipping services to be provided

5. Booking and Documentation: Requirements and procedures for booking shipments and required documentation

6. Rates and Payment Terms: Pricing structure, payment terms, and invoicing procedures

7. Service Standards: Performance standards, delivery times, and quality metrics

8. Obligations of the Shipper: Shipper's responsibilities including cargo preparation, documentation, and compliance

9. Obligations of the Carrier: Carrier's responsibilities including vessel provision, cargo handling, and delivery

10. Liability and Insurance: Allocation of risks, liability limits, and insurance requirements

11. Force Majeure: Circumstances excusing performance and related procedures

12. Term and Termination: Duration of agreement and termination provisions

13. Confidentiality: Protection of confidential information and trade secrets

14. Governing Law and Jurisdiction: UAE law as governing law and jurisdiction for disputes

15. General Provisions: Standard boilerplate clauses including notices, amendments, and assignment

What sections are optional to include in a Shipper Agreement?

1. Dangerous Goods: Special provisions for handling dangerous or hazardous cargo

2. Temperature Controlled Cargo: Specific requirements for refrigerated or temperature-sensitive shipments

3. Container Services: Terms specific to container shipping including detention and demurrage

4. Custom Clearance Services: Terms regarding customs clearance if provided by the carrier

5. Volume Commitments: Minimum volume commitments and related incentives

6. Environmental Compliance: Special provisions for environmental protection and sustainability

7. Security Requirements: Additional security measures for high-value or sensitive cargo

8. Digital Services: Terms for use of electronic booking systems or tracking platforms

9. Local Content Requirements: Provisions addressing UAE local content requirements if applicable

What schedules should be included in a Shipper Agreement?

1. Schedule 1 - Rate Card: Detailed pricing structure including base rates and surcharges

2. Schedule 2 - Service Locations: List of ports, terminals, and service areas covered

3. Schedule 3 - Performance Metrics: Detailed service level agreements and KPIs

4. Schedule 4 - Documentation Requirements: List of required shipping documents and formats

5. Schedule 5 - Insurance Requirements: Detailed insurance coverage requirements and limits

6. Appendix A - Operating Procedures: Detailed operational procedures and protocols

7. Appendix B - Contact Information: Key contacts and escalation matrix

8. Appendix C - Booking Procedures: Step-by-step booking process and requirements

9. Appendix D - Claims Procedures: Process for filing and resolving claims

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Publisher

Genie AI

Cost

Free to use

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