CLAUSES

1. Agreement to let and hire
The OWNER agrees to let the Yacht to the CHARTERER and not to enter into any other Agreement for the Charter of the Yacht for the same period. The Charterer agrees to hire the Yacht and shall pay the Charter Fee.

2. Delivery
The OWNER shall at the beginning of the Charter deliver the Yacht to the Port of Delivery and the Charterer shall take delivery in full commission and working order, seaworthy, clean, in good condition throughout and ready for service, with full equipment, including up to date safety and live saving equipment (including life jackets for children if any), as required by the Yacht’s registration authority and enabling the CHARTERER to use the Yacht as set out in Clause 12. The OWNER does not warrant her comfort in bad weather conditions for all cruises or passages within the Cruising Area found above.

3. Re-Delivery
The CHARTERER shall re-deliver the Yacht to the OWNER at the Port of Re-Delivery free of any debts incurred for the CHARTERER’s account during the Charter Period and in as good condition as when delivery was taken, except for wear and tear arising from ordinary use. The CHARTERER may, if he wishes, re-deliver the Yacht to the Port of Re-Delivery and disembark prior to the end of the Charter Period, but such early re-delivery shall not entitle the CHARTERER to any refund of the Charter Fee.

4. Cruising Area and Time
The CHARTERER shall restrict the cruising of the Yacht to within the Cruising Area and to within regions in the Cruising Area agreed in this Agreement unless the Captain, in his sole discretion, agrees to exceed this time or unless otherwise is agreed among the Undersigned Parties.

5. Maximum Number of Persons, Responsibility for Children, Health of the Charterer’s Party.
a) The CHARTERER shall not at any time during the Charter Day permit more than the Maximum Number of Guests on Board here in stated.

b) If children are taken on board, the CHARTERER shall be fully responsible for their safety, conduct and entertainment.

c) The nature of a yacht charter may render it unsuitable for anybody with physical disability or undergoing medical treatment. By signature of this Agreement, the CHARTERER warrants the medical, physical and mental, fitness of all members of the CHARTERER’s party for the voyage contemplated by this Agreement.

6. Crew
The OWNER shall provide the Crew of the Yacht, according to the laws of Greece in which the Yacht is registered and properly uniformed, fed and insured. The OWNER shall ensure that the Captain and Crew comply with the laws and regulations.

7. Captain’s Authority
a) The OWNER shall ensure that the Captain shows the CHARTERER the same attention as if the CHARTERER were the OWNER. The Captain shall comply with allreasonable orders given to him by the CHARTERER regarding the management, operation and movement of the Yacht, wind, weather and other circumstances permitting. The Captain shall not, however, be bound to comply with any order which, in the reasonable opinion of the Captain, might result in the Yacht moving to any port or place that is not safe and proper for her to be in, or might result in the CHARTERER failing to re- deliver the Yacht upon the expiration of the proper charter time, or would cause a breach of clause 12.

b) Further, without prejudice to any other remedy of the OWNER, if, in the reasonable opinion of the Captain, the CHARTERER or any of his Guests fail to observe any of the provisions in clause 12 and if such failure continues after the Captain has given due and specific warning to the CHARTERER in writing in respect to the same, the Captain shall inform the OWNER and the BROKER(s) and the OWNER may terminate the Charter forthwith or instruct the Captain to return the Yacht to the Port of Re-Delivery and upon such return the Charter Day shall be terminated. The CHARTERER and his guests shall disembark, the CHARTERER having settled all outstanding expenses with the Captainbefore hand and the CHARTERER shall not be entitled to be refunded any part of the Charter Fee.

c) With particular regard to the use of water sports equipment, as defined in clause 16, the Captain shall have the authority to prohibit the use by the CHARTERER or any or all of his Guests from the use of any particular water sports equipment if, in his reasonable opinion, they are not competent to operate such equipment, are behaving in an irresponsible manner, or are failing to show due concern for others when operating this equipment.

8. Delay in Delivery
a) If the OWNER fails to deliver the yacht at the Port of Delivery at the commencement of the Charter Day, the OWNER will allow the CHARTERER demurrage pro rate for the day or part of day lost.

b) If by reason of force majeure the OWNER fails to deliver the yacht the CHARTERER shall be entitled to treat this Agreement as terminated. The CHARTERER’ s exclusive remedy will be to receive repayment without interest of the full amount of payment made by him to the OWNER or BROKER(s).

9. Delay in Re-Delivery
a) If re-delivery of the Yacht is delayed by reason of force majeure, re-delivery shall be effected as soon as possible thereafter and in the meantime the conditions of this Agreement shall remain in force but without penalty or additional charge against the CHARTERER.

b) if the CHARTERER fails to re-deliver the Yacht to the OWNER at the Port of Re-Delivery due to intentional delay or change of itinerary against the Captain’s advice, then the CHARTERER shall pay forthwith to the OWNER demurrage at the daily rate plus forty percent (40%) of the daily rate.

10. Cancellation by the Charterer
a) Should notice of cancellation of this Agreement be given by the CHARTERER on or at any time before, commencement of the Charter Date, the OWNER shall be entitled to retain the full amount of the payment made by the CHARTERER prior to cancellation.

b) Without prejudice to the OWNER’s remedies in (a) above, if the OWNER is able to re-let the yacht to another Charterer for the Charter Day and under the same conditions or reduced price then the OWNER or the BROKER on his behalf shall refund to the CHARTERER such net balance as is due to the CHARTERER after re-letting which is to be calculated upon the following basis:
The original Charter Fee, net of commissions, shall be deducted from the net hire for the Charter Day due to the OWNER from the re-letting, To this figure is to be added all reasonable additional expenses, including commissions, incurred by the ONWER on re-letting. The figure as calculated will be deducted from the monies actually received from the CHARTERER and any remaining credit balance due to the CHARTERER will be repaid. The intention is that the OWNER shall not receive less in net proceeds from any re-letting than would have been received if the original Agreement has been fulfilled. The OWNER shall use his best endeavors to re-let the yacht and shall not unreasonably withhold his agreement, to re- let, although charters, which may reasonably be considered detrimental to the yacht, its reputation, its crew or its schedule may be refused.

11. Breakdown or disablement
a) If, after delivery, the Yacht at any time is disabled by breakdown of machinery, grounding, collision or other cause so as to prevent reasonable use of the Yacht by the CHARTERER (and the disablement has not been brought about by any act or default of the CHARTERER), the OWNER shall make a pro rate return of the Charter Fee from the time when the Yacht was disabled or became unfit for use.

b) If, however, the Yacht is lost, or is so extensively disabled as aforesaid that the Yacht cannot be repaired the CHARTERER may terminate this Agreement by notice in writing to the OWNER or the BROKER(s) or, if no means of communications is possible, to the Captain on the OWNER’s behalf, and as soon as practicable after such termination the Charter Fee shall be repaid by the OWNER pro rate without interest for that part of the Charter Day remaining after the time that the loss or disablement occurred

12. Use of the Yacht
a) The CHARTERER shall use the Yacht exclusively as a pleasure vessel for the use of himself and his Guests. The CHARTERER shall ensure that no pets or other animals are brought on board the Yacht without the consent in writing of the OWNER. The CHARTERER shall ensure that the behavior of himself and his Guests shall not cause a nuisance to any person or bring the Yacht into disrepute.The CHARTERER shall comply, and shall ensure that his Guests comply, with the laws and regulations of Greece during the course of this Agreement.

b) If the CHARTERER or any of his Guests shall commit any offence contrary to the laws and regulations of Greece which results in any member of the crew of the Yacht being detained, fined or imprisoned, or the Yacht being detained, arrested, seized or fined the CHARTERER shall indemnify the OWNER against all loss damage and expense incurred by the OWNER as a result, and the OWNER may, by notice to the CHARTERER, terminate this Agreement forthwith.It is also specifically understood that the possession or use of any illegal drugs or any weapons (including particularly firearms) shall be sufficient reason for the OWNER to terminate the Charter forthwith without refund or recourse againstthe OWNER.

13. Non-Assignment
The CHARTERER shall not assign this Agreement, sub-let the Yacht or part with control of the yacht without the consent in writing of the OWNER, which consent may be on such terms as the OWNER thinks fit.

14. Sale of the Yacht
Should the OWNER agree to sell the Yacht after the signing of this Charter Agreement, but before delivery to the CHARTERER, the OWNER shall immediately give notice of such sale in writing to the CHARTERER and the BROKER(s). Should the vessel be sold one of the following provisions will apply:

a) The OWNER shall arrange for the Buyer to take over the Charter Agreement and perform the Charter on the same terms and conditions by way of a new Charter Agreement between the involved parties. Shall the Charter not be performed on the same terms and conditions and with the same crew or Yacht of similar or superior standard, the CHARTERER is entitled to refuse signing of a new Charter Agreement.If the Buyer is unwilling or unable to fulfill the Charter Agreement, the OWNER hereby procures the Charter of a replacement yacht of similar or superior standard and on the same Charter Fee, Shall the replacement Yacht not be of similar or superior standard, equivalent crew and expenses, then the CHARTERER is entitled to refuse the replacement Yacht.

b) Should the CHARTERER in accordance to article b of this clause, not sign a new Charier Agreement, or reject the proposed replacement, the CHARTERER will be entitled to repayment without interest of the full amount of all payments made by him, and shall in addition be paid by the OWNER liquidated damages, calculated and paid forthwith on the following scale:
I) If the CHARTERER is informed three (3) months or more before commencement of the Charter Period, an amount equivalent to 7,5% of the Charter Fee.
II) If the CHARTERER is informed more than fourteen (14) days but less than three (3) months before commencement of the Charter Period, an amount equivalent to fifteen percent (15%) of the Charter Fee.
Ill) If the CHARTERER is informed less than fourteen (14) days before commencement of the Charter Period, an amount equivalent to twenty five percent (25%) of the Charter Fee The BROKER’s commission is deemed earned on the signing of this Contract and the OWNER shall pay the whole of th commission forthwith.

15. Insurance
a) The OWNER shall insure the Yacht.
I) for third parties liability for death, personal injury of Guests and third parties caused by collision, shipwreck or any other causes, and for an amount of at least three hundred thousand (300.000) Euro, regardless the number of persons.
II) for third parties liability for material damage to Guests and third parties caused by collision, shipwreck or any other causes, and for an amount of at least one hundred and fifty thousand (150.000) Euro
III) for sea pollution and with insurance of at least ninety thousand (90.000) Euro.

b) Additionally, the OWNER shall have insurance coverage against liabilities caused by the use of water sports equipment, as per paragraph 3 in clause 7 of this Charter Agreement. The insurance shall also cover war and strikes and include insurance of Crew against injuries and/or Third Party liabilities incurred during the course of their employment.

c) All such insurances (a & b) shall be on such Terms and subject to such deductibles as are customary for a vessel of the Yacht’s size mid type. Copies of the relevant insurance documentation shall be available for inspection by the CHARTERER prior to the Charter on reasonable notice to the Captain, and shall be carried on board the Yacht.

d) The CHARTERER shall carry independent insurance for Personal Effects whilst on board or ashore and for any Medical or Accident expenses incurred other than as covered under the Yacht’s insurance as per I and II of clause 15. It is also agreed that Cancellation and Curtailment insurance is not included in this Agreement.

16. Charterers Liability
The CHARTERER shall only be liable for such costs or losses as may be incurred by repairing damage caused by the CHARTERER or his guests (intentionally or otherwise) to the Yacht or any third party up to the level of the Excess (Deductible) on the OWNER’s insurance policy for each separate accident or occurrence. The CHARTERER may be liable for a sum greater than the Excess (Deductible) on any one accident or occurrence if the CHARTERER or any of his guests acted in such a manner (intentionally or otherwise) as to avoid, or limit, the coverage under the OWNER’s insurance.

17. Definitions
a) FORCE MAJEURE
In this Agreement “force majeure” means any cause directly attributable to acts, events, non-happenings, omissions, accidents or Acts of God beyond the reasonable control of the OWNER or the CHARTERER (including, but not limited to, strikes, lock-outs or other labor disputes, civil commotion, riots, blockade, invasion, war, fire, explosion, sabotage, storm, collision, grounding, fog, governmental act or regulation, major mechanical or electrical breakdown beyond the crew’s control and not caused by OWNER’s negligence).

b) OWNERS, CHARTERERS AND BROKERS
Throughout the Agreement, the terms “OWNER”,”CHARTERER” and “BROKER” and corresponding pronouns shall be construed to apply whether the OWNER, CHARTERER or BROKER is male, female, or corporate, singular or plural, as the case may be.

18. Arbitration
Any dispute in connection with the interpretation and fulfillment of this Agreement shall be decided by arbitration in Piraeus, Greece. Each party shall appoint one Arbitrator, the third – in head of the arbitration – being appointed by the Shipping Chamber of Shipping in Greece. This Agreement shall be interpreted and fulfilled in accordance with the laws of Greece and the Courts of Piraeus/Greece.

19. Complaints
The CHARTERER shall give notice of any complaint in the first instance to the Captain on board and note shall be taken of the time, date and nature of the complaint.If, however, this complain cannot be resolved on board the Yacht then the CHARTERER shall give notice to the OWNER or to the BROKER on the OWNER’s behalf as soon as practicable after the event giving rise io the complaint has taken place and anyway within twenty-four (24) hours of the event or occurrence unless it is impracticable due to failure or non- availability of communications equipment. The complaint may be made verbally in the first instance but shall be confirmed as soon as possible in writing (by fax, email or mail) specifying the precise nature of the complaint.

20. Notices
Any notice given or required to be given by either Party to this Agreement shall be communicated in any form of writing and shall be deemed to have been properly given if proved to have been dispatched pre- paid and properly addressed by mail or bona fide courier service or by fax or telex, in the case of the OWNER, to him or to the BROKER at their addresses as per this Agreement or, in the case of the CHARTERER, to his address as per this Agreement or, where appropriate, to him on board the Yacht.