BROKERAGE AND CHARTERING EXAM
STUDY GUIDE 2026 COMPLETE
QUESTIONS WITH CORRECT DETAILED
ANSWERS || 100% GUARANTEED PASS
<RECENT VERSION>
1. Where did the term "chartering" come from? - ANSWER ✔ Established in
shipping long before you could charter a plane or charter a ship in the
Caribbean
2. EXAM SHORT ANSWER: What exactly does "Chartering" mean? -
ANSWER ✔ Basic concept: It's when someone who needs a ship or space
on a ship contracts with a shipowner for that space
3. What is the contract called that governs the relationship between a charterer
and shipowner? - ANSWER ✔ Charter party
4. ON EXAM: Where is the phrase charter party derived from? - ANSWER ✔
The Medieval Latin phrase "Carta Partite" which means "divided document"
5. How did early shipowners and charterers ensure the validity of their
agreements (ie. that the contract was real)? - ANSWER ✔ Execute the
, contract 2 times on the same sheet of paper, then tear it into two irregular
portions. Would fit the 2 portions together to ensure validity.
6. Definition of a charter party - ANSWER ✔ A contract for he hiring of all or
part of a vessel, it's legal and is governed by all usual laws applying to
contracts. Usually governed by Admiralty Law and jurisdiction due to its
maritime nature.
7. What is "hire"? - ANSWER ✔ Money - the "consideration" for the charter
party agreement - money charterer pays to shipowner for use of vessel.
8. When is the term "hire" employed? - ANSWER ✔ ONLY when the charter
in question is a bare boat or time charter agreement
9. In a voyage charter, what is the consideration referred to as? - ANSWER ✔
Freight
10.Definition of bare boat charter - ANSWER ✔ The "bare" boat is chartered
for a designated period of time. Sub of time charter type.
11.Responsibilities of Charterer under Bare Boat Charter - ANSWER ✔
Responsible for physical operation of vessel
Responsible for costs to operate vessel
12.Chartering - ANSWER ✔ when someone who needs a ship or space on a
ship contracts with a Shipowner for that space
,13.Carta Partita - ANSWER ✔ divided doctument
14.Charter Party - ANSWER ✔ A contract for the hiring or letting of all or part
of all a vessel, it's legal and is governed by all usual laws applying to
contracts
15.HIRE - ANSWER ✔ "consideration" the money the the charterer pays the
shipowner for use of the vessel
16.For Voyage Charters, the "consideration" is referred to as - ANSWER ✔
Freight
17.Bareboat Charter - ANSWER ✔ designated period of time
charter is responsible for the physical operations of the vessel
the costs to operate the vessel
18.Time Charter - ANSWER ✔ the vessel's cargo carrying capacity for (a) a
designated period of time, or (b) for a described voyage on a time charter
basis (called a time charter trip)
19.Voyage Charter - ANSWER ✔ An agreement to move a specific cargo from
a designated location or locations to another designated location or locations
, *most frequently employed type of Charter
20.Typical Order of Events in negotiation - ANSWER ✔ Indication
Offer
Counter Offer
Acceptance
21.Backhaul Cargos - ANSWER ✔ taking less desirable cargos in order to get
into an area with more lucrative cargos
22.Voyage Estimation - ANSWER ✔ best way to determine t/c equivalent is to
see something close to that size in the market at that area of the world at that
time
23.When agreeing to turntime, most nonsense (SHINC, EIU, UU, WWD)... -
ANSWER ✔ benfits the charterer not the owner
24.Brokers are not held liable unless - ANSWER ✔ they exceed their authority
25.Subjects - ANSWER ✔ must be lifted before a contract is finalized
26.Subject Stem - ANSWER ✔ Shipper and supplier's agreement to make a
cargo available for specific dates
STUDY GUIDE 2026 COMPLETE
QUESTIONS WITH CORRECT DETAILED
ANSWERS || 100% GUARANTEED PASS
<RECENT VERSION>
1. Where did the term "chartering" come from? - ANSWER ✔ Established in
shipping long before you could charter a plane or charter a ship in the
Caribbean
2. EXAM SHORT ANSWER: What exactly does "Chartering" mean? -
ANSWER ✔ Basic concept: It's when someone who needs a ship or space
on a ship contracts with a shipowner for that space
3. What is the contract called that governs the relationship between a charterer
and shipowner? - ANSWER ✔ Charter party
4. ON EXAM: Where is the phrase charter party derived from? - ANSWER ✔
The Medieval Latin phrase "Carta Partite" which means "divided document"
5. How did early shipowners and charterers ensure the validity of their
agreements (ie. that the contract was real)? - ANSWER ✔ Execute the
, contract 2 times on the same sheet of paper, then tear it into two irregular
portions. Would fit the 2 portions together to ensure validity.
6. Definition of a charter party - ANSWER ✔ A contract for he hiring of all or
part of a vessel, it's legal and is governed by all usual laws applying to
contracts. Usually governed by Admiralty Law and jurisdiction due to its
maritime nature.
7. What is "hire"? - ANSWER ✔ Money - the "consideration" for the charter
party agreement - money charterer pays to shipowner for use of vessel.
8. When is the term "hire" employed? - ANSWER ✔ ONLY when the charter
in question is a bare boat or time charter agreement
9. In a voyage charter, what is the consideration referred to as? - ANSWER ✔
Freight
10.Definition of bare boat charter - ANSWER ✔ The "bare" boat is chartered
for a designated period of time. Sub of time charter type.
11.Responsibilities of Charterer under Bare Boat Charter - ANSWER ✔
Responsible for physical operation of vessel
Responsible for costs to operate vessel
12.Chartering - ANSWER ✔ when someone who needs a ship or space on a
ship contracts with a Shipowner for that space
,13.Carta Partita - ANSWER ✔ divided doctument
14.Charter Party - ANSWER ✔ A contract for the hiring or letting of all or part
of all a vessel, it's legal and is governed by all usual laws applying to
contracts
15.HIRE - ANSWER ✔ "consideration" the money the the charterer pays the
shipowner for use of the vessel
16.For Voyage Charters, the "consideration" is referred to as - ANSWER ✔
Freight
17.Bareboat Charter - ANSWER ✔ designated period of time
charter is responsible for the physical operations of the vessel
the costs to operate the vessel
18.Time Charter - ANSWER ✔ the vessel's cargo carrying capacity for (a) a
designated period of time, or (b) for a described voyage on a time charter
basis (called a time charter trip)
19.Voyage Charter - ANSWER ✔ An agreement to move a specific cargo from
a designated location or locations to another designated location or locations
, *most frequently employed type of Charter
20.Typical Order of Events in negotiation - ANSWER ✔ Indication
Offer
Counter Offer
Acceptance
21.Backhaul Cargos - ANSWER ✔ taking less desirable cargos in order to get
into an area with more lucrative cargos
22.Voyage Estimation - ANSWER ✔ best way to determine t/c equivalent is to
see something close to that size in the market at that area of the world at that
time
23.When agreeing to turntime, most nonsense (SHINC, EIU, UU, WWD)... -
ANSWER ✔ benfits the charterer not the owner
24.Brokers are not held liable unless - ANSWER ✔ they exceed their authority
25.Subjects - ANSWER ✔ must be lifted before a contract is finalized
26.Subject Stem - ANSWER ✔ Shipper and supplier's agreement to make a
cargo available for specific dates
