Journal of Marine Science and Technology

Journal of Marine Science and Technology

A Comparative Study of Demurrage in Iranian and English Law: Legal Nature and Implementation Challenges

Document Type : Original Manuscript

Authors
1 PhD student in private law, Department of Private Law, Faculty of Law, Mofid University, Qom, Iran.
2 Associate Professor of International Law, Department of Law, Faculty of Law, Mofid, Qom, Iran.
Abstract
Abstract
As one of the key concepts in maritime law and international trade, Demurrage is applied to the owner of the ship due to the delay in loading or unloading of the ship, exceeding the permitted time specified in the ship's rental contract (charter party). This cost is normally determined on the basis of the daily or hourly rate and is calculated to compensate for the financial losses caused by the delay, including operating costs of the ship and loss of business opportunities. while Demurrage is typically used in time charter and voyage charter contracts, how to calculate it depends on factors such as delay, type of ship, and port conditions.
The main objective of this research is to analyze the legal nature of Demurrage, administrative challenges and its interpretation in Iranian and English law. In particular, the major differences in the regulation of this concept are discussed in the two legal systems and the existing challenges in the accurate calculation of Demurrage in Maritime contracts. in this regard, this article examines whether the use of Demurrage in international law and Iranian law, is informally and through the general rules of damages.
The author believes that using the rules of Incoterms and clarification of the conditions of Demurrage in Iran's domestic contracts can help reduce the executive disagreements and increase efficiency in the maritime contracts. The article concludes that demurrage works not only as a means of compensation, but also as a mechanism to ensure the efficiency of port operations and improve maritime business processes. To reduce legal disputes in this context, it is suggested that the charter party be adjusted with more accuracy and its conditions should be clearly defined.
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Articles in Press, Accepted Manuscript
Available Online from 17 September 2025

  • Receive Date 30 June 2025
  • Accept Date 09 September 2025
  • Publish Date 17 September 2025