When does the charterer take control of the cargo?

When does the charterer take control of the cargo?

• A. When cargo enters pipeline
• B. At vessel arrival
• C. At transfer from terminal hose to vessel manifold
• D. At discharge completion

Answer: (C)

Control of the cargo passes when it enters the vessel’s own cargo system, i.e., at the moment the shore terminal hose is connected to the vessel’s cargo manifold and the cargo begins flowing into the ship’s piping. From that instant, the charterer takes responsibility and risk for the cargo, including handling, contamination risk, and loss, because it is now inside the vessel’s control. Before this transfer point, the cargo is still considered under terminal or ship’s loading control. The other moments listed don’t mark the handover of control: being in a pipeline, the vessel’s arrival, or the discharge being completed all occur outside the point where the cargo becomes part of the ship’s own system.

Control of the cargo passes when it enters the vessel’s own cargo system, i.e., at the moment the shore terminal hose is connected to the vessel’s cargo manifold and the cargo begins flowing into the ship’s piping. From that instant, the charterer takes responsibility and risk for the cargo, including handling, contamination risk, and loss, because it is now inside the vessel’s control. Before this transfer point, the cargo is still considered under terminal or ship’s loading control. The other moments listed don’t mark the handover of control: being in a pipeline, the vessel’s arrival, or the discharge being completed all occur outside the point where the cargo becomes part of the ship’s own system.