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Charterers liability For the damage caused by actions and failure of the Charterer for which Charteree is liable to the third party if any, the Charterer is obligated to compensate financially any damages to Charteree fully, whether it is the case of material and/or legal expenses that resulted from such actions and failures. The Charterer is explicitly liable for the yacht in case any official authority repossess yacht, due to inappropriate and illegal actions undertaken during the agreed charter time. Charterer is obliged to bear all charges/expenses for failures done by himself, for which Charteree has criminal and financial responsibility. Charterer is fully responsible for yacht repossession by foreign state authorities in regards to any illegal actions. In the case of damage or accident Charterer is entitled to inform in writing, authorities (Port HQ, Police, Medical Institutions) and the Charteree in case of disappearance of the yacht, impossibility of operating the yacht and/or any other actions performed by third persons and/ or legal representatives of government. The Charterer allowed to sail out from safe berth or anchorage, until any possible failure is repaired properly. The Charterer is not allowed to sail out from safe berth or anchorage, without been assured that fuel and water tanks levels are acceptable according to measuring instruments. Charterer is not allowed to leave safe berth and/or anchorage also if weather conditions does not allow so and if persons on board of yacht and yacht itself is not safe for normal manoeuvring/sailing generally. Hand Over Of The Yacht The Charterer is obliged to return the yacht in agreed time and place as agreed in contract at safe berth. The yacht should be returned with full fuel tank. If the hand overt is not possible at the agreed time and place for any reason, the Charteree to be notified immediately in order to consult next step of this operation . It is clearly stated herein that Charterer is informed/suggested that he should return yacht to agreed port and/or marina at least one day before charter contract is to be considered terminated. If such situation occurs i.e. if Charterer hands over yacht when the contractual agreed time for delivery of yacht has expired, Charterer is obliged to bear all below stated expenses / settlements: For the delay up to max three (3) hours - Entire day rental amount. For the delay of more than three (3) hours - Four days rental amount + all any other expenses For the delay caused by bad weather conditions, Charterer is obliged to bear all expenses of Charteree Weather conditions are not to be considered as justified reasons for any possible delay of hand over. Charterer must report all possible damages to Charteree during hand of yacht. All possible damages to be settled on Charterer's account. Based on inventory list done during Take Over Operation, the yacht, equipment/belongings and machinery is to be inspected carefully. If during inspection is determined that some problems persists, Charterer is obliged to bear all expenses on his own account. Yacht is to be hand over cleaned, as it was delivered, and tided, without any personal belongings of Charterer and his crew. Hand over operations of yacht takes about one hour time.

Takeover the yacht The Charterer will take over the yacht at agreed time and place. During takeover over the yacht, the Charterer is obliged to check and carefully examine the condition of the yacht and equipment on board according to the inventory list of the yacht. Any possible complains have to be notified before the start of navigation/ usage of yachts. The possible unknown defaults/issues, on the yacht or equipment on board, for which The Charterer at the moment of takeover was not familiar with in any case, as well as defaults which could arise/overcome after the takeover of the yachts, does not give option/ right to the Charterer to reduce the charter fee. When requested by Charteree, the Charterers i.e. person(s) in charge for sailing/navigation, have to prove that they are capable to operate yacht safely and according to international maritime laws/rules. Furthermore if the Chartreres does not comply with regulations relative to boat/yacht seaworthiness, charteree and/or his representatives have legal right not to deliver the yacht at all and/or not to permit sail out from starting point/marina. No any compensation/ request from Charteree can not be claimed. If any similar situation has happen, Charteree is allowed to request assistance from Port Authority Police/Coast Guard. If the Charterer does not takeover the yacht within 48 hours for any reason, the Charteree is entitled to consider that the contract between parties is void/not valid any more. Charterers obligation After the Charterer has takeover the yacht, the Charterer shall bear all expenses of the daily berth in the port, or in marina, coast of fuel, oil, water, cleaning and all other necessary items for safe navigation, as well as eliminating all damages and defaults, which can appear while the yacht is charterer's responsibility and which are not results of normal regular yacht usage, provided the Charterer has previously contacted The Charteree and reached an agreement in regards to technical issues of the repairs that are to be performed. The Charterer is obliged to sail/navigate within the Croatian territorial waters. If Charterers are to leave Croatian territorial sea waters, the Charterer is obligated to request from the Charteree licence and/or permission to take such action. The Charterer undertakes to respect all regulations and rules, to take care of the yacht and its equipment with caution and navigate/operate the same carefully and according to the maritime rules of navigation and sail only during safe weather conditions and good visibility. Charterers are to be informed about weather conditions via radio (VHF). The Charterer, or skipper, hereby confirms that he is familiar with all necessary navigational skills and that he possesses the valid license/certificate to navigate at the open seas, and the radiophone operations authorised certificate, which has to be presented/shown to the Charteree, as per first request of same. The Charterer undertakes and hereby agree that he shall not sub charter the yacht or rent it to the any third person(s), that he shall not participate in regattas nor yacht races, commercial purposes, any type of fishing, or sailing schools. It is hereby agreed that Charterers will not navigate/operate the yacht under influence of alcohol or narcotics, and/or any other illegal substances unknown to Charteree. It is strictly forbidden to tow of any other yacht, neither is allowed to sail at night by unsafe weather conditions. Number of persons aboard of the yacht is to match to the crew list. The Charterer is responsible for the consequences, which may arise of non-observance to his obligations. Any accidents or damage the yacht or equipment/belongings of the yacht, during the charter time, the Charterer is dully obligated to inform the Charteree immediately without any time delay. 24 hours telephone numbers, which are to be used to notify the Charteree, as same are indicated in the yacht documents. The Charterer is fully obliged to notify the Charteree immediately, and the authorities in case the yacht or equipment is missing. If the further safe navigation is not possible or in case yacht was dispossessed by third parties which are not part of contract, prized or if further navigation was prohibited by authorities or third parties for any reason. If the Charterer is to be fully responsible for all the consequences for the Charteree and he guarantees for them. Any pets (dogs, cats, birds and similar) on the yacht is prohibited, unless a previously is been agreed otherwise in that respect. The Charterer is obliged to check daily oil level in the engine, check any possible leakages, control pressure of oil and cooling water system, unusual sounds, and take care of sails because they are not insured by insurance policy.

Charterers liability For the damage caused by actions and failure of the Charterer for which Charteree is liable to the third party if any, the Charterer is obligated to compensate financially any damages to Charteree fully, whether it is the case of material and/or legal expenses that resulted from such actions and failures. The Charterer is explicitly liable for the yacht in case any official authority repossess yacht, due to inappropriate and illegal actions undertaken during the agreed charter time. Charterer is obliged to bear all charges/expenses for failures done by himself, for which Charteree has criminal and financial responsibility. Charterer is fully responsible for yacht repossession by foreign state authorities in regards to any illegal actions. In the case of damage or accident Charterer is entitled to inform in writing, authorities (Port HQ, Police, Medical Institutions) and the Charteree in case of disappearance of the yacht, impossibility of operating the yacht and/or any other actions performed by third persons and/ or legal representatives of government. The Charterer allowed to sail out from safe berth or anchorage, until any possible failure is repaired properly. The Charterer is not allowed to sail out from safe berth or anchorage, without been assured that fuel and water tanks levels are acceptable according to measuring instruments. Charterer is not allowed to leave safe berth and/or anchorage also if weather conditions does not allow so and if persons on board of yacht and yacht itself is not safe for normal manoeuvring/sailing generally. Hand Over Of The Yacht The Charterer is obliged to return the yacht in agreed time and place as agreed in contract at safe berth. The yacht should be returned with full fuel tank. If the hand overt is not possible at the agreed time and place for any reason, the Charteree to be notified immediately in order to consult next step of this operation . It is clearly stated herein that Charterer is informed/suggested that he should return yacht to agreed port and/or marina at least one day before charter contract is to be considered terminated. If such situation occurs i.e. if Charterer hands over yacht when the contractual agreed time for delivery of yacht has expired, Charterer is obliged to bear all below stated expenses / settlements: * For the delay up to max three (3) hours - Entire day rental amount. For the delay of more than three (3) hours - Four days rental amount + all any other expenses * For the delay caused by bad weather conditions, Charterer is obliged to bear all expenses of Charteree Weather conditions are not to be considered as justified reasons for any possible delay of hand over. Charterer must report all possible damages to Charteree during hand of yacht. All possible damages to be settled on Charterer's account. Based on inventory list done during Take Over Operation, the yacht, equipment/belongings and machinery is to be inspected carefully. If during inspection is determined that some problems persists, Charterer is obliged to bear all expenses on his own account. Yacht is to be hand over cleaned, as it was delivered, and tided, without any personal belongings of Charterer and his crew. Hand over operations of yacht takes about one hour time.

The insurance is determined by the terms and conditions defined by insurance company where yacht is insured. Yacht and crew are insured against possible damage done by third persons. Terms and conditions of insurance are to be delivered to Charterer during Take Over Operations. In case of damage Charterer is obliged to report same, to nearest port authorities office, where damage log/record, will be made for the insurance company, and Charteree's Office. If the possible damages are not reported on time i.e. with any delay, Charterer is to kept responsible by himself and liable for his actions.

Insurance covers damages, against possible natural/environmental impacts, but it does not cover any damages done purposely. If damage is done purposely, Charterer will bear all expenses by himself. Engine and Sails are not covered by insurance policy, and if any damage has happen, like lack of lubricating oil in engine, Charterer will be responsible and will bear all expenses. Personal belongings of crew are not covered by insurance. Charter Contract Termination Terms If the Charterer for any reason is not able to take over the yacht, he is entitled to, if mutually agreed, locate another Charterer personally, which will use the rights and agreed conditions of this contract. If Charterer is not able i.e. not in position to find substitution for himself, Charteree will forced to retain following: * 30% of the amount of charter fee for termination of charter two ( 2) moths before charter commencement date. 50% of the amount of charter fee for termination of charter one (1) month before charter commencement date * Charter Fee in total for termination within last month of commencement of charter date If for some reasons like for death of family member, health conditions and any other situations which may happen, the deposit will not be refunded F.Y.I. Chartereer will provide yacht to Charterer for any other free and/or available time or within next season.