According to USCG (US Coast Guard)
A bareboat charter (also known as a demise charter) is an arrangement where the charterer assumes full control and possession of the vessel, essentially becoming the temporary owner for the duration of the charter. Under USCG rules, vessels operating as bareboat charters must meet specific conditions to avoid being treated as unlicensed passenger vessels.
USCG Requirements and how we meet them:
- 1. Full Possession and Control: The charterer determines all aspects of the voyage, Including destination and route within the agreed rental time
- 2. Choice and Payment of Crew: Charterers may bring their own qualified captain (25-ton license or greater) or choose from a list of independent captains we provide. The charterer pays the captain directly at time of boarding
- 3. Owner Not Aboard: The owner of 757 Tiki Boat Tours is never aboard during charter operations.
- 4. Charterer Responsibility for Navigation and Operation: The charterer is responsible for safe operation and compliance with all applicable laws. This is explained and acknowledged in the Bareboat Charter Agreement.
- 5. Responsibility for Supplies: The charterer provides all food, fuel, and supplies for the trip.
- 6. Responsibility for Insurance (if applicable): If the charterer provides their own captain, they are also responsible for insuring the vessel during the charter period.
- 7. Right to Discharge Crew: The charterer may discharge any hired crew member or captain for cause.
- 8. Vessel Inspection: The vessel is inspected by both parties at the beginning and end of the charter.
- 9. Charter Limit (12 People Max): All charters with 7–12 passengers are conducted as bareboat charters in accordance with USCG requirements.
Charterer Agreement & Communication Process:
- Before Booking: We explain the Bareboat Charter Agreement and USCG rules to ensure the charterer understands their responsibilities.
- At Boarding: The charterer signs a final agreement confirming they understand and accept the vessel's terms of operation under bareboat rules.