Supreme Court rules bareboat charter ends on contract termination, not physical return

The Supreme Court has clarified the legal position on bareboat charter agreements, ruling that a charter ends upon valid termination of the contract rather than when the vessel is physically returned.

The judgment emerged from the MV Nereus Progress case, where the Court held that contractual termination changes the charterer's legal status before the physical repossession of the vessel occurs.

This ruling provides clarity on maritime law and the precise moment when ownership and control of a chartered vessel revert to the owner following termination of the agreement.