Cancelling date

The cancelling date is the last date on which the vessel may arrive and tender a valid notice of readiness at the load port before the charterer gains the option to cancel the charter. With the laydays (the earliest presentation date) it forms the ’laycan’ spread, for example ’laycan 10 to 20 March’. Missing it does not void the contract automatically: it gives the charterer a right to cancel, which can be exercised even if late arrival was not the owner’s fault. Many forms add an interpellation clause letting the charterer declare its decision once the owner gives a revised ETA.