2. CHARTER FEE Charter fee covers the use of vessel. The vessel is handed over to the Charterer with full water and fuel tanks, seaworthy and clean, and it should be returned in the same condition.

3. TRANSFER Lessor is obliged to deliver vessel seaworthy. If Lessor fails to make vessel available to Charterer at the agreed time and place (regardless of reason), Charterer may request reimbursement for days he did not have the vessel at his disposal. If lessor is unable to deliver within 24 hours after the dead line or make available other vessel of similar or better characteristics, Charterer may withdraw from the contract and claim reimbursement for as many daily rent charges as the vessel was unavailable. There are no other compensation rights. Chartered is obliged to check whether the vessel is seaworthy and whether all equipment items as per checklist are on the vessel. All shortages, defects of vessel or equipment unnoticed at delivery give no right to Charterer to reduce the original charter fee. Charterer is obliged to hand over the vessel to Lessor at agreed time and place. If Charterer fails to return the vessel on time and place set, he makes a commitment to pay the Lessor the triple daily rent charge plus Lessor’s loss and expenses resulting by there delay. The delay is justified in case of force mayor only and in that case Charterer is obliged to inform Lessor immediately.

4. DEPOSIT Before taking over the vessel, the Charterer leaves the deposit by the check-in & check-out office:
In cash EURO 220- / non refundable (not covering the yacht inventory) - or refundable EURO 1.000. (1500 € for boats over 49 feet) -, in cash, Travelers Checks, Euro checks (the whole amount on 1 check accepted), or Credit cards (Diners, Visa, American, Master). The refundable deposit is fully reimbursed if the vessel is returned to Lessor at the agreed time place, and undamaged.

5. INSURANCE The vessel is mandatory insured for all damages done to third parties. Vessel’s Full Insurance Policy covers (with deductible) EURO 1.000.- of all damages except those resulting from force mayor. Damages covered by insurance, which are not immediately reported to the closest Harbor Master and Lessor, will not be acknowledged in terms of insurance policy, and from those, eventual damages are becoming full responsibility of the Charterer.

6. CHARTERER’S RESPONSIBILITIES For Charterer’s acts and/or neglect for which the Lessor is responsible to a third party, Charterer will cover all expenses to Lessor for material and legal costs resulting from such acts and/or neglect. Charterer is particularly responsible in case officials on the basis of illegal action size the vessel. In case of average and accident Charterer will record course of events and request the necessary written certificate from Harbor Master, Charterer will also immediately notify Lessor about such event. In case of vessel seizure or prohibition of further sailing by Government officials or other persons, Charterer is obliged to immediately notify the authorized officials and Lessor. The costs of damaged or lost items of vessel or equipment are to be covered by Charterer; i. e. Lessor will deduct the amount in question from the Deposit. Charterer is obliged to check the oil in the engine every day, damages resulting from the lack of oil in the engine will also be covered by Charterer. Damage of underwater part of vessel must be followed by vessel inspection, Charterer being responsible for the expense.

7. CHARTERER’S LIABILITIES Charterer is obliged to sail within the Adriatic Sea. He makes commitment that will neither sublet not lend the vessel to any other person, that he will not take part in regattas, use the vessel for any commercial purposes, and that will sail under safe weather conditions. Charterer declares that he possesses a valid navigation license or if otherwise, that he will leave the conduct of the vessel to a crewmember that has the license required.

8. CHARTER WITHDRAWAL If fro any reason Charterer is unable to take over the vessel, he may find another person who will enter the contract in his place with Lessor’s prior consent. If no replacement can be found, the Lessor shall retain
? 30% of charter fee for withdrawals up to two months prior to charter commencement
? 100% of charter fee for withdrawals within one month before the charter commencement

9. COMPLAINS Only those complain that shall be submitted in writing on the occasion of returning the vessel and signed by the Lessor’s representative and Charterer personally, shall be taken into consideration.

10. JURISDICTION in case of disagreement or dispute, the attempt will be made, to settle it peacefully by an
agreement. If it cannot be resolved in the above manner, it will be subject of jurisdiction of the court in Trogir.