The fixture process: from cargo order to recap
How a fixture is made: cargo order, position list, indication, firm offer, counter, main terms, subjects and the recap that records the deal.
The fixture process is the sequence by which a ship and a cargo are matched and a charter party comes into existence. It runs from the cargo order and the position list, through indications and firm offers with a stated validity, to a counter, agreement on main terms, and a recap recording what was agreed.
The contract is normally formed when the last subject is lifted, not when main terms are agreed, which is why the treatment of subjects decides whether a binding fixture exists at all. Negotiation is conducted through brokers who carry offers between the parties, and an offer is typically firm only for a stated period, after which it lapses without needing withdrawal.
The full article will cover each stage of the negotiation, the role of the competitive broker and the exclusive broker, what main terms cover and what is left to the printed form, when a contract is formed, and how the recap is drawn so that the form edition and every amendment are captured.