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of <h1>Charterer must pay dead freight compensation when failing to fully load ship per charter agreement</h1> Dead freight refers to compensation payable when a charterer fails to fully load a chartered ship according to the charter party agreement. It represents damages for breach of contract rather than actual freight charges. The amount equals the difference between freight actually earned and what would have been earned if the charterer had fulfilled loading obligations. Legal authorities define it as unliquidated compensation for loss of freight caused by cargo deficiency or failure to load according to charter terms.
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