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Charterparty is the contract made between the ship-owner and the charterer for the lease of whole or part of a vessel for one or more voyage or voyages. Charterers, being in the face of the ship-owners, may be qualified as the carrier depending on the contract and be responsible for risks and liabilities for cargo loss or damage, even though they may have the right of recourse against the ship-owners or other third parties. What are these risks and liabilities? How do the charterers, carriers and ship-owners limit their liabilities for all events including their own negligence? Ship-owners may use protection and indemnity insurance for their legal liabilities, how these famous "P&I Clubs" work? In this study, you may find the essentials of a charterparty, negligence clause and protection and indemnity insurance.