What Happens If Your Charter Yacht Breaks Down

Day 3. A Tuesday, 16:40. Eight guests, a week in the Mediterranean.

The engine alarm sounds as the yacht leaves a bay.

The captain stops, checks and calls the engineer.

By 19:00 the yacht is on anchor and the guests are on the aft deck with a drink.

Nobody knows yet if this is a 2-hour fault or a 2-day one.

One of the guests opens a message to the broker and types the time.

That message is the first line of the file.

The short answer

A fault that is fixed the same evening is a minor fault. A breakdown that stops reasonable use of the yacht for a set stretch of time is a disablement. The contract treats them differently.
Under the standard MYBA charter agreement (2017 version), Clause 12 applies when the yacht cannot be reasonably used for 12 to 48 consecutive hours, or one tenth of the charter period, whichever is shorter.
Past that point the remedy is a pro rata refund of the charter fee for the lost time, or an extension by agreement.
The clause does not promise a substitute yacht. Brokers often arrange one anyway.
Notice matters. Tell the captain at once, and keep a written record of what happened and when.

Your own contract governs. Clause wording differs between versions and contract forms, so ask your broker to show you the clause.

Minor fault or disablement

A yacht is a machine at sea. Things fail.

A generator trips. A water pump stops. A tender will not start.

Most of these get fixed by the crew within the day, and the charter carries on.

Clause 12 of the MYBA charter agreement (2017 version) covers something bigger. The yacht is disabled by breakdown, grounding, collision or another cause, so that reasonable use is prevented. You did not cause it. And it lasts for 12 to 48 consecutive hours, or one tenth of the charter period, whichever is shorter.

The form gives a band of hours. Your signed contract shows the figure that applies to you, and your broker can read it out for your dates.

What the clause gives you

If the disablement passes the threshold, the clause offers two routes.

A pro rata refund of the charter fee for the disablement period.
Or, by mutual agreement, a pro rata extension of the charter.

You are not liable for the extra costs of the immobilisation. You stay liable for normal expenses, such as the food and drink you would have used anyway.

The clause asks you to give immediate notice to the captain directly, or through the broker. That is why the first message matters, and why it should carry a time and a date.

Weather is a separate question. For that, read bad weather on a yacht charter.

If it runs longer

If the yacht is disabled for longer than the threshold, or is a total loss, the clause gives you a further option.

You may end the charter by written notice.
The owner repays the fee pro rata, without interest, within 2 working days.
You may recover reasonable return transport and accommodation costs.

Or, by mutual agreement, you can stay aboard. In that case you have no further claim for the disablement.

Ending a charter is a big step. Speak to your broker before you leave the yacht and before you send notice. The written notice has to exist, and a call or a text does not replace it.

Replacement yachts

Many guests expect a swap. Many have read that the owner must provide one.

The 2017 text of Clause 12 does not say that. There is no substitute yacht obligation in it.

In practice, management companies and central agents sometimes find another yacht in the same area. It is arranged case by case, often with a new agreement or an addendum, and the money moves through the stakeholder.

If a substitute is offered, the broker puts the differences in front of you in writing, including who pays any difference. If you accept a substitute, that is usually the remedy for the breakdown. So ask your broker to state in writing, at the moment of the swap, anything you want to keep open about the lost time.

When the owner says force majeure

Sometimes the owner or management says the breakdown is force majeure.

The MYBA charter agreement (2017 version) defines it in Clause 18(a). The list includes a major mechanical or electrical breakdown beyond the crew’s control and not caused by lack of maintenance or by negligence.

The same clause says crew changes and shipyard delays that do not come from those causes do not count as force majeure.

Clause 22 then applies. When force majeure is claimed for a breakdown, the owner must give you a detailed technical report, with the maintenance log and supporting documents.

You are entitled to ask for it. Your broker can ask for it on your behalf, in writing.

Why written notice matters

Clause 7 requires the captain to tell the broker and the stakeholder at once of any breakdown, disablement or other significant incident. Clause 21 asks you to complain on board first, so the time, date and nature of the complaint are noted.

Write down what you see.

The time the fault started.
What was said by the captain and the engineer.
Which parts of the yacht could not be used.
Photos or short videos, with the time stamp on.

When the hours are counted later, this record is what the count rests on.

Caribbean contracts use different forms, often with a 24-hour breakdown threshold and their own complaint deadlines; your broker will show you yours.

What your broker does

Answers the same day and always tells you when you will hear next.
Checks in personally on day 2 of the charter, so a small fault is heard about before it grows.
Puts the breakdown to the yacht’s management in writing the same day.
Helps you put the notice in writing on time, so your rights under the contract stay protected.
Pushes the owner for specific fixes, such as a technician, replacement equipment or a crew change, and for credits on your APA statement for anything not delivered.
Keeps separate problems separate. A payment question does not hold up a charter issue.
After the charter, chases the APA account and any balance, and keeps you updated until it is closed.

For the first day of any problem, read what to do in the first 24 hours. For the money side, read where your APA money goes. The full picture is on the hub page.

Questions people ask

Do I get a refund if my charter yacht breaks down?

It depends on the contract and the facts. Under the MYBA charter agreement (2017 version), a disablement past the Clause 12 threshold gives a pro rata refund or an agreed extension. A fault fixed within hours usually does not reach it.

How long does a breakdown have to last before I can claim?

In the MYBA charter agreement (2017 version), 12 to 48 consecutive hours, or one tenth of the charter period, whichever is shorter. Ask your broker to show you the figure in your signed contract.

Will I get a replacement yacht?

The clause does not provide one. Brokers and managers often look for one, and sometimes find one. It is arranged case by case and agreed in writing.

Can I leave the yacht if it breaks down?

Speak to your broker first. Ending a charter needs written notice, and the clause sets conditions for it. Leaving without the paperwork can weaken your position.

What if the owner says it is force majeure?

Ask for the technical report. Clause 22 of the MYBA charter agreement (2017 version) requires the owner to supply it, with the maintenance log, when force majeure is claimed for a breakdown.