Bareboat Charter Regulations

Bareboat Charter Regulations & Compliance Information

At Palm Beach Sun Charters, we are committed to full compliance with all applicable federal and state regulations governing bareboat (demise) charters. The following information is provided to educate our guests and ensure that every charter operates safely, lawfully, and transparently under U.S. Coast Guard and Florida Fish and Wildlife Conservation Commission (FWC) guidelines.

What is a Bareboat Charter?

A bareboat charter, also known as a demise charter, is an arrangement where the vessel is leased without crew. The charterer (renter) becomes the temporary owner of the vessel for the duration of the charter and assumes full responsibility for its operation, navigation, and safety. The charterer is responsible for hiring a qualified captain and crew of their choice, providing provisions, and paying all associated expenses such as fuel and docking fees.

Legal Requirements Under U.S. Coast Guard Regulations

Under U.S. Coast Guard (USCG) regulations, a bareboat charter must meet the following conditions:

The vessel is leased without crew.
The charterer has full possession and control of the vessel during the charter.
The charterer selects and pays the captain and crew directly.
The owner or charter company cannot dictate who operates the vessel or control its navigation.
The charterer assumes full responsibility for the vessel and all persons aboard.
The vessel cannot carry more than 12 passengers unless it is a USCG-inspected vessel.

Captain and Crew Selection

Palm Beach Sun Charters provides guests with a list of qualified, independent captains familiar with the vessel. The charterer may select a captain from this list or hire their own licensed captain. All captains operating under a bareboat charter must hold a valid U.S. Coast Guard Captain’s License (OUPV or higher). The captain and crew are not employees of Palm Beach Sun Charters and are paid directly by the charterer.

Florida State and FWC Compliance

In addition to federal requirements, Florida law requires vessel operators and livery businesses to comply with all Florida Fish and Wildlife Conservation Commission (FWC) standards. Each charter must include a completed FWC Livery Safety Checklist and Compliance Statement, which must be signed by both the owner and charterer prior to departure. The checklist confirms that safety equipment, float plans, and vessel condition have been verified.

Insurance and Liability

Palm Beach Sun Charters maintains insurance coverage for the vessel; however, once the vessel is delivered to the charterer under a bareboat agreement, the charterer assumes operational responsibility. It is recommended that the charterer verify with their captain or crew that appropriate liability coverage is in place for their services.

Prohibited Practices (To Avoid Illegal Charters)

The following practices can invalidate a bareboat charter and may lead to enforcement action by the U.S. Coast Guard or FWC:

The owner designates or pays the captain or crew.
The vessel operates as a ‘for-hire’ passenger service instead of a true lease.
The charterer lacks control over the vessel’s operation or route.
More than 12 passengers are carried on an uninspected vessel.
The vessel fails to meet safety or documentation standards.

Summary of Compliance

Palm Beach Sun Charters operates in accordance with all U.S. Coast Guard and Florida FWC requirements to ensure that every charter is fully compliant as a true bareboat lease. Guests can charter with confidence knowing their voyage meets every applicable legal and safety standard.

Our Commitment to Safety and Compliance

Palm Beach Sun Charters is proud to promote safe, legal, and enjoyable boating experiences throughout South Florida. We are dedicated to educating our guests and upholding the highest standards of professionalism, ensuring that each charter reflects our commitment to excellence, compliance, and unforgettable experiences on the water.