Understanding Marina Contracts
If you own a marina, then you know that it can be an enjoyable and lucrative experience. However, it is important to protect yourself and your business against claims and lawsuits. A combination of the right insurance policies and solid marina slip contracts can keep your company safe.
Most marina contracts prohibit customers from subleasing their slips or using the space to conduct business. They also note the effective dates and termination options.
Contracts should specify the payment terms, fines or other fees that may be incurred and what action will be taken upon nonpayment.
Allowing customers to dock their watercraft at your marina exposes everyone involved to a certain amount of risk. Contracts usually require customers to carry a marine insurance liability policy along with hull coverage.
If customers need contractors to work on their boats, the contractors should provide adequate proof of insurance in case an incident occurs.
Depending on your needs, you may choose to customize the contract by adding additional clauses. For example, you can insert a clause requiring boats to be operable or indemnify the marina if someone is injured while at the dock.
Creating the right contract to keep your company safe under all circumstances is important. Review the contract carefully and update it as necessary to ensure the continued protection of your business.