1. Introduction

[1-001] Introduction. Whether devised for the construction of an oil supertanker or a much smaller—although not necessarily less expensive—superyacht,1 shipbuilding contracts are rather complex transactions, and the contractual framework under which they are commissioned reflects such complexity. It is very common in the commercial shipping world for the industry to use standard form contracts which the parties may adopt or amend at will. Indeed, for shipbuilding there are a number of standard forms widely used as templates on which individual agreements are negotiated.2 Alternatively, shipyards will produce their own forms of contract, based on one or other of the standard form contracts adapted to reflect the yard’s individual policy and practice. When it comes to yachts, the ship- or yacht-builders are usually much smaller than in the commercial shipping world. Moreover, the drive for individuality and the bespoke nature of the larger yacht projects make the use of standard printed forms of contract very rare indeed. As a result, individual yards or their lawyers will usually produce their own draft forms of contract. Such contracts may be presented to the buyer on a take it or leave it basis, particularly in the case of smaller production boats. In other cases, such contracts will be the subject of negotiation and revision by the parties or their respective legal advisors. Some yards may even be willing to