GlossaryEN1 min readUpdated: Jun 23, 2026
Dead Freight
Dead freight is the charge a shipowner levies when a shipper or charterer loads less cargo than the quantity agreed in the contract of carriage or charter party.
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Definition & Explanation
Dead freight is the charge a shipowner levies when a shipper or charterer loads less cargo than the quantity agreed in the contract of carriage or charter party. The carrier reserved the space and bears the revenue loss; the shipper pays for what went unused. In voyage chartering, the agreed quantity and any contractual tolerance margins determine the exact financial exposure; liner bills of lading typically include dead freight clauses as standard. Dead freight is distinct from demurrage, which compensates the owner for excessive time in port, and from detention, which relates to container use beyond the free period outside the terminal. Shippers manage this risk through precise load planning, co-loading arrangements, or negotiated quantity tolerances.
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