Legal Definitions - dispatch money

Dispatch money is a term used in maritime law to refer to the amount of money paid by a shipowner to a vessel's charterer if the cargo is unloaded at the port sooner than the agreed time between the charterer and the shipowner. It is also known as dispatch.

For example, if a ship is chartered to deliver goods to a port within a specific time frame, and the cargo is unloaded before the agreed time, the charterer may receive dispatch money as a reward for their efficiency.

Dispatch money is usually stated in terms of a rate per day and pro rata part thereof, just like demurrage. It is a way to incentivize charterers to load or unload cargo quickly and efficiently, which can save time and money for both parties involved.