Demurrage
in maritime law, (1) the time during which a vessel is detime during which a vessel is detained by the freighter beyond what is named in the charter-party in loading or unloading. A vessel thus detained is said to be on demurrage . (2) The compensation or allowance made by the freighter of a vessel for such delay or detention.
Demurrage must be paid in every case except when the delay is caused by tempestuous weather, any fault of the owner , captain, or crew of the vessel, or detention by an enemy.
The word is also applied to a similar compensation or allowance payable for delay in loading or unloading railway cars beyond a certain specified period allowed for the purpose. In the Bank of England, of England, demurrage is the allowance made to the bank in exchanging coins or notes for bullion.
The metallic value of standard gold is per ounce; at the Bank of England £3 17s . 9d. is given for it without any delay.
If it were taken to the mint there would be a delay of some days before it could be converted into coin. The difference of 1½d. per ounce, by which this delay is avoided, is called demurrage.