FMC Invites Comment on Request for Expeditious Adoption of Conditional Tariff Publication and Enforcement Exemption for NVOCCs
On August 2, 2004, seven non-vessel operating common carrier (NVOCC) petitioners and national trade associations asked for permission to file joint supplemental comments to the Federal Maritime Commission (FMC) regarding eight pending petitions.
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The joint supplemental comments requested that the FMC expeditiously adopt a conditional exemption for NVOCCs from the tariff publication and enforcement provisions that are set forth in the Shipping Act of 1984, as amended, and the corresponding regulations in 46 CFR Part 520.
The commenters characterized their proposal as a narrowly drawn conditional tariff exemption, which if granted would avoid any need to address the industry's concerns through legislation. The FMC adds that the commenters claim that their proposal also represents an updated, unified version of the various forms of relief requested in the pending petitions.
(The commenters proposed a conditional exemption from tariff publication and enforcement for cargo moving under any written agreement between an NVOCC and one or more shippers, other than a bill of lading, receipt or similar transport document, under which the shipper(s) make a commitment to provide a certain volume or portion of cargo over a fixed time period, and the NVOCC commits to a certain rate and defined service level.
Furthermore, the commenters proposed that the exemption would be subject to certain conditions, such as: the agreement would have to be filed confidentially with the FMC, would include certain essential terms (e.g., origin and destination port ranges), and the FMC would retain jurisdiction to the same extent as it does over service contracts under the Shipping Act.)
FMC Accepts Supplemental Comments; Requests Responses by September 30
The FMC now states that it has granted permission for these joint supplemental comments to be accepted into the record, and is inviting interested persons to respond to the joint supplemental comments by September 30, 2004.
(The joint commenters are the National Industrial Transportation League; the Transportation Intermediaries Association; United Parcel Service, Inc. (UPS); C.H. Robinson Worldwide, Inc. (CHRW); BAX Global Inc. (BAX); BDP International, Inc. (BDP); and FedEx Trade Networks Transport & Brokerage, Inc. (FedEx).
The eight pending petitions, for which comment periods have already closed, were filed on various dates from July 2003 through March 2004 by UPS; the National Customs Brokers and Forwarders Association of America, Inc. (NCBFAA); Ocean World Lines, Inc. (OWL); BAX; CHRW; Danzas Corporation dba Danmar Lines Ltd., Danzas AEI Ocean Services, and DHL Danzas Air and Ocean; BDP; and FedEx.)
(See ITT's Online Archives or 08/05/04 news, 04080515 for BP summary of filing of motion by the seven NVOCCs and trade associations - also lists citations for earlier BP summaries on the eight pending petitions.)
FMC order for Petition Nos. P3-03, P5-03, P7-03, P8-03, P9-03, P1-04, P2-04, P4-04 (served 09/02/04), available at http://www.fmc.gov/Dockets/P3-03%20et%20al%20Supplemental%20Comments%209-2-04.pdf