The Federal Maritime Commission finalized several changes to its rules for carrier automated tariffs, including one that would bar carriers from charging a fee to access their tariff systems and others that aim to increase transparency around certain “pass-through” charges assessed to shippers. The FMC also abandoned a proposed change that would have required the documentation for a broader range of containers to include the name of all non-vessel operating common carriers with touchpoints to that cargo, a proposal that faced strong opposition from multiple trade groups and logistics companies.
An administrative law judge this month denied Illinois importer MSRF’s complaint against South Korean cargo carrier HMM, saying the importer didn’t prove HMM violated the two companies’ service contract. The judge said none of MSRF’s claims before the Federal Maritime Commission were successful, partly because they were based on the terms of the original service contract, which had been amended multiple times mostly “for the benefit” of MSRF.
Bed Bath & Beyond filed a complaint with the Federal Maritime Commission this week accusing Mediterranean Shipping Company of violating the terms of a service contract and unjustly assessing millions of dollars in detention and demurrage charges. The company said MSC failed to meet its service requirements, coerced Bed Bath & Beyond into paying "extracontractual prices and surcharges," and assessed fees when Bed Bath & Beyond couldn't pick up or return the containers.
RANCHO MIRAGE, Calif. – The Federal Maritime Commission must eliminate the "perverse incentive" for ocean carriers and marine terminal operators to allow congestion as a way to make more money, FMC Chair Dan Maffei said, speaking Oct. 27 at the Pacific Coast Council's Western Cargo Conference, or Wesccon.
The Federal Maritime Commission last week dismissed a charge complaint against Mediterranean Shipping Company lodged by SOFi Paper Products after MSC refunded SOFi for a congestion surcharge that allegedly violated U.S. shipping regulations. The FMC also determined no violations "of the Shipping Act were proven in this proceeding."
Federal Maritime Commission staff have "nearly" completed the drafting process for the commission's upcoming final rule on detention and demurrage, and are "reviewing several late filed subsequent comments that have come in within the past month," FMC General Counsel Chris Hughey said at a Sept. 21 FMC meeting.
Taiwan-based carrier Yang Ming Marine Transport Corp. violated the Shipping Act by not providing agreed upon space, charging "extracontractual prices and surcharges” and charging unfair detention and demurrage fees, Bed Bath & Beyond said in a recent complaint to the Federal Maritime Commission. Bed Bath & Beyond is seeking reparations for the "injuries" caused by Yang Ming, telling the FMC that it may have been subject to more than $700,000 in unfair charges.
Federal Maritime Commissioner Carl Bentzel expects the government to eventually scrutinize certain rail storage fees imposed by ocean carriers on through bills of lading, he said during an industry conference this week. He also said the FMC is “very close” to finalizing its rule on detention and demurrage billing requirements and wants to better address issues involving service contract disputes between carriers and shippers.
Rep. John Garamendi, D-Calif., is drafting legislation that could lead to new oversight over certain rail storage charges assessed by ocean common carriers against shippers on through bills of lading. The bill, which hasn't been completed, could require the Federal Maritime Commission and the Surface Transportation Board to “get together” and decide who should regulate those charges, a Garamendi staffer told us.
Connecticut-based electronics manufacturer Hubbell Inc. accused freight forwarder DSV of violating U.S. shipping regulations by failing to provide the required service under a negotiated contract, Hubbell said in an Aug. 28 complaint to the Federal Maritime Commission. The manufacturer also accused DSV, headquartered in Denmark, of assessing $900,000 in overbilled or “improper” charges.