The Federal Maritime Commission has hired Alex Chintella as an administrative law judge, FMC Chairman Daniel Maffei announced June 21. Chintella was previously an attorney and administrative hearing officer with the Federal Railroad Administration.
The Federal Maritime Commission this week released a revised version of its proposed rule on unreasonable carrier conduct to amend and add to a rulemaking that was widely criticized by shippers and lawmakers last year (see 2301250032, 2211090026 and 2210280051). The new supplemental proposed rule offers new definitions, clarifications, edits and additions that the FMC hopes will allow it to better implement a congressional mandate to address ocean carriers that refuse vessel space to shippers.
Major shipping line Maersk is mulling whether to appeal a recent order by the Federal Maritime Commission that fined its subsidiary, Hamburg Sud, nearly $10 million for violating the Shipping Act’s anti-retaliation provision and refusing to fulfill contract terms (see 2306080062), a spokesperson said. “We are reviewing the decision and considering next steps,” the person said in a June 9 email.
Marine terminal operator APS East Coast (Amports) engaged in "a series of schemes and efforts to unlawfully restrict stevedoring services" and charged $1.2 million in "baseless" fees, Ports America Chesapeake (PAC) and Marine Terminals Corporation-East (MTCE), said in a June 2 complaint to the Federal Maritime Commission. PAC and MTCE, which provide stevedoring services in Baltimore, also accused Amports of subjecting them to "prejudicial treatment" compared with other stevedores "without legitimate transportation justifications," interfering with their stevedoring business and contracts and "unreasonably refusing to deal" with them.
German container shipper Hamburg Sud must pay nearly $10 million to OJ Commerce, an American e-commerce business, after Hamburg retaliated against OJC for threatening to file a complaint with the Federal Maritime Commission, the FMC’s administrative law judge ruled June 7. The massive fine came after the FMC said Hamburg Sud, owned by major shipping line Maersk, violated the Shipping Act’s anti-retaliation provision and refused to fulfill contract terms.
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Vessel-operating common carriers must file all service contracts and amendments to the Federal Maritime Commission's SERVCON system "no later than" 30 days "after the effective date," the FMC reminded industry June 2. A failure to file contracts could result in "fines or other penalties," the FMC said. Filers must make sure that they have the right effective date in SERVCON and that amendments to contracts have a "prospective effect," the FMC said. Contracts also cannot reference terms that are not "explicitly contained in the service contract, unless those terms are readily available to the parties and the Commission," the FMC said. The FMC also provided a link to a webpage for information on how to file service contracts.
SSA Terminals will soon launch an "innovative approach" to "track and analyze the potential of providing extended weekend hours for shippers," Federal Maritime Commissioner Carl Bentzel said June 1. The program, which will be rolled out at SSA's terminals in Oakland, Seattle and Tacoma next month, will allow shippers to schedule a time during the week to pick up cargo on a Saturday or Sunday.
Food importer Bakerly failed to establish that carrier Seafrigo USA violated shipping regulations in its complaint to the Federal Maritime Commission last year, Seafrigo told the FMC this week, adding that the importer's reasons for avoiding paying detention and demurrage charges "cannot withstand scrutiny." New Jersey-based Seafrigo asked the FMC to "reject" Bakerly's complaint and "hold that Bakerly is responsible" for more than $2 million in demurrage and detention charges that Seafrigo "paid on its behalf."
The Federal Maritime Commission last week approved a settlement agreement between U.S. metal trader CCMA and major ocean carrier Mediterranean Shipping Company (MSC). The confidential settlement stems from a December CCMA complaint alleging MSC assessed it $114,000 in unfair detention and demurrage fees (see 2212080020). MSC denied those allegations, saying CCMA lacked "meritorious factual basis" for its claims (see 2301090017).