Flexport denied allegations by Indiana-based Philip Reinisch Co. that it violated the Shipping Act and asked the Federal Maritime Commission to dismiss the September complaint, which said Flexport failed to include required information on more than $100,000 worth of detention and demurrage charge invoices (see 2210040021).
The Federal Maritime Commission’s proposed definition for a carrier’s “unreasonable” refusal to accommodate U.S. exports is too broad and doesn't meet congressional intent, said Reps. Dusty Johnson, R-S.D., and John Garamendi, D-Calif., who led the House’s passage of the Ocean Shipping Reform Act of 2022.
The Federal Maritime Commission hired Phillip "Chris" Hughey as general counsel, where he will provide legal advice and recommendations to the FMC chair and commissioners on regulatory and policy matters, the commission announced Nov. 7. Hughey has previously served as the commission’s deputy general counsel and most recently worked as a foreign service officer with the State Department. Katia Kroutil had been serving as the commission’s acting general counsel and is now listed on the FMC’s website as acting assistant general counsel for general law and regulation.
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The Federal Maritime Commission should scrap its notice of proposed rulemaking on how it should define certain unreasonable conduct by ocean carriers, the Agriculture Transportation Coalition said in comments to the FMC last week. The group said the NPRM misses congressional intent “by a wide margin” and would not solve the issue of carriers unfairly declining to take exports in favor of imports.
U.S.-based MVM Logistics said major shipping line MSC violated the Shipping Act by failing to provide MVM with “adequate” time to return containers and charging per diem fees for delays MSC had caused. In a complaint this week to the Federal Maritime Commission, MVM said MSC charged it about $800,000 stemming from unfair fees and failed to "establish, observe, and enforce just and reasonable regulations and practices relating to or connected with receiving, handling, storing, or delivering property."
Export Compliance Daily is providing readers with the top stories from last week in case you missed them. You can find any article by searching the title or by clicking on the hyperlinked reference number.
A Chinese freight forwarder illegally tried to change the terms of its signed service contract with a U.S. distributor and purposefully delayed 20 container shipments so it could submit higher detention and demurrage invoices, the American company said in a complaint this month to the Federal Maritime Commission. Indiana distributor Way Interglobal also said China-based Shenzhen Unifelix, a von-vessel operating common carrier, “improperly” disclosed Way’s financial information to Shenzhen’s vendors to try to force Way into agreeing to a new contract.
Globerunners, a California-based shipper, said Texas-based Hoyer Global may have overcharged it in wharfage fees for a container held for years at a South Korean port. In a complaint this month to the Federal Maritime Commission, Globerunners said Hoyer never provided it with a copy of the detention and demurrage invoice Hoyer was given by the South Korean port. Globerunners believes Hoyer passed along fees higher than what the South Korean port charged.
The Federal Maritime Commission should exclude non-vessel-operating common carriers (NVOCC) from the scope of a rule that could define a set of factors the commission will consider when determining whether a carrier is violating certain shipping regulations, the National Customs Brokers & Forwarders Association of America said. The group stressed that it supports the rule if it helps to hold ocean common carriers accountable, including in situations in which they unfairly refuse space to U.S. exporters.