FMC to Demand Information From Ocean Operators About Unfair Detention, Demurrage Charges
The Federal Maritime Commission will begin issuing information demand orders to ocean carriers and terminal operators to determine if they are violating detention and demurrage practices, the FMC said Feb. 17. The orders will be sent to ocean carriers operating in an alliance and calling at the Port of Los Angeles, the Port of Long Beach or the Port of New York and New Jersey, and will require them to provide information on how they impose detention and demurrage charges, and their policies related to container returns and container availability for exporters (see 2012090009), the commission said.
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Information received from the demand orders, which will be issued by Commissioner Rebecca Dye as part of the FMC’s investigation into unfair detention and demurrage fees (see 2011200024), may be used “as a basis for hearings, Commission enforcement action or further rulemaking,” the FMC said. Shippers have complained of unfair fees, skyrocketing container rates, equipment shortages and terminal congestion at ports across the country, and especially at Los Angeles and Long Beach (see 2102020050).