Base
RuleSignificant2020-093702020-05-18

Interpretive Rule on Demurrage and Detention Under the Shipping Act

Federal Maritime Commission

Abstract

The Federal Maritime Commission is clarifying its interpretation of the Shipping Act prohibition against failing to establish, observe, and enforce just and reasonable regulations and practices relating to or connected with receiving, handling, storing, or delivering property with respect to demurrage and detention. Specifically, the Commission is providing guidance as to what it may consider in assessing whether a demurrage or detention practice is unjust or unreasonable.

Action & Dates

Action
Final rule.
Dates
This final rule is effective May 18, 2020.
Effective Date
2020-05-18

CFR References

Topics

AntitrustExportsFreight forwardersMaritime carriersReporting and recordkeeping requirements

Document Excerpt

Document Headings Document headings vary by document type but may contain the following: the agency or agencies that issued and signed a document the number of the CFR title and the number of each part the document amends, proposes to amend, or is directly related to the agency docket number / agency internal file number the RIN which identifies each regulatory action listed in the Unified Agenda of Federal Regulatory and Deregulatory Actions See the Document Drafting Handbook for more details. Federal Maritime Commission 46 CFR Part 545 [Docket No. 19-05] RIN 3072-AC76 AGENCY: Federal Maritime Commission. ACTION: Final rule. SUMMARY: The Federal Maritime Commission is clarifying its interpretation of the Shipping Act prohibition against failing to establish, observe, and enforce just and reasonable regulations and practices relating to or connected with receiving, handling, storing, or delivering property with respect to demurrage and detention. Specifically, the Commission is providing guidance as to what it may consider in assessing whether a demurrage or detention practice is unjust or unreasonable. DATES: This final rule is effective May 18, 2020. FOR FURTHER INFORMATION CONTACT: Rachel E. Dickon, Secretary; Phone: (202) 523-5725; Email: secretary@fmc.gov . SUPPLEMENTARY INFORMATION: I. Introduction On September 17, 2019, the Commission published proposed guidance, in the form of an interpretive rule, about factors it may consider when assessing the reasonableness of demurrage and detention practices and regulations under 46 U.S.C. 41102(c)   [ 1 ] and 46 CFR 545.4(d) . [ 2 ] The rule followed years of complaints from U.S. importers, exporters, transportation intermediaries, and drayage truckers that ocean carrier and marine terminal operator demurrage and detention practices unfairly penalized shippers, intermediaries, and truckers for circumstances outside their control. [ 3 ] These complaints led the Commission to open a Fact Finding Investigation tha

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Related Documents

Other Federal Register documents from the same docket.

Full Document

Citation: 85 FR 29638