Two words people despise so much, and rightfully so, that we just put their initials in the subject line as if saying their names will somehow make it worse…detention and demurrage.

As you may remember, the Federal Maritime Commission (FMC) issued an interpretive rule back in the spring concerning detention (per diem) and demurrage.

In today’s chaotic environment, these charges are rising significantly, and the FMC is frustrated by the ocean carriers’ lack of movement on their ruling. So, they issued a supplemental order to expands the authority of their fact finding mission.
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According to the FMC’s press release, “The expanded Commission investigation will seek to determine if the policies and practices of those shipping companies related to detention and demurrage, container return, and container availability for US export cargoes violate 46 U.S.C. 401102(c).”

We are hoping for the best because these charges are astronomical and getting more so by the day.


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OSRA 2.0

In June 2022, the US Congress passed the Ocean Shipping Reform Act (OSRA-22). This legislation prohibited ocean carriers from "unreasonably" refusing export cargo as well as "unreasonably" assessing demurrage and detention charges. It also gave the Federal Maritime...

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