Two U.S. Congressmen are urging the Federal Maritime Commission (FMC) to finalize the rule on demurrage and detention billing requirements required in their Ocean Shipping Reform Act that became law in 2022.
The Ocean Shipping Reform Act was signed into law on June 16, 2022 and provides authority to the FMC to investigate ocean carriers’ business practices and apply enforcement measures following the unreasonable refusal of American exports throughout the COVID-19 pandemic.
In January 2023, U.S. Representatives Dusty Johnson (R-S.D.) and John Garamendi (D-Calif.) sent a letter to the FMC supporting this proposed rule. After a year without the rule being finalized, Johnson and Garamendi sent another letter January 26, 2024.
“Without a final rule from the Commission, American shippers continue to be subjected to troubling billing practices,” the Congressmen wrote. “Again, we urge the Commission to finalize this critical rulemaking to increase transparency in billing terms, avoid illegally invoiced charges, and ensure timely resolution of any disputes.”