Session Details

Detention & Demurrage (Yet Again). Will Things Finally Change?

Tuesday, 1 March

3:15 pm - 4:00 pm (PST) / 01/mar/2022 11:15 pm - 02/mar/2022 12:00 am

We’ve been discussing detention and demurrage for as long as there has been a TPM, and the first one was in 2001. This year is no different. But while shippers’ complaints resulted in little to no change in the past, the situation is very different today. The old adage applies: If the private sector can’t solve its own problems, the government will step in, and that is what is happening. The FMC in July began to audit ocean carriers’ D&D policies and in October pushed carriers to improve transparency regarding the clarity and certainty around how and when fees will be assessed, as well as how disputed charges can be challenged. Meanwhile, D&D is a core element of the proposed bipartisan Ocean Shipping Reform Act of 2021, introduced in August by Reps. John Garamendi, D-California, and Dusty Johnson, R-South Dakota. What would be the first rewrite of US shipping law since 1998 would require ocean carriers or marine terminals to certify that D&D comply with federal regulations and shift the burden of proof regarding the reasonableness of D&D fees from the invoiced party to the ocean carrier or marine terminal operator. This session will dive into these changes, assessing the potential for real change in practices that the FMC has been investigating for the past seven years.  

Session Speakers