The Federal Maritime Commission takes seriously and investigates thoroughly allegations of common carrier or marine terminal operator (MTO) retaliation against shippers or their agents, ocean transportation intermediaries, and motor carriers.
On December 28, 2021, the FMC issued a Policy Statement to clarify how it ensures that shippers are free to file complaints with the agency. Subsequently, in the Ocean Shipping Reform Act of 2022, Congress expanded the Commission’s statutory authorities to combat retaliation, adding protections for shipper’s agents, ocean transportation intermediaries (OTIs), and motor carriers. These enhanced provisions are now found at 46 U.S.C. § 41102(d).
In light of the significant supply chain challenges currently facing the freight delivery system, the FMC now emphasizes that retaliation against a shipper, OTI, or motor carrier for questioning common carrier or MTO invoicing, surcharges, or other practices, or making a complaint and/or providing information to the agency, is a serious violation of the law that carries significant penalties. The FMC will actively pursue any allegation of retaliatory conduct and will hold offending parties fully accountable.
The Commission calls attention to its rule on demurrage and detention billing, which went into effect on May 28, 2024, that requires common carriers and MTOs, when invoicing for demurrage or detention, to provide invoices that “contain sufficient information to enable the billed party to readily identify a contact to whom they may direct questions or concerns related to the invoice and understand the process to request fee mitigation, refund, or waiver.” See 46 C.F.R. 541.6(d). Invoices that do not contain this information need not be paid, and the FMC will vigorously investigate any allegations of retaliation connected to the right of parties invoiced for demurrage and detention charges to raise questions or concerns with common carriers or MTOs.
Anyone with information concerning retaliation by a common carrier or MTO should contact the Commission’s Bureau of Enforcement, Investigations and Compliance at BEIC@fmc.gov or (202) 523-5783.