FMC to Hold Public Hearings to Consider Petition to Prohibit Port Fees During Uncontrollable Events

The Federal Maritime Commission will hold public hearings at 10 a.m. Jan. 16 and 17, 2018, to receive testimony from maritime industry witnesses on a December 2016 petition to issue new rules preventing common carriers and marine terminal operators (MTOs) from charging demurrage, detention and per diem fees during events beyond the control of shippers, the FMC announced. Those events include port congestion or disruption, bad weather and delays spurred by government action. Those interested in testifying should send their requests to the FMC no later than Dec. 8, the agency said. The Coalition of Fair Port Practices filed the petition (see 1612080021).

"I look forward to the opportunity to explore with the witnesses the issues raised by the Petition,” FMC Acting Chairman Michael Khouri said in a statement. “One question is whether the Commission can craft a general rule of universal nationwide applicability on detention, demurrage, and per diem provisions given the wide variety of commercial terms and conditions that are incorporated into VOCC [vessel operating common carrier] service contracts and in MTO tariffs nationwide to address various events and circumstances. A further consideration to be addressed is the various and disparate operating protocols used at the 250 plus marine terminal operators currently registered at the Commission."