FMC offers enforcement and litigation assistance for supply chain challenges
Hariesh Manaadiar . October 2, 2024
On 1st Oct 2024, the first day of the US East Coast strike, the Federal Maritime Commission (FMC) has released a statement offering assistance, enforcement, and resolution services to individuals and businesses facing supply chain challenges, particularly related to disputes over detention, demurrage, and other charges.
Whether this will apply to the potential demurrage, detention, and storage charges that customers will invariably face due to the strike remains to be seen..
This reminds common carriers and MTOs that they must comply with all statutory and regulatory requirements..
This requirement includes rules governing tariffs, service contracts, MTO schedules, the application of and invoicing for demurrage and detention, and all other fees and surcharges assessed..
On 23rd September 2024, the Commission issued an advisory to all regulated entities reminding them that they are bound to comply with all Commission administered statutes and regulations..
The statement states that there must be at least a 30 day’s notice period before any common carrier and MTO fees and surcharges can take effect and that demurrage, detention invoicing, and all other fees and surcharges must be lawful, reasonable, clearly defined, and serve a specific measurable purpose..
Parties who believe a common carrier or MTO has violated a statutory or regulatory requirement, particularly as it relates to the application of demurrage and detention charges, have been encouraged to report that conduct to the Commission..
The statement highlights the fact that consumers (both individuals and businesses) have the option to seek not just assistance from the FMC but also for enforcement, and litigation services that will help them in seeking relief from current supply chain challenges..
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