FMC Adopts Final Rule for Detention and Demurrage Charges


 April 28 the Federal Maritime Commission (FMC) issued a final rule to guide the industry on how it will assess the reasonableness of detention and demurrage regulations and practices of ocean carriers and marine terminal operators (MTOs).

The FMC intends to consider if detention and demurrage charges and policies are justified in their purpose as incentives to move cargo and promote freight fluidity. The rule also provides guidance on how the FMC may apply that principle in the context of cargo availability and empty container return.

The rule will go into effect once it is published in the Federal Register, which is expected shortly.

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