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Shippers challenge container lines' US demurrage in court

Author:   Posttime:2022-01-25

DISSATISFIED shippers are talking to lawyers to get relief through court action from runaway demurrage fees levied in big US ports, reports Colchester's Seatrade Maritime News.

The issue is expected to move into the courts this year, after US Federal Maritime Commission (FMC) issued new guidelines on the issue of legal challenges on December 28 with the intention of making it easier for shipper associations to challenge "unfair and unreasonable conduct by carriers, terminal operators and intermediaries".
A legal complaint lodged with the FMC by Orange Avenue Express and One Banana against German carrier Hapag-Lloyd is likely to set a precedent for where responsibility for delays and costly demurrage and detention fees lies in US ports.
The complaint revolves around heightened difficulties experienced by One Banana since September 2021 to get its shipments to customers. The importer claims port congestion and unfair practices by Hapag-Lloyd have cost the company in excess of US$687,470 in "unfair demurrage and detention charges, and costs in connection with dumping, inspection, and transportation of the perished cargo".
The Florida-based shipper claims it faced delays on 77 containers in eight shipments at the end of 2021. Damages filed do not include the cost of perished cargoes, it says.
Port delays of more than 30 days owing to requirements imposed by shipping lines on truckers to drop off empties at the port in order to be able to pick up an import shipment.
"Hapag-Lloyd does not waive demurrage or detention charges even if it does not make drop off locations available," said the complainant.
A spokesman for Hapag-Lloyd declined to comment when contacted by Seatrade Maritime News on ongoing legal procedures.
 

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