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International
Sea Freight

Carrier discrimination in the spotlight

06 Jan 2023 - by Staff reporter
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The Federal Maritime Commission (FMC) is taking a hard line against carriers who discriminate or retaliate against a shipper for filing a complaint or challenging a charge.

The Ocean Shipping Reform Act (Osra) has made it clear that this is illegal.

“The FMC will thoroughly investigate any allegation of illegal behaviour and prosecute aggressively when warranted,” according to a statement released by the body.

“This is something that everyone in a company, from the newest sales associate to the CEO, must understand, and that is why the Commission’s Vessel-Operating Common Carrier (VOCC) Audit Team is carrying this message directly to ocean carriers serving the United States.”

It says that even a simple verbal threat to a shipper from an ocean carrier employee could undermine US law and will not be tolerated.

The FMC is asking the top 20 shipping lines calling the US to provide information on how they are complying with the new prohibitions on retaliation established by the Osra.

The law became effective immediately upon its enactment in June. The prohibitions apply to common carriers, marine terminal operators and ocean transportation intermediaries.

The VOCC audit programme was established in July 2021 by Chairman Daniel B Maffei, with the initial mandate of assessing ocean carrier compliance with the FMC’s rule on demurrage and detention. In March 2022, Maffei ordered the programme’s scope to be expanded to also evaluate how shipping lines served US exporters. The programme allows the Commission to engage ocean carriers directly and frequently to raise and resolve issues of concern.

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