USDA Grain Transportation Report 2 (10/20): FMC Seeks Comments on Proposed Demurrage and Detention Rule

According to today's USDA Grain Transportation Report, on October 14, the Federal Maritime Commission (FMC) requested comments on a notice of proposed rulemaking (NPRM) regarding the demurrage and detention (D&D) billing practices of vessel operating common carriers, non-vessel-operating common carriers, and marine terminal operators.

If adopted, the proposed rule would require these billing entities to clarify the nature of their charges and charge only the parties that they have contracts with.

The billing entities would also be required to issue invoices within 30 days after the charges stopped accruing; allow 30 days to dispute the charges; and provide clear information on how to dispute charges.

Specifically, the NPRM proposes adopting the list of minimum information to be included in D&D invoices (as codified in 46 U.S.C. 41104(d)(2)), as well as information that should be added to that list. To further define prohibited practices, the NPRM also proposes clarifying which parties may appropriately billed for D&D charges and establishing required practices for invoicing for D&D charges.

Comments can be submitted here by December 13, 2022.

Read the full report here.