The Federal Maritime Commission has announced that a vessel-operating common carrier that operates in the U.S.-foreign trades and globally has entered into a compromise agreement under which it will pay $1.9 million in civil penalties and issue refunds and waivers to impacted third parties.
The agreement resolves allegations that the carrier violated the Shipping Act by assessing detention charges pursuant to its service contract and tariffs against third parties that had not consented to be bound by the terms of the carrier’s bills of lading, service contracts, or tariffs. According to the FMC, the carrier agreed to terminate this practice and ensure future compliance by amending its U.S. tariff rules to limit the definition of merchant in its bills of lading to shippers, consignees, and persons with a beneficial interest in the cargo.
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