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ABPA Member Call to Action – Feedback Requested for Ocean Shipping Reform Act – Demurrage/Detention Practices

The ABPA is working with other associations in providing feedback from ABPA members to the National Shipper Advisory. We will be providing gathered feedback to Steve Hughes of HCS International who serves on the Federal Maritime Commission’s National Shipper Advisory Committee (NSAC). The NSAC provides information, insight, and expertise pertaining to conditions in the ocean freight delivery system to the Federal Maritime Committee.

They are looking for input from our industry on questions related to OSRA implementation, and specifically the demurrage and detention invoice requirements. The Commission is focused on receiving input on the questions below, and request that any responses be collected and submitted together by Friday, July 22, 2022.

The Ocean Shipping Reform Act (OSRA) required common carriers to immediately include certain minimum information in their demurrage and detention invoices (paper or e-invoices). Failure to include the information eliminates the obligation to pay the charge. Commission staff is aware that some ocean common carriers have temporarily ceased billing for demurrage and detention while they update their systems to comply with OSRA. The Commission staff is interested in the following information, and request that any responses be as specific as possible.

Question 1 – If you received a non-compliant invoice (post 6/16/22) and brought this to the carrier’s attention, what action did the carrier take?

Question 2 – Has any carrier requested or required a signed guarantee that future demurrage and detention charges would be paid as a condition to release cargo? If so, please provide a copy of what was required.

Question 3 – For carriers that have temporarily ceased billing for demurrage and detention, has the carrier provided any timing for when OSRA compliant billing would resume?

Your response is important to help the commission make decisions on rulemaking and enforcement that will help make the application of D&D a more fair and responsible practice. Please note, unless you request otherwise, we will be forwarding all responses as anonymous. If you have documentation to support question number 2, please feel free to block out your company name.

All responses from ABPA members can be sent to info@autobpa.com and are due by Friday, 7/22/22. Thank you in advance for providing this valuable information.

Ed Salamy, Executive Director – ABPA

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