Window on Washington: Charging Ahead?

This article originally appeared in the Fourth Quarter 2023 Benedict’s Maritime Bulletin. Reprinted with permission. Any opinions in this article are not those of Winston & Strawn or its clients. The opinions in this article are the author’s opinions only.

The aftershocks of the pandemic continue to work their way through America’s ocean shipping supply chain. The Federal Maritime Commission (FMC) continues with its implementation of the Ocean Shipping Reform Act of 2022 (OSRA), which marked the first major overhaul of liner shipping in the United States in over a quarter of a century. One of the key features of OSRA is the “charge complaint,” which eased shipper access to the FMC’s complaint process against ocean carriers.

Using charge complaints, shippers may submit information concerning charges assessed by common carriers, upon receipt of which the “Commission shall promptly investigate the charge” with respect to Shipping Act compliance. In such case, the carrier will be afforded an opportunity to respond, but will bear the burden of establishing the reasonableness of the charges and their compliance with the Act. If the Commission determines upon investigation that the charges were not warranted, it will refund the charges to the shipper, and potentially issue a civil penalty as well.

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