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The FMC has not communicated publicly about the rule since the federal government shut down Oct. 1. Matt Brashears / Shutterstock. com

Drayage industry hopes for FMC relief on demurrage billing

By Bill Mongelluzzo and Michael Angell

The drayage industry is hoping maritime regulators will come out of the US government shutdown and clarify rulemaking aimed at shielding them from unfounded demurrage charges for the late return or retrieval of containers at marine terminals.

Meanwhile, a former US Federal Maritime Commission( FMC) member is encouraging truckers and terminal operators to continue filing their concerns with the appropriate federal agencies, knowing that responses may be late in coming.

Drayage operators’ concerns center on the impact of the DC Court of Appeals in late September striking down part of an FMC rulemaking to clarify who is responsible for charges on the delayed retrieval and return of containers to marine terminals.

Ocean carriers, truckers and terminal operators had anticipated that the FMC would either challenge the court’ s decision or rewrite the rule to address the issues the court had with it. The agency then shut down on Oct. 1 as part of the wider federal government shutdown, and as of Oct. 22, when this issue of the Journal of Commerce was going to press, work had not resumed.

“ Obviously we are disappointed by the court’ s ruling,” Jon Eisen, director of the Intermodal Motor Carriers Conference of the American Trucking Associations, told the Journal of Commerce.“ How this will play out, I’ m not sure.”

Although the FMC remains closed, that should not discourage truckers, terminal operators or other stakeholders that operate under the agency’ s regulations from continuing to file their concerns with the FMC, said Carl Bentzel, a former FMC commissioner who is now president of the National Association of Waterfront Employers.

Container terminals in Los Angeles-Long Beach have remained fluid since the government shutdown, and operators say they have seen no changes in demurrage billing practices since the FMC’ s demurrage rule was struck down.

“ It’ s business as usual. Cargo is flowing nicely,” said Alan McCorkle, president of Yusen Terminals in Los Angeles.

‘ Arbitrary and capricious’

Initially issued in February 2024, the FMC rule in question required more transparent invoicing of demurrage and detention charges, set timelines for billing, and limited which parties involved in container haulage could be charged for the delayed retrieval and return of containers.

On Sept. 23, a three-judge panel for the DC Court of Appeals ruled in favor of a petition by the World Shipping Council( WSC) to review the FMC rulemaking, describing at least one portion of the rule as“ arbitrary and capricious.”

Under the FMC rule, which sought to prevent terminal operators from blocking truckers from retrieving a container until they paid any fees associated with the shipment, ocean carriers can only bill detention and demurrage to the party who contracted for ocean transportation, or in some instances the consignee. The FMC tried to clarify that the rule did not prevent ocean carriers from billing

32 Journal of Commerce | November 3, 2025 www. joc. com