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FMC mandates new rules for ocean carriers to refund importers and exporters for illicit charges

FMC mandates new rules for ocean carriers to refund importers and exporters for illicit charges

Posted on March 27, 2023   |  

The new regulation will be effective from April, which mandates ocean carriers to compensate importers and exporters for illegal overcharges and other US Shipping Act violations. 

On 20 March, the Federal Maritime Commission (FMC) issued a final regulation with modifications to the Rules of Practice and Procedure. 

These adjustments include conditions from the Ocean Shipping Reform Act (OSRA) of 2022 and are related to the assessment and collection of civil penalties. 

As per the FMC’s rule, anyone violating the Shipping Act or order from the FMC prior to OSRA 2022 was liable for a civil penalty. 

However, OSRA 2022 revised the Shipping Ac, governing the potential liability of a violator to “The commission may now order that a person is liable for a civil penalty or, in addition to or instead of a civil penalty, is liable for the refund of a charge.