Deadline Approaches for NVOCC Contract Comments

Aug. 9, 2005
The National Industrial Transportation League (NITL) reports the Federal Maritime Commission (FMC) voted to take concerted action aimed at removing limitations

The National Industrial Transportation League (NITL) reports the Federal Maritime Commission (FMC) voted to “take concerted action aimed at removing limitations that were placed on service contract type arrangements.” The action is a result of the League and others encouraging the FMC to amend its current rule which authorizes contractual arrangements between non-vessel-operating common carriers (NVOCCs) and customers. The action follows a federal court decision which held freight intermediaries are not immune from antitrust scrutiny.

FMC issued a notice of proposed rulemaking inviting comments on the restriction definition of a non-vessel operating service arrangement (NSA) shipper. The current definition restricts participation by NVOCCs to affiliated NVOCCs.

http://www.fmc.gov/Dockets/05-05%20proposed%20rule.htm.

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