Shipper Complaints Continue to Mount Against Leading Liners
Shipper complaints are on the rise at the Federal Maritime Commission (FMC), with liners facing potential liabilities exceeding $75 million from recent cases.
Texas-based home décor supplier Nielsen & Bainbridge has lodged a complaint against Ocean Network Express (ONE), OOCL, Evergreen, and Yang Ming, alleging consistent failure to meet service commitments, coercive practices for extracontractual surcharges, and unreasonable demurrage and detention charges. Nielsen & Bainbridge, which sought bankruptcy protection in 2023, is seeking redress for these alleged practices.
In a similar vein, Illinois-headquartered furniture retailer Euromarket Designs has filed a complaint targeting Mediterranean Shipping Company, ONE, Evergreen, HMM, Maersk, Cosco, and Wan Hai, among others, for similar grievances.
The FMC has faced a surge in shipper complaints amidst the liner shipping industry’s profitability peak. The commission’s authority was bolstered with the enactment of the Ocean Shipping Reform Act in 2022 to address such issues.