Appeals Court Overturns FMC's D&D Billing Rule

Miami, FL, USA -- The FMC rule about who should pay detention and demurrage was set aside by the U.S. Court of Appeals for the District of Columbia on September 23, 2025. Specifically, the appellate court said Section 541.4, which defined who may receive a D&D invoice was internally contradictory and thus arbitrary and capricious and invalid under the Administrative Procedure Act (APA).

"Regardless of any uncertainties about whether the Rule permits billing a non-contracting consignee, the Rule’s bar against billing a contracting motor carrier itself suffices to require setting the Rule aside as arbitrary and capricious," Chief Judge Sri Srinivasan opined. Read the Court Decision HERE.

The FMC was quick to point out that ruling only applied to one part of the agency’s entire rulemaking which aimed to better police how detention and demurrage are charged, Michael Angell of Journal of Commerce reported.

The FMC, in a statement to Journal of Commerce, asserted that 30-day deadlines for issuing and contesting the late fees and detailed information on invoices about how detention and demurrage are calculated remain enforceable.

Lawyers at Jones Walker LLP said "importers, exporters, NVOCCs, and motor carriers should continue to scrutinize D&D invoices and assert their rights to dispute charges and seek refunds or waivers."

"Given the high-profile nature of previous D&D rulemaking, any renewed efforts by the FMC in this area will be equally closely watched. In particular, the fundamental question of the physical and notional limits of the FMC’s jurisdiction may be front and center," Julia Bonestroo Banegas, Esq., and Christopher M. Hannan, Esq., at Jones Walker LLP said.

Julie Maurer, Esq., and Benjamin Nashed, Esq., of Husch Blackwell LLP said the appellate court's decision "underscores the need for clear contractual protection and billing protocols to ensure agreements clearly define who must pay detention and demurrage charges."

"Trucking companies should review their haulage agreements and make sure they understand the terms governing detention and demurrage," Husch Blackwell LLP lawyers added.

The World Shipping Council (WSC), a trade association whose members operate approximately 90 percent of the world’s liner vessel services, which filed the petition for the Court of Appeals to review the FMC's order, is willing to collaborate with the FMC on a revised rule that promotes timely container pickup and return, helping to reduce port congestion.

“Consumers, shippers, truckers, port operators, and ocean carriers all benefit from a D&D rule that ensures containers keep moving,” the WSC said in a statement to the Journal of Commerce.

Catch AP Tariffs at the June 10-13 WCA Conference in Miami

Miami, FL, USA -- Got a question about licensing, registration or compliance matters with the Federal Maritime Commission (FMC)? Atlantic Pacific Tariffs, Inc. (AP Tariffs), a highly sought-after and rapidly growing FMC tariff publisher and compliance support provider, will be at the WCAworld Americas Regional Conference 2025, happening June 10–13 at the Hyatt Regency in Miami, Florida.

This four-day event draws over 550 logistics professionals from around the world to foster collaboration and explore emerging opportunities in the industry. AP Tariffs has been a long-time partner of the WCA and is proud to be one of the sponsors of this premier networking event.

“We are honored to be part of this prestigious conference and impart our knowledge to WCA members on how they can navigate complex regulations seamlessly,” Mauricio Larenas, President of AP Tariffs, said.

In case you won't be able to make it at the WCA Conference, AP Tariffs also offers free FMC consultations. Whether you are a U.S. company seeking an NVOCC license, a Foreign Company interested in FMC registration, or if you are an NVOCC needing tariff publication services, AP Tariffs can provide top-notch assistance and more!

AP Tariffs streamlines FMC compliance with advanced tariff publishing technology, cutting filing costs by 90% while ensuring regulatory adherence. Our free compliance management service includes up to 2 hours of consultation per month.

Know more about AP Tariffs' services and schedule a free 30-minute online meeting with us HERE.

AP Tariffs' Mauricio Larenas Appointed as FCBF Board Member

Miami, FL, USA -- Mauricio Larenas, President of Atlantic Pacific Tariffs, Inc. (AP Tariffs), is the newest Board Member of the Florida Customs Brokers and Forwarders Association (FCBF), receiving a warm and enthusiastic welcome at the General Membership Meeting (GMM) on April 30, 2025.

Mr. Larenas is an FMC Legal Practitioner and a licensed U.S. Customs Broker with deep hands-on experience guiding companies through complex regulatory landscapes. He has supported dozens of FMC audits, helped companies remediate hundreds of thousands of dollars in penalties, and specializes in bridging the gap between operational realities and regulatory obligations. He actively contributes to industry education through his role on the Education Committee of the FCBF.

AP Tariffs has over 850 active NVOCC clients globally, providing advanced tariff publishing technology that significantly reducing labor costs while ensuring regulatory adherence. We also offer up to 2 hours of consultation per month, a much-needed service in light of the FMC's tightening enforcement efforts.

AP Tariffs also has an AMS/ISF filing platform, where clients can submit manifests directly to U.S. Customs, reducing clearance costs.

Don't wait! Take advantage of our free 30-minute consultation, CLICK HERE NOW.