[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 4040 Introduced in Senate (IS)]
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117th CONGRESS
2d Session
S. 4040
To amend subtitle IV of title 46, United States Code, with respect to
ship agents, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
April 7, 2022
Mr. Reed (for himself and Mr. Whitehouse) introduced the following
bill; which was read twice and referred to the Committee on Commerce,
Science, and Transportation
_______________________________________________________________________
A BILL
To amend subtitle IV of title 46, United States Code, with respect to
ship agents, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Ship Agent Licensure Act of 2022''.
SEC. 2. DEFINITIONS.
Section 40102 of title 46, United States Code, is amended--
(1) by redesignating paragraphs (22) through (26) as
paragraphs (23) through (27), respectively; and
(2) by inserting after paragraph (21) the following:
``(22) Ship agent.--The term `ship agent' means a person--
``(A) engaged in the business of representing a
ship's owner, operator, or charterer (referred to in
this paragraph as the `principal') in performing
carriage while in a port of the United States; and
``(B) who is responsible to the principal for--
``(i) port entry, berthing, and departure;
``(ii) port husbandry services;
``(iii) crew changes and repatriations;
``(iv) receiving or releasing cargo on
behalf of the principal; or
``(v) interfacing with various Federal
agencies with respect to port safety, supply
chain efficiency, maritime security, and the
environment; and
``(C) who is not owned or controlled by a common
carrier or cruise line.''.
SEC. 3. SHIP AGENTS.
(a) In General.--Title 46, United States Code, is amended by
inserting after chapter 409 the following:
``CHAPTER 410--SHIP AGENTS
``Sec.
``41001. Definition of Commission.
``41002. License requirement.
``41003. Financial responsibility.
``41004. Suspension or revocation of license.
``Sec. 41001. Definition of Commission
``In this chapter, the term `Commission' means the Federal Maritime
Commission.
``Sec. 41002. License requirement
``(a) In General.--Subject to subsection (b), a person in the
United States shall not advertise, hold oneself out, or act as a ship
agent or provide ship agent services in the United States unless the
person is domiciled in the United States and holds a license issued by
the Commission. The Commission shall issue a license to a person that
the Commission determines to be qualified by experience and character
to act as a ship agent.
``(b) Exception.--A person whose primary business is the provision
of ocean transportation by water may provide ship agent services for
its own account without a ship agent license under this section.
``(c) Qualifications.--The Commission shall establish such other
ship agent qualifications as are necessary. In establishing
qualifications, the Commission shall consider recognized national and
international standards for ship agency.
``Sec. 41003. Financial responsibility
``(a) In General.--A person may not advertise, hold oneself out, or
act as a ship agent unless the person furnishes a bond, proof of
insurance, or other surety in a form and amount determined by the
Commission to insure financial responsibility.
``(b) Scope of Financial Responsibility.--A bond, insurance, or
other surety obtained under this section--
``(1) shall be available to pay any penalty assessed under
section 41109 of this title or any order for reparation issued
under section 41305 of this title;
``(2) may be available to pay any claim against a ship
agent arising from its ship agency services--
``(A) with the consent of the insured ship agent
and subject to review by the surety company; or
``(B) when the claim is determined valid by the
surety company after the ship agent has failed to
respond to adequate notice to address the validity of
the claim; and
``(3) shall be available to pay any judgment for damages
against a ship agent arising from its ship agency services, if
the claimant has first attempted to resolve the claim under
paragraph (2) and the claim has not been resolved within a
reasonable period of time.
``(c) Regulations on Court Judgments.--The Commission shall
prescribe regulations for the purpose of protecting the interests of
claimants, ship agents, and surety companies with respect to the
process of pursuing claims against ship agent bonds, insurance, or
sureties through court judgments. The regulations shall provide that a
judgment for monetary damages may not be enforced except to the extent
that the damages claimed arise from the ship agency services of the
insured ship agent, as defined by the Commission.
``Sec. 41004. Suspension or revocation of license
``(a) Failure To Maintain Qualifications or To Comply.--The
Commission, after notice and opportunity for a hearing, shall suspend
or revoke a ship agent license if the Commission finds that the ship
agent--
``(1) is not qualified to provide ship agency services; or
``(2) willfully failed to comply with a provision of this
part or with an order or regulation of the Commission.
``(b) Failure To Maintain Bond, Proof of Insurance, or Other
Surety.--The Commission may revoke a ship agent license for failure to
maintain a bond, proof of insurance, or other surety as required by
section 41002(a) of this title.''.
(b) Conforming Amendments for Tables of Chapters.--The table of
chapters at the beginning of title 46, United States Code, and at the
beginning of subtitle IV of such title are each amended by inserting
after the item relating to chapter 409 the following:
``410. Ship Agents.......................................... 41001.''.
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