[Federal Register Volume 91, Number 16 (Monday, January 26, 2026)]
[Notices]
[Pages 3195-3197]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2026-01466]
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FEDERAL MARITIME COMMISSION
[FMC-2026-0100]
Investigation Into Ocean Common Carriers' Practices and
Restrictions on Chassis Usage
AGENCY: Federal Maritime Commission.
ACTION: Request for public comments.
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SUMMARY: The Federal Maritime Commission is investigating reports that
ocean common carriers may be in violation of the Shipping Act by
unjustly and unreasonably restricting truckers and shippers from
negotiating and dealing with chassis providers through service contract
terms or other means, and seeks information from shippers, motor
carriers, and other transportation service providers as well as the
public about whether such practices are occurring and if so, how they
are affecting the ocean supply chain.
DATES: Submit comments on or before March 27, 2026.
ADDRESSES: You may submit comments, identified by FMC-2026-0100 by the
following method:
Federal eRulemaking Portal: Your comments must be written and in
English. You may submit your comments electronically through the
Federal Rulemaking Portal at www.regulations.gov. To submit comments on
that site, search for Docket No. FMC-2026-0100 and follow the
instructions provided. To request that comments or portions thereof
remain
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confidential, submit a request addressed to David Eng, Secretary at
[email protected].
FOR FURTHER INFORMATION CONTACT: For questions regarding submitting
comments or the treatment of any confidential information, contact
David Eng, Secretary; Phone: (202) 523-5725; Email: [email protected].
SUPPLEMENTARY INFORMATION:
I. Background
The Commission has received information that ocean common carriers
are relying on service contract terms or other means to mandate that
motor carriers (truckers) and shippers use the ocean common carriers'
designated chassis provider. The information received appears to
indicate that these practices are being applied to cargo transported
under merchant haulage arrangements under which the trucker or shipper
is responsible for arranging and paying for overland transportation
between a port and inland facilities. If these reports are accurate,
ocean common carriers employing such practices (through service
contract terms or other means) may be violating the Shipping Act.
Practices and rules that ocean common carriers apply in handling and
transporting cargo must be just and reasonable and cargo transported
under service contracts must comply with the applicable statutory and
regulatory requirements. The Commission is investigating possible non-
compliance under its authority to enforce the Shipping Act and in
carrying out its goals of ensuring ``an efficient, competitive, and
economical transportation system in the ocean commerce of the United
States.'' 46 U.S.C. 40101(2).
The Shipping Act requires all ocean common carriers to establish
and follow rules and practices for handling and transporting cargo that
are just and reasonable. 46 U.S.C. 41102(c). Rules and practices that
restrict truckers and shippers to the ocean common carriers' designated
chassis provider have been found to be unreasonable under section
41102(c). Intermodal Motor Carriers Conference v. OCEMA, FMC Docket No.
20-14, 2024 WL 641501 (FMC Feb. 13, 2024). In Intermodal, the
Commission found that rules adopted by an association of ocean common
carriers and used by individual ocean common carriers to designate
exclusive chassis providers for merchant haulage violated section
41102(c) and ordered the Respondents named in that action to
immediately cease adopting or enforcing those rules at facilities
servicing four regions of the United States: Chicago, Savannah,
Memphis, and the Port of Los Angeles/Long Beach. When the Commission
received reports that ocean common carriers named as respondents in
Intermodal were not complying with the cease and desist order, it
initiated an investigation which remains open. In the Matter of Inquiry
Regarding Compliance with the Cease and Desist Order in Docket No. 20-
14, Special Investigation No. 24-02.
Restrictions imposed through carrier association rules, service
contracts, or other means which directly or indirectly deprive truckers
and shippers of the ability to negotiate and deal with chassis
providers, particularly for merchant haulage, violate section 41102(c)
if they are unjust or unreasonable. Depending on how they are imposed
or implemented, such restrictions may also violate Shipping Act
provisions and Commission regulations governing ocean common carriers'
service contracts with shippers. These restrictions impede truckers'
and shippers' ability to negotiate rates and chassis usage terms and
engage the chassis provider offering the most favorable terms. For
merchant haulage in particular, truckers and shippers should have the
opportunity to negotiate chassis usage terms (e.g., rates or allotted
free time) or desired specifications (e.g., supply of equipment with
upgraded or particular safety features). That opportunity preserves
their ability to operate efficiently and economically and rely on
chassis usage arrangements tailored to their needs.
Restrictions that ocean common carriers impose through service
contract terms must also comply with Shipping Act provisions governing
those contracts. See 46 U.S.C. 40502. Any cargo that an ocean common
carrier is not transporting under its published tariff must be
transported under a service contract with the shipper. 46 U.S.C.
41104(a)(2). Service contacts must be in writing (other than a bill of
lading or cargo receipt) and contain the essential terms listed in
section 40502. See 46 U.S.C. 40102(21). They must also be filed with
the Commission through the Service Contract Filing System (SERVCON). 46
U.S.C. 40502; 46 CFR part 530. Filed service contracts are confidential
but ocean common carriers must publish and make available to the public
in tariff format a ``concise statement'' of the essential terms. 46
U.S.C. 40502. Ocean common carriers must also comply with restrictions
set forth in 46 U.S.C. 41104(a) that specifically apply to cargo
transported or handled under service contracts.
II. Investigation Into Reports of Non-Compliance
The Commission is now looking into information that ocean common
carriers may be violating Shipping Act prohibitions against unjust or
unreasonable practices, or failing to comply with other Shipping Act
requirements by imposing restrictions that directly or indirectly
impede truckers' and shippers' ability to deal with chassis providers
they select, particularly for merchant haulage. As an initial step in
this investigation, the Commission seeks comments from shippers,
transportation service providers, chassis equipment providers, other
interested stakeholders, and the public about whether such practices
and restrictions are currently occurring, how they are being
implemented or imposed, and how they are affecting or restricting
truckers' or shippers' ability to independently select, negotiate and
deal with chassis providers. This investigation is being conducted
pursuant to the Commission's authority under section 40101(2) to
enforce the Shipping Act, regulate the practices, policies and actions
of ocean common carriers and to ensure ``an efficient, competitive, and
economical transportation system in the ocean commerce of the United
States,'' and is being carried out under the Commission's procedures
for nonadjudicatory investigations at 46 CFR part 502, subpart R.
The Commission is interested in any information relevant to
restrictions of any kind imposed by ocean common carriers on chassis
provider selection or negotiations for chassis usage. Information
related to any of the following specific topics will be particularly
useful to the investigation: (1) whether and the extent to which
truckers can choose the chassis provider in the markets covered by the
Intermodal cease and desist order (Los Angeles/Long Beach, Savannah,
Memphis, and Chicago); (2) whether ocean common carriers have
designated a single chassis provider which truckers must use in the
Memphis and Chicago service regions; (3) information relating to the
``merchant haulage'' exception if that is a term used in service
contracts with shippers or beneficial cargo owners (BCOs); (4) in a
merchant haulage movements, information about provisions related to
chassis control, chassis condition, and equipment returns; (5)
information concerning whether there is an adequate supply of chassis
available for merchant haulage; (6) whether ocean common carriers
reimburse truckers for time and costs
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associated with chassis splits; (7) how situations where there is an
inadequate supply of chassis for current needs are addressed; (8) means
by which ocean common carriers notify railroads at wheeled or partially
wheeled railyards about which containers/cargo are being transported
under merchant haulage and which chassis to use for those containers;
(9) means of communicating with chassis providers using the Los
Angeles/Long Beach Pool of Pools to designate and distinguish between
carrier haulage and merchant haulage containers/cargo and coordinate
billing accordingly; (10) estimates of the number/percentage of
trucker-owned chassis used in the Memphis, Savannah, Chicago and Los
Angeles/Long Beach markets; and (11) more generally, any information
concerning new or ongoing ocean common carrier practices of any kind
that are used or applied to affect, restrict, or inhibit chassis
provider selection or negotiations and how those practices affect the
chassis provisioning market at ports or inland facilities anywhere in
the United States. This information will allow the Commission to assess
current conditions and determine whether Shipping Act violations may be
occurring and what further action, if any, is warranted.
By the Commission.
David Eng,
Secretary.
[FR Doc. 2026-01466 Filed 1-23-26; 8:45 am]
BILLING CODE 6730-02-P