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James E. Devine Jr.

During 2011, the Federal Maritime Commission celebrated its 50th anniversary as an independent agency. The commission looked back, and moved forward by updating several regulations and initiating new investigations and research.

In 2012, the FMC is expected to update to its licensing regulations for ocean freight forwarders and NVOCCs. These regulations were under active review in 2011, and the commission obtained useful information through its Fact Finding Investigation No. 27 into Potentially Unlawful, Unfair or Deceptive Ocean Transportation Practices Related to the Movement of Household Goods or Personal Property in U.S.-Foreign Oceanborne Trades.

Details are not yet final, but options discussed include the establishment of a new NVOCC license category for those operating solely as household goods carriers with a lower surety bond requirement and tailored standards. This would enhance consumer protection, and bring currently unlicensed operators within the system, and improve overall standards in this part of the industry.

To provide clarity and transparency for the shipping consumer, and to better monitor license compliance, the commission also is looking to require the disclosure of any agent/principal relationship and the FMC license number on all relevant shipping documents, such as a bill of lading, freight invoice, delivery receipt, arrival notice. The same information would be required to be disclosed on all advertising, including on Web sites.

Another group of FMC regulations that will be reviewed in 2012 are 46 CFR Part 535, Ocean Common Carrier and Marine Terminal Operator Agreements. These will be reviewed for potential changes that would increase transparency and public input in the agreement review process.