Category Archives: Trucking

FMC probe into D&D claim against Hapag-Lloyd could set industry precedent – The Loadstar

This Detention and Demurrage claim filed by a carrier against Hapag-Lloyd could be interesting to watch. All this activity takes place at the Port of Long Beach and nearby.

For one thing, the claim involves reefer containers, usually overweight, which require special triple-axle chassis to handle. It also involves breaking down the containers and restuffing them into domestic-style reefers for inland transit. The drayage firm, OAE, finds that they are often charged detention even if they can return the empties within 2 days.

From a supply chain perspective, OAE is clearly providing an important service; they are moving containers from the yard, and are quickly returning them to the carrier for reuse. Both of these are aids to reduce congestion. They also are aids to the shippers, getting cargo further along its route. And there is a recognized need for reefer containers, perhaps even more than for general merchandise containers.

So it would seem that Hapag-Lloyd might be prepared to look the other way regarding D&D charges, except when something goes wrong, such as a lost container or something. Other issues that can occur include a lack of gate appointments for return. With the congestion at Long Beach we see now, gate appointments could be in short supply. To what extent is that the fault of Hapag-Lloyd? Do they have an obligation to use a terminal that can accept the containers they are sending through it?

By Nick Savvides 10/01/2022

FMC probe into D&D claim against Hapag-Lloyd could set industry precedent – The Loadstar

Feds hear from both sides about Philadelphia’s truck parking woes

Heavy-duty truck parking is a big issue everywhere. I’m originally from Philly, and can appreciate both sides of this story.

Truckers need places to park their rigs when they are at home– places that are safe to leave a truck worth upwards of a half-million, and near enough to home that they can get to it easily. Neighborhoods in old cities don’t lend themselves to big rigs parking and maneuvering there. Many Philly neighborhoods have narrow streets, and plenty of overhead wires and other hazards easily hit by a big rig. And residents could well complain about parking space taken up by a heavy-duty truck and trailer.

The problem is not easy to solve. A blueprint for action exists, courtesy of the Federal Highway Administration and Cambridge Systematics, but money for truck parking was left out of the infrastructure bill recently passed by Congress. It probably would not have been used for this kind of parking anyway– more likely for truckstop and major interstate parking, or parking near ports and warehouse clusters.

City governments are not well prepared to deal with this kind of problem, and results will vary across the country.

For years many truckers have lived in small rural communities with lots of space, either on their own place or at a commercial spot. That makes truck parking easier. But truckers should be able to live in a big city and find somewhere to park, though like many big-city residents they may have to pay for it.

John Gallagher, Washington Correspondent Follow on TwitterThursday, December 16, 2021

Feds hear from both sides about Philadelphia’s truck parking woes – FreightWaves

FMCSA rejects 2nd shot at $75,000 truck-broker bond exemption

The second article explains nicely the difference between a truck freight broker and a truck dispatcher.

Dispatchers work for and represent owner-operator truck drivers, trying to get loads for them at a higher price. Shippers pay the trucker, and dispatchers get a commission from the trucker.

Truck Brokers work for shippers, trying to get them a lower price. They bill the shippers and pay the truckers directly.

Currently, only brokers need to get a license from FMCSA and obtain a $75,000 bond, ostensibly to protect shippers from being paid if there is non-performance or damage. Dispatchers are not covered by the federal bonding requirement.

Dispatchers claim the additional regulation is unnecessary, but they have not been able to attract any political attention to their cause. Various approaches have been tried, including the latest one from the first article.

While the STB has been mandated by Congress to make a clear definition of a broker, there’s no timeline for that happening. Dispatchers would like to have clarity that their status is legitimate, and without a bond. They claim that by representing the trucker herself, they are definitely not brokers.

Some dispatchers may be a bit shady, perhaps overcharging truckers and not providing definitive paperwork to the trucker. Clearly, shady business practices shouldn’t be tolerated, but requiring a bond isn’t going to weed out cheating dispatchers.

John Gallagher, Washington Correspondent Wednesday, December 15, 2021

FMCSA rejects 2nd shot at $75,000 truck-broker bond exemption – FreightWaves