Shipping Act of 1984
The Shipping Act of 1984 is the core US law regulating international ocean liner shipping, giving filed carrier agreements limited antitrust immunity while prohibiting discriminatory and unreasonable practices.
What it requires
The Act requires carrier and terminal agreements, such as vessel sharing alliances, to be filed with the FMC, which can sue to block those likely to cause unreasonable cost increases or service cuts. Carriers and NVOCCs must publish tariffs and may sign service contracts. Ocean transportation intermediaries must be licensed by the FMC, and NVOCCs must post financial security of $75,000, or $50,000 for freight forwarders. It prohibits rebates, unjust discrimination and unreasonable refusals to deal. FMC civil penalties are adjusted annually for inflation.
Why it matters
The Shipping Act sets the rules under which every US ocean freight booking happens, including how the NVOCCs and forwarders many 3PLs use must operate. Shippers can verify an NVOCC's FMC license and bond before tendering cargo. For example, an e-commerce brand consolidating LCL shipments through an online forwarder should confirm the forwarder holds an FMC license, because an unlicensed provider offers no bond protection if it fails to pay the ocean carrier and the cargo is held. The Act also allows service contracts that lock in annual rates.
Related laws
Sources
- 46 U.S.C. Subtitle IV, Regulation of ocean shipping, Cornell LII law.cornell.edu
- Shipping Act of 1984, Wikipedia en.wikipedia.org
Not legal advice.