Flexport Denies Violating Shipping Act, Asks FMC to Dismiss Complaint
Flexport denied allegations by Indiana-based Philip Reinisch Co. that it violated the Shipping Act and asked the Federal Maritime Commission to dismiss the September complaint, which said Flexport failed to include required information on more than $100,000 worth of detention and demurrage charge invoices (see 2210040021).
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In a Nov. 14 answer to the FMC, Flexport, a supply chain management company, argued that its conduct was “reasonable,” said the commission “lacks subject matter jurisdiction” over the case and any D&D charge “complained of was due in whole or in part to the acts and/or omissions of the motor carrier(s), ocean carriers, terminal operators, warehousemen, rail carriers and/or the cargo interest(s).” Flexport said its conduct “was reasonable in light of the totality of the circumstances” and said the manufacturer is “not entitled to reparations because it has suffered no harm.”
Philip Reinisch, a furniture manufacturer, told the FMC earlier this year that Flexport’s invoices didn’t include information required by the Shipping Act, such as the date the container was made available and the start and end date of the free time, among other allegations. The company asked the FMC to order Flexport to refund it more than $55,000 in paid invoices, award it damages for the “wrongful withholding” of containers and nullify nearly $50,000 in outstanding charges.