FMC Tells SM Line to Pay Samsung $1.9M for Unfair D&D Fees
A Federal Maritime Commission administrative law judge ordered ocean carrier SM Line Corp. May 28 to pay consumer goods company Samsung Electronics America $1.9 million in reparations for unfair demurrage and detention fees.
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The judge determined the fees were unreasonable because they were imposed for factors beyond Samsung's control, namely chassis shortages and port congestion. Samsung had sought a total of more than $17.1 million in damages for more than 18,000 demurrage and detention charges incurred from 2020 to 2022, but the judge said Samsung failed to provide sufficient evidence for most of the charges.
Samsung and SM Line had no immediate comment on the 62-page decision. Samsung, which imports home appliances, phones, tablets, smartwatches and other consumer electronics into the U.S., filed its complaint against SM Line in April 2023.