NEW CALIFORNIA INTERMODAL LAW PASSED
WASHINGTON, DC - 10/17/05 - The American Trucking Associations (ATA) and its Intermodal Motor Carrier Conference are praising the new "trucking fairness" legislation recently signed into law in by California Governor Arnold Schwarzenegger.
Initiated by the Sacramento-headquartered California Trucking  Association, the legislation "brings to an end years of unfair billing practices, particularly arbitrary and excessive fee assessments and termination of interchange rights, against intermodal motor carriers moving containers primarily between ports, terminals, and cargo customers," the industry group said in a press release.
The new law prohibits ocean carriers, railroads, and marine terminal operators from the commonplace practice of imposing arbitrary per diem, detention, or demurrage charges on motor carriers when trucks transporting container cargo are delayed by such events as port gate closures, labor disruptions, unanticipated equipment diversions, terminal congestion and weekends or holidays.
"Ideally, California's example should be replicated elsewhere," said ATA president and CEO Bill Graves.
"Motor carriers will no longer be unfairly billed to pay for the inefficient operational practices of intermodal equipment and terminal facilities and this law will hopefully improve the operational and work environment of the port trucking community," he said.
The law also prohibits intermodal marine equipment providers from terminating or suspending the equipment interchange rights of motors carriers during the exercise of dispute resolution rights and from unilaterally adding or offsetting specific charges to the motor carrier's freight bill.
"These prohibited billing practices include charging back, deducting, or offsetting per diem, detention or demurrage charges from such bills," said Graves.
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