The Federal Maritime Commission International Association of Movers September 27, 2017

Roadmap Introduction to the Federal Maritime Commission Law and regulations FMC-regulated entities FMC litigation and resolution CADRS operations and services Common HHG disputes Where to get help with commercial disputes IAM, September 27, 2017

Federal Maritime Commission Independent Regulatory Agency est. 1961 Current Commissioners: Michael A. Khouri (R-Acting Chairman); Rebecca F. Dye (R); William Doyle (D); and Daniel Maffei (D) Approx. 130 Full Time employees in: DC (HQ); regional offices in New Orleans (vacant), Houston, NY/NJ, So.FL, LA/LB, and Seattle IAM, September 27, 2017

Statutes and Regulations Shipping Act of 1984, as Amended by Ocean Shipping Reform Act of 1998 Foreign Shipping Practices Act of 1988 Section 19 of Merchant Marine Act Sections 2 and 3 of Pub. L. 89-777, 80 stat. 1350 (Cruise Line Financial Responsibility) Codified at 46 U.S. Code 40101-44106 Regulations available at 46 CFR Parts 500-565 Mission: To ensure a competitive and reliable international ocean transportation supply system and to protect the public from unfair & deceptive practices. IAM, September 27, 2017

FMC-regulated entities Ocean Transportation Intermediaries (OTIs) Ocean Freight Forwarders (OFFs) Non-Vessel Operating Common Carriers (NVOCCs) Vessel Operating Common Carriers (VOCCs) Marine Terminal Operators (including port authorities) Cruise Lines (PVOs) IAM, September 27, 2017

FMC Litigation and Resolution Order of Investigation (Bureau of Enforcement) (APA adjudication); Before Administrative Law Judge; appeal to FMC BOE can seek TRO while pending; Remedies: cease & desist; civil penalties (no victims’ fund); Formal complaint before an ALJ (APA adjudication) or informal (small claims up to $50k) before Small Claims Officer Remedies: actual damages; Attys fees for prevailing party; Seek TRO while pending; BOE may intervene; Final FMC orders not self-executing. CADRS-assisted ADR (ombuds, mediation, facilitation, arbitration) IAM, September 27, 2017

Office of Consumer Affairs and Dispute Resolution Services (CADRS) CADRS established as an independent office to provide: A Neutral and Confidential Forum Practical, Real Time Solutions to Problems Cost Savings Enhanced Business Relationships Experienced Neutrals with Industry Knowledge CADRS personnel: 5 attorneys; 1 transportation analyst; 1 administrative staffer Coordination with Area Representatives IAM, September 27, 2017

Office of Consumer Affairs and Dispute Resolution Services (CADRS) CADRS-provided ADR services: Ombuds services Most of CADRS caseload Fast Informal Mediation As required by FMC rules in formal proceeings; As requested Facilitation Arbitration IAM, September 27, 2017

Types of CADRS ADR services What service to choose? Initial choice does not preclude change Ombuds services Most of CADRS caseload Fast Informal Mediation Formal FMC proceedings require initial conference; As requested Facilitation Arbitration Resource: https://www.fmc.gov/resources/adr_options.aspx IAM, September 27, 2017

FMC-FMCSA MOU (2012) – Household Goods (HHG) Cooperate in protecting and assisting consumers moving HHG; Share information to help identify and address moving industry problems; Refer cases, conduct joint investigations, and conduct joint training to enhance enforcement; and Work together on coordinated education and outreach efforts for consumers IAM, September 27. 2017

Common Consumer/HHG problems OTI holds cargo hostage until shipper pays more OTI loses/abandons cargo/fails to pay freight/storage/defaults/disappears, etc. and carrier will not release Improper or incomplete documentation (vehicle titles for export) Unexpected additional freight, storage, handling, clearance fees Missing/damaged cargo & difficulty processing claims Shipper's inability to learn the location of a particular cargo defaulting NVOCC Freight forwarder's inability to collect rightful compensation from carrier Trucker's dispute with terminal operator's interpretation of equipment detention rule MTO’s complaint concerning the interpretation of a lease agreement IAM, September 27, 2017

How to contact FMC-CADRS Federal Maritime Commission Office of Consumer Affairs and Dispute Resolution Services 800 N. Capitol Street, NW Washington, DC 20573 Complaints@fmc.gov (202) 523-5807 (866) 448-9586 (toll free) Twitter: @FMC_gov Rebecca A. Fenneman, Director IAM, September 27, 2017

How to contact FMC-CADRS FMC Area Representatives: Houston: Adam Sinko 281-591-6088; ASinko@fmc.gov Los Angeles: Karl Hansen 310-514-4905 KHansen@fmc.gov; Nash D. Asandas 310-514-8618 NAsandas@fmc.gov New York: Erin Tasova 732-283-2496; ETasova@fmc.gov; Matthew D. Forst 732-283-2497; MForst@fmc.gov Seattle:Shadrack Scheirman 253-922-7622; SScheirman@fmc.gov; Diane Rebollo 253-225-6843; DRebollo@fmc.gov South Florida: Andrew Margolis 954-963-5362 AMargolis@fmc.gov; Eric O. Mintz 954-963-5284 EMintz@fmc.gov IAM, September 27, 2017