MAERSK SEALAND DENIES INTRODUCING “VARIABLE RATES” IN CONTRACTS

MAERSK SEALAND DENIES INTRODUCING “VARIABLE RATES” IN CONTRACTS

MAERSK SEALAND DENIES INTRODUCING “VARIABLE RATES” IN CONTRACTS

   Maersk Sealand rejected a criticism that an unusual clause in its service contracts allows the carrier to change rates unilaterally, saying that the clause applies only to surcharges, and has been around for years.
   The National Association of Customs Brokers and Forwarders of America reported that one of its members found that Maersk Sealand has inserted a “new and rather unusual paragraph” in its service contracts terms and conditions. The U.S. association warned its members to be careful about service contract terms and conditions that may allow negotiated rates to be changed.
   The complex clause reads: “The rates and charges set forth in this contract shall be automatically increased to reflect the quantum of any increase in any accessorial charge (i.e. surcharges, origin receiving charges, terminal handling charges, etc.) and the quantum of rate increases applicable to the movement of any commodity or commodities for which rates are stated in this contract and published in Maersk Sealand’s governing tariff at any time during the term of this contract. In addition, any rates in this contract that are stated as being inclusive of any accessorial change(s) as defined above shall likewise be increased in any amount equal to the quantum of increase in such accessorial charge(s) published in Maersk Sealand’s governing tariff.”
   “This clause has been a part of our standard boiler plate since OSRA (the U.S. Ocean Shipping Reform Act of 1998),” a spokesman for Maersk Inc., the U.S. arm of Maersk Sealand, told American Shipper.
   “Variable rates refers to surcharges such as the Alameda Corridor Rail Surcharge,” he added,