Zim Integrated Shipping Services has been ordered to pay Samsung Electronics $3.7 million in reparations because the former unreasonably held the release of Samsung containers during billing disputes between the parties over detention and demurrage (D&D) charges in 2021 and 2022, a judge for the US Federal Maritime Commission (FMC) has ruled.
The Commission said, “multiple cargo holds were unreasonable practices which violated section 41102(c)”. These holds prevented timely delivery and generated additional demurrage charges, further escalating the dispute.
Also important in the decision were ZIM’s billing practices. The ruling determined that “numerous ZIM billing errors” demonstrated that the cargo holds were “not reasonable or justified by the facts”.