CHAPTER 403—AGREEMENTS

        

§40301. Application

(a) Ocean Common Carrier Agreements.—This part applies to an agreement between or among ocean common carriers to—

(1) discuss, fix, or regulate transportation rates, including through rates, cargo space accommodations, and other conditions of service;

(2) pool or apportion traffic, revenues, earnings, or losses;

(3) allot ports or regulate the number and character of voyages between ports;

(4) regulate the volume or character of cargo or passenger traffic to be carried;

(5) engage in an exclusive, preferential, or cooperative working arrangement between themselves or with a marine terminal operator;

(6) control, regulate, or prevent competition in international ocean transportation; or

(7) discuss and agree on any matter related to a service contract.

(b) Marine Terminal Operator Agreements.—This part applies to an agreement between or among marine terminal operators, or between or among one or more marine terminal operators and one or more ocean common carriers, to—

(1) discuss, fix, or regulate rates or other conditions of service; or

(2) engage in exclusive, preferential, or cooperative working arrangements, to the extent the agreement involves ocean transportation in the foreign commerce of the United States.

(c) Acquisitions.—This part does not apply to an acquisition by any person, directly or indirectly, of any voting security or assets of any other person.

(d) Maritime Labor Agreements.—This part does not apply to a maritime labor agreement. However, this subsection does not exempt from this part any rate, charge, regulation, or practice of a common carrier that is required to be set forth in a tariff or is an essential term of a service contract, whether or not the rate, charge, regulation, or practice arises out of, or is otherwise related to, a maritime labor agreement.

(e) Assessment Agreements.—This part (except sections 40305 and 40307(a)) does not apply to an assessment agreement.

(Pub. L. 109–304, §7, Oct. 6, 2006, 120 Stat. 1528.)

Historical and Revision Notes

Revised Section	Source (U.S. Code)	Source (Statutes at Large)
40301(a)	46 App.:1703(a).	Pub. L. 98–237, §4, Mar. 20, 1984, 98 Stat. 70; Pub. L. 105–258, title I, §103, Oct. 14, 1998, 112 Stat. 1904.
40301(b)	46 App.:1703(b).
40301(c)	46 App.:1703(c).
40301(d)	46 App.:1704(f).	Pub. L. 98–237, §5(e) (last sentence), (f), Mar. 20, 1984, 98 Stat. 70; Pub. L. 104–88, title III, §335(c)(2), Dec. 29, 1995, 109 Stat. 954; Pub. L. 105–258, title I, §104(a)(2), (b), Oct. 14, 1998, 112 Stat. 1904, 1905.
40301(e)	46 App.:1704(e) (last sentence).

§40302. Filing requirements

(a) In General.—A true copy of every agreement referred to in section 40301(a) or (b) of this title shall be filed with the Federal Maritime Commission. If the agreement is oral, a complete memorandum specifying in detail the substance of the agreement shall be filed.

(b) Exceptions.—Subsection (a) does not apply to—

(1) an agreement related to transportation to be performed within or between foreign countries; or

(2) an agreement among common carriers to establish, operate, or maintain a marine terminal in the United States.

(c) Regulations.—The Commission may by regulation prescribe the form and manner in which an agreement shall be filed and any additional information and documents necessary to evaluate the agreement.

(Pub. L. 109–304, §7, Oct. 6, 2006, 120 Stat. 1528.)

Historical and Revision Notes

Revised Section	Source (U.S. Code)	Source (Statutes at Large)
40302	46 App.:1704(a).	Pub. L. 98–237, §5(a), Mar. 20, 1984, 98 Stat. 70; Pub. L. 98–595, §3(b)(1), Oct. 30, 1984, 98 Stat. 3132.

§40303. Content requirements

(a) Ocean Common Carrier Agreements.—

(1) Restrictions.—An ocean common carrier agreement may not—

(A) prohibit or restrict a member of the agreement from engaging in negotiations for a service contract with a shipper;

(B) require a member of the agreement to disclose a negotiation on a service contract, or the terms of a service contract, other than those terms required to be published under section 40502(d) of this title; or

(C) adopt mandatory rules or requirements affecting the right of an agreement member to negotiate and enter into a service contract.

(2) Voluntary guidelines.—An ocean common carrier agreement may provide authority to adopt voluntary guidelines relating to the terms and procedures of an agreement member's service contracts if the guidelines explicitly state the right of members of the agreement not to follow the guidelines. Any guidelines adopted shall be submitted confidentially to the Federal Maritime Commission.

(b) Conference Agreements.—Each conference agreement must—

(1) state its purpose;

(2) provide reasonable and equal terms for admission and readmission to conference membership for any ocean common carrier willing to serve the particular trade or route;

(3) permit any member to withdraw from conference membership on reasonable notice without penalty;

(4) at the request of any member, require an independent neutral body to police fully the obligations of the conference and its members;

(5) prohibit the conference from engaging in conduct prohibited by section 41105(1) or (3) of this title;

(6) provide for a consultation process designed to promote—

(A) commercial resolution of disputes; and

(B) cooperation with shippers in preventing and eliminating malpractices;

(7) establish procedures for promptly and fairly considering requests and complaints of shippers; and

(8) provide that—

(A) any member of the conference may take independent action on a rate or service item on not more than 5 days' notice to the conference; and

(B) except for an exempt commodity not published in the conference tariff, the conference will include the new rate or service item in its tariff for use by that member, effective no later than 5 days after receipt of the notice, and by any other member that notifies the conference that it elects to adopt the independent rate or service item on or after its effective date, in lieu of the existing conference tariff provision for that rate or service item.

(c) Interconference Agreements.—Each agreement between carriers not members of the same conference must provide the right of independent action for each carrier. Each agreement between conferences must provide the right of independent action for each conference.

(d) Vessel Sharing Agreements.—

(1) In general.—An ocean common carrier that is the owner, operator, or bareboat, time, or slot charterer of a liner vessel documented under section 12103 or 12111(c) of this title may agree with an ocean common carrier described in paragraph (2) to which it charters or subcharters the vessel or space on the vessel that the charterer or subcharterer may not use or make available space on the vessel for the carriage of cargo reserved by law for vessels of the United States.

(2) Carrier described.—An ocean common carrier described in this paragraph is one that is not the owner, operator, or bareboat charterer for at least one year of liner vessels of the United States that are eligible to be included in the Maritime Security Fleet Program and are enrolled in an Emergency Preparedness Program under chapter 531 of this title.

(Pub. L. 109–304, §7, Oct. 6, 2006, 120 Stat. 1529.)

Historical and Revision Notes

Revised Section	Source (U.S. Code)	Source (Statutes at Large)
40303(a)	46 App.:1704(c).	Pub. L. 98–237, §5(b)–(d), Mar. 20, 1984, 98 Stat. 70; Pub. L. 105–258, title I, §104(a), Oct. 14, 1998, 112 Stat. 1904.
40303(b)	46 App.:1704(b).
40303(c)	46 App.:1704(d).
40303(d)	46 App.:1704(g).	Pub. L. 98–237, §5(g), Mar. 20, 1984; as added Pub. L. 105–383, title IV, §424(a), Nov. 13, 1998, 112 Stat. 3440.

In subsection (c)(8), the word "calendar" is omitted as unnecessary.

In subsection (d), the words "vessel of the United States" are substituted for "United States-flag vessel" (and similar variations) for consistency in the revised title.

§40304. Commission action

(a) Notice of Filing.—Not later than 7 days after the date an agreement is filed, the Federal Maritime Commission shall—

(1) transmit a notice of the filing to the Federal Register for publication; and

(2) request interested persons to submit relevant information and documents.

(b) Preliminary Review and Rejection.—After preliminary review, the Commission shall reject an agreement that it finds does not meet the requirements of sections 40302 and 40303 of this title. The Commission shall notify in writing the person filing the agreement of the reason for rejection.

(c) Review and Effective Date.—Unless rejected under subsection (b), an agreement (other than an assessment agreement) is effective—

(1) on the 45th day after filing, or on the 30th day after notice of the filing is published in the Federal Register, whichever is later; or

(2) if additional information or documents are requested under subsection (d)—

(A) on the 45th day after the Commission receives all the additional information and documents; or

(B) if the request is not fully complied with, on the 45th day after the Commission receives the information and documents submitted and a statement of the reasons for noncompliance with the request.

(d) Request for Additional Information.—Before the expiration of the period specified in subsection (c)(1), the Commission may request from the person filing the agreement any additional information and documents the Commission considers necessary to make the determinations required by this part.

(e) Modification of Review Period.—

(1) Shortening.—On request of the party filing an agreement, the Commission may shorten a period specified in subsection (c), but not to a date that is less than 14 days after notice of the filing of the agreement is published in the Federal Register.

(2) Extension.—The period specified in subsection (c)(2) may be extended only by the United States District Court for the District of Columbia in a civil action brought by the Commission under section 41307(c) of this title.

(f) Fixed Terms.—The Commission may not limit the effectiveness of an agreement to a fixed term.

(Pub. L. 109–304, §7, Oct. 6, 2006, 120 Stat. 1530; Pub. L. 115–282, title VII, §706(a), (b), Dec. 4, 2018, 132 Stat. 4295.)

Historical and Revision Notes

Revised Section	Source (U.S. Code)	Source (Statutes at Large)
40304(a)	46 App.:1705(a).	Pub. L. 98–237, §6(a)–(f), Mar. 20, 1984, 98 Stat. 72.
40304(b)	46 App.:1705(b).
40304(c)	46 App.:1705(c) (1st sentence).
40304(d)	46 App.:1705(d).
40304(e)(1)	46 App.:1705(e).
40304(e)(2)	46 App.:1705(c) (last sentence).
40304(f)	46 App.:1705(f).

Editorial Notes

Amendments

2018—Subsec. (a). Pub. L. 115–282, §706(a), amended subsec. (a) generally. Prior to amendment, text read as follows: "Within 7 days after an agreement is filed, the Federal Maritime Commission shall transmit a notice of the filing to the Federal Register for publication."

Subsec. (d). Pub. L. 115–282, §706(b), substituted "part" for "section".

Statutory Notes and Related Subsidiaries

Saving Clause

Pub. L. 115–282, title VII, §706(c), Dec. 4, 2018, 132 Stat. 4295, provided that: "Nothing in this section [amending this section], or the amendments made by this section, may be construed—

"(1) to prevent the Federal Maritime Commission from requesting from a person, at any time, any additional information or documents the Commission considers necessary to carry out chapter 403 of title 46, United States Code;

"(2) to prescribe a specific deadline for the submission of relevant information and documents in response to a request under section 40304(a)(2) of title 46, United States Code; or

"(3) to limit the authority of the Commission to request information under section 40304(d) of title 46, United States Code."

§40305. Assessment agreements

(a) Filing Requirement.—An assessment agreement shall be filed with the Federal Maritime Commission and is effective on filing.

(b) Complaints.—If a complaint is filed with the Commission within 2 years after the date of an assessment agreement, the Commission shall disapprove, cancel, or modify the agreement, or an assessment or charge pursuant to the agreement, that the Commission finds, after notice and opportunity for a hearing, to be unjustly discriminatory or unfair as between carriers, shippers, or ports. The Commission shall issue its final decision in the proceeding within one year after the date the complaint is filed.

(c) Adjustments of Assessments and Charges.—To the extent that the Commission finds under subsection (b) that an assessment or charge is unjustly discriminatory or unfair as between carriers, shippers, or ports, the Commission shall adjust the assessment or charge for the period between the filing of the complaint and the final decision by awarding prospective credits or debits to future assessments and charges. However, if the complainant has ceased activities subject to the assessment or charge, the Commission may award reparations.

(Pub. L. 109–304, §7, Oct. 6, 2006, 120 Stat. 1531.)

Historical and Revision Notes

Revised Section	Source (U.S. Code)	Source (Statutes at Large)
40305	46 App.:1704(e) (less last sentence).	Pub. L. 98–237, §5(e) (less last sentence), Mar. 20, 1984, 98 Stat. 70; Pub. L. 105–258, title I, §104(a)(2), (b)(1), Oct. 14, 1998, 112 Stat. 1904, 1905.

§40306. Nondisclosure of information

Information and documents (other than an agreement) filed with the Federal Maritime Commission under this chapter are exempt from disclosure under section 552 of title 5 and may not be made public except as may be relevant to an administrative or judicial proceeding. This section does not prevent disclosure to either House of Congress or to a duly authorized committee or subcommittee of Congress.

(Pub. L. 109–304, §7, Oct. 6, 2006, 120 Stat. 1531.)

Historical and Revision Notes

Revised Section	Source (U.S. Code)	Source (Statutes at Large)
40306	46 App.:1705(j).	Pub. L. 98–237, §6(j), Mar. 20, 1984, 98 Stat. 73.

The words "judicial proceeding" are substituted for "judicial action or proceeding" to eliminate unnecessary words.

§40307. Exemption from antitrust laws

(a) In General.—The antitrust laws do not apply to—

(1) an agreement (including an assessment agreement) that has been filed and is effective under this chapter;

(2) an agreement that is exempt under section 40103 of this title from any requirement of this part;

(3) an agreement or activity within the scope of this part, whether permitted under or prohibited by this part, undertaken or entered into with a reasonable basis to conclude that it is—

(A) pursuant to an agreement on file with the Federal Maritime Commission and in effect when the activity takes place; or

(B) exempt under section 40103 of this title from any filing or publication requirement of this part;

(4) an agreement or activity relating to transportation services within or between foreign countries, whether or not via the United States, unless the agreement or activity has a direct, substantial, and reasonably foreseeable effect on the commerce of the United States;

(5) an agreement or activity relating to the foreign inland segment of through transportation that is part of transportation provided in a United States import or export trade;

(6) an agreement or activity to provide wharfage, dock, warehouse, or other terminal facilities outside the United States; or

(7) an agreement, modification, or cancellation approved before June 18, 1984, by the Commission under section 15 of the Shipping Act, 1916, or permitted under section 14b of that Act, and any properly published tariff, rate, fare, or charge, or classification, rule, or regulation explanatory thereof implementing that agreement, modification, or cancellation.

(b) Exceptions.—This part does not extend antitrust immunity to—

(1) an agreement with or among air carriers, rail carriers, motor carriers, tug operators, or common carriers by water not subject to this part relating to transportation within the United States;

(2) a discussion or agreement among common carriers subject to this part relating to the inland divisions (as opposed to the inland portions) of through rates within the United States;

(3) an agreement among common carriers subject to this part to establish, operate, or maintain a marine terminal in the United States; or

(4) a loyalty contract.

(c) Retroactive Effect of Determinations.—A determination by an agency or court that results in the denial or removal of the immunity to the antitrust laws under subsection (a) does not remove or alter the antitrust immunity for the period before the determination.

(d) Relief Under Clayton Act.—A person may not recover damages under section 4 of the Clayton Act (15 U.S.C. 15), or obtain injunctive relief under section 16 of that Act (15 U.S.C. 26), for conduct prohibited by this part.

(Pub. L. 109–304, §7, Oct. 6, 2006, 120 Stat. 1531; Pub. L. 115–282, title VII, §709(c), Dec. 4, 2018, 132 Stat. 4297.)

Historical and Revision Notes

Revised Section	Source (U.S. Code)	Source (Statutes at Large)
40307	46 App.:1706.	Pub. L. 98–237, §7, Mar. 20, 1984, 98 Stat. 73; Pub. L. 105–258, title I, §105, Oct. 14, 1998, 112 Stat. 1905.

Subsection (a)(1) is substituted for "any agreement that has been filed under section 1704 of this Appendix and is effective under section 1704(d) [redesignated as (e)] or section 1705 of this Appendix" for clarity and to eliminate unnecessary words.

Subsection (a)(2) is substituted for "any agreement that . . . is exempt under section 1715 of this Appendix from any requirement of this chapter" in 46 App. U.S.C. 1706(a)(1) for clarity.

In subsection (a)(7), the words "subject to section 1719(e)(2) of this Appendix" are omitted as obsolete.

Editorial Notes

References in Text

Section 15 of the Shipping Act, 1916, referred to in subsec. (a)(7), which was classified to section 814 of the former Appendix to this title, was repealed by Pub. L. 104–88, title III, §335(b)(3), Dec. 29, 1996, 109 Stat. 954.

Section 14b of the Shipping Act, 1916, referred to in subsec. (a)(7), which was classified to section 813a of former Title 46, Shipping, was repealed by Pub. L. 98–237, §20(a), Mar. 20, 1984, 98 Stat. 88.

Amendments

2018—Subsec. (b)(1). Pub. L. 115–282 inserted "tug operators," after "motor carriers,".