PART 530—SERVICE CONTRACTS Authority: 5 U.S.C. 553; 46 U.S.C., 40301-40306, 40501-40503, 41307, 46105. Source: 64 FR 11206, Mar. 8, 1999, unless otherwise noted. Subpart A—General Provisions § 530.1 Purpose. The purpose of this part is to facilitate the filing of service contracts as required by section 8(c) of the Shipping Act of 1984 (“the Act”) (46 U.S.C. 40502). This part enables the Commission to review service contracts to ensure that these contracts and the parties to them comport with the requirements of the Act. This part also implements electronic filing provisions for service contracts to facilitate compliance and minimize the filing burdens on the oceanborne commerce of the United States. [64 FR 11206, Mar. 8, 1999, as amended at 74 FR 50723, Oct. 1, 2009; 85 FR 38089, June 25, 2020] § 530.2 Scope and applicability. An individual ocean common carrier or an agreement between or among ocean common carriers may enter into a service contract with one or more shippers subject to the requirements of the Act. § 530.3 Definitions. When used in this part: (a) Act (b) Agreement (c) Authorized person (d) BTA (e) Commission (f) Common carrier (1) Assumes responsibility for the transportation from the port or point of receipt to the port or point of destination; and (2) Utilizes, for all or part of that transportation, a vessel operating on the high seas or the Great Lakes between a port in the United States and a port in a foreign country, except that the term does not include a common carrier engaged in ocean transportation by ferry boat, ocean tramp, or chemical parcel tanker, or by a vessel when primarily engaged in the carriage of perishable agricultural commodities: (i) If the common carrier and the owner of those commodities are wholly owned, directly or indirectly, by a person primarily engaged in the marketing and distribution of those commodities and (ii) Only with respect to those commodities. (g) Conference (h) Controlled carrier (1) A majority portion of the interest in the carrier is owned or controlled in any manner by that government, by any agency thereof, or by any public or private person controlled by that government; or (2) That government has the right to appoint or disapprove the appointment of a majority of the directors, the chief operating officer or the chief executive officer of the carrier. (i) Effective date (j) Expiration date (k) File filing (l) Labor agreement (m) Motor vehicle (n) Ocean common carrier (o) OIT (p) Non-vessel-operating common carrier (“NVOCC”) (q) Service contract (r) Shipper [64 FR 11206, Mar. 8, 1999, as amended at 64 FR 23792, May 4, 1999; 64 FR 41042, July 29, 1999; 65 FR 26513, May 8, 2000; 74 FR 50723, Oct. 1, 2009; 82 FR 16296, Apr. 4, 2017; 85 FR 38089, June 25, 2020; 86 FR 21661, Apr. 23, 2021] § 530.4 Confidentiality. All service contracts and amendments to service contracts filed with the Commission shall, to the full extent permitted by law, be held in confidence. Nothing contained in this part shall preclude the Commission from providing certain information from or access to service contracts to another agency of the Federal government of the United States. § 530.5 Duty to file. (a) The duty under this part to file service contracts, amendments, and notices shall be upon the individual carrier party or parties participating or eligible to participate in the service contract. (b) Filing may be accomplished by any duly agreed-upon agent, as the parties to the service contract may designate, and subject to conditions as the parties may agree. (c) Registration Application. (2) Approved registrations. [64 FR 11206, Mar. 8, 1999, as amended at 64 FR 41042, July 29, 1999; 76 FR 11680, Mar. 3, 2011; 85 FR 38089, June 25, 2020] § 530.6 Certification of shipper status. (a) Certification. (b) Proof of tariff and financial responsibility. (c) Joining shippers' association during term of contract. (d) Reliance on NVOCC proof; independent knowledge. [64 FR 11206, Mar. 8, 1999, as amended at 74 FR 50723, Oct. 1, 2009; 85 FR 9683, Feb. 20, 2020] § 530.7 Duty to labor organizations. (a) Terms. (1) Dock area within the port area (2) Reasonable period of time (i) If the cargo in question is due to arrive in less than five (5) days from the date of receipt of the request as defined in paragraph (b) of this section, two (2) days from the date of receipt of the request; but (ii) If cargo in question is due to arrive in more than five (5) days from the date of receipt of the request as defined in paragraph (b) of this section, four (4) days from the date of receipt of the request. (3) Movement (4) Assignment (5) Transmit (b) Procedure. (1) The movement of the shipper's cargo on a dock area or within the port area or to or from railroad cars on a dock area or within a port area; (2) The assignment of intraport carriage of the shipper's cargo between areas on a dock or within the port area; (3) The assignment of the carriage of the shipper's cargo between a container yard on a dock area or within the port area and a rail yard adjacent to such container yard; or (4) The assignment of container freight station work and maintenance and repair work performed at a dock area or within the port area. (c) Applicability. (d) Disclosure not deemed admission or agreement. (e) Dispute resolution. (f) Jurisdiction and lawfulness. [64 FR 11206, Mar. 8, 1999, as amended at 74 FR 50723, Oct. 1, 2009] Subpart B—Filing Requirements § 530.8 Service Contracts. (a) Filing. (2) Failure to file a service contract or amendment in accordance with paragraph (a)(1) of this section does not affect the applicability of the service contract or amendment to cargo received on or after the effective date by the ocean common carrier or its agent. (b) Required terms. (1) The origin port ranges in the case of port-to-port movements and geographic areas in the case of through intermodal movements; (2) The destination port ranges in the case of port-to-port movements and geographic areas in the case of through intermodal movements; (3) The commodity or commodities involved; (4) The minimum volume or portion; (5) The service commitments; (6) The line-haul rate; (7) Liquidated damages for non-performance (if any); (8) Duration, including the (i) Effective date; and (ii) Expiration date; (9) The legal names and business addresses of the contract parties; the legal names of affiliates entitled to access the contract; the names, titles and addresses of the representatives signing the contract for the parties; and the date upon which the service contract was signed, except that in the case of a contract entered under the authority of an agreement or by a shippers' association, individual members need not be named unless the contract includes or excludes specific members. Subsequent references in the contract to the contract parties shall be consistent with the first reference (e.g., (exact name), “carrier,” “shipper,” or “association,” etc.). Carrier parties which enter into contracts that include affiliates must either: (i) List the affiliates' business addresses; or (ii) Certify that this information will be provided to the Commission upon request within ten (10) business days of such request. However, the requirements of this section do not apply to amendments to contracts that have been filed in accordance with the requirements of this section unless the amendment adds new parties or affiliates; (10) A certification of shipper status; (11) A description of the shipment records which will be maintained to support the service contract and the address, telephone number, and title of the person who will respond to a request by making shipment records available to the Commission for inspection under § 530.15 of this part; and (12) All other provisions of the contract. (c) Certainty of terms. (1) Be uncertain, vague or ambiguous; or (2) Make reference to terms not explicitly contained in the service contract itself unless those terms are readily available to the parties and the Commission. (3) Pursuant to § 530.15(c), the carrier party to the service contract must, upon written request by the Commission, provide the Commission with the associated records of the referenced terms. For the purpose of paragraph (c)(2) of this section, the referenced terms will be deemed readily available to the Commission if the carrier party to the service contract provides the Commission with the associated records of the terms within thirty (30) days of the Commission's written request. (d) Other requirements. (1) A unique service contract number of more than one (1) but less than ten (10) alphanumeric characters in length (“SC Number”); and (2) A consecutively numbered amendment number no more than three digits in length, with initial service contracts using “0”(“Amendment number”); (3) The filed FMC Agreement Number(s) assigned by the Commission under 46 CFR part 535 (if applicable); and (e) Exception in case of malfunction of Commission filing system. [64 FR 11206, Mar. 8, 1999, as amended at 64 FR 23793, May 4, 1999; 64 FR 41042, July 29, 1999; 77 FR 13510, Mar. 7, 2012; 82 FR 16296, Apr. 4, 2017; 85 FR 38089, June 25, 2020; 86 FR 21661, Apr. 23, 2021] § 530.9 Notices. Within thirty (30) days of the occurrence of any event listed below, there shall be filed with the Commission, pursuant to the same procedures as those followed for the filing of an amendment pursuant to § 530.10 and appendix A to this part, a detailed notice of: (a) Correction (clerical or administrative errors); (b) Cancellation (as defined in § 530.10(a)(3)); (c) Adjustment of accounts, by re-rating, liquidated damages, or otherwise; (d) Final settlement of any account adjusted as described in paragraph (c) of this section; and (e) Any change to: (1) The name of a basic contract party; or (2) The list of affiliates under § 530.8(b)(9), including changes to legal names and business addresses, of any contract party entitled to receive or authorized to offer services under the contract. § 530.10 Amendment, correction, cancellation, and electronic transmission errors. (a) Terms. (1) Amendment (2) Correction (3) Cancellation (b) Amendment. (1) Where feasible, service contracts should be amended by amending only the affected specific term(s) or subterms. (2) Each time any part of a service contract is amended, the filer shall assign a consecutive amendment number (up to three digits), beginning with the number “1.” (3) Each time any part of the service contract is amended, the “Filing Date” will be the date of filing of the amendment. (c) Corrections. (1) A letter of transmittal explaining the purpose of the submission, and providing specific information to identify the initial or amended service contract to be corrected; (2) A paper copy of the proposed correct terms. Corrections shall be indicated as follows: (i) Matter being deleted shall be struck through; and (ii) Matter to be added shall immediately follow the language being deleted and be underscored; (3) An affidavit from the filing party attesting with specificity to the factual circumstances surrounding the clerical or administrative error, with reference to any supporting documentation; (4) Documents supporting the clerical or administrative error; and (5) A brief statement from the other party to the contract concurring in the request for correction. (6) If the request for correction is granted, the carrier, agreement or conference shall file the corrected contract provisions using a special case number as described in appendix A to this part. (d) Electronic transmission errors. (e) Cancellation. (2) In the event of cancellation as defined in § 530.10(a)(3): (i) Further or continued implementation of the service contract is prohibited; and (ii) The cargo previously carried under the contract shall be re-rated according to the otherwise applicable tariff provisions. [64 FR 11206, Mar. 8, 1999, as amended at 64 FR 23793, May 4, 1999; 67 FR 39860, June 11, 2002; 68 FR 43327, July 22, 2003; 70 FR 10330, Mar. 3, 2005; 81 FR 59144, Aug. 29, 2016; 82 FR 16296, Apr. 4, 2017; 83 FR 50294, Oct. 5, 2018; 85 FR 38089, June 25, 2020; 85 FR 72578, Nov. 13, 2020; 88 FR 16898, Mar. 21, 2023] § 530.11 [Reserved] Subpart C—Publication of Service Contract Rules and Notices § 530.12 Rules and notices. (a) Location Generally. (2) Multi-party service contracts. (i) If the service contract is entered into under the authority of a conference agreement, then in that conference's automated tariff system; (ii) If the service contract is entered into under the authority of a non-conference agreement, then in each of the participating or eligible-to-participate carriers' individual automated tariff systems, clearly indicating the relevant FMC-assigned agreement number. (b) Certainty of terms. (1) Be uncertain, vague, or ambiguous; or (2) Make reference to terms not explicitly detailed in the statement of service contract rules and notices, unless those terms are contained in a publication widely available to the public and well known within the industry. (c) Agents. (d) Commission listing. www.fmc.gov, [85 FR 38089, June 25, 2020] Subpart D—Exceptions and Implementation § 530.13 Exceptions and exemptions. (a) Statutory exceptions. (1) Bulk cargo; (2) Forest products; (3) Recycled metal scrap; (4) New assembled motor vehicles; and (5) Waste paper or paper waste. (b) Commission exemptions. (1) Mail in foreign commerce. (2) Department of Defense cargo. (c) Inclusion of excepted or exempted matter. (2) Service contracts filed with the Commission may include the commodities or services listed in paragraph (a) or (b) of this section only if: (i) There is a tariff of general applicability for the transportation, which contains a specific commodity rate for the commodity or service in question; or (ii) The service contract itself sets forth a rate or charge which will be applied if the contract is canceled, as defined in § 530.10(a)(3). (d) Waiver. (e) Essential terms publication exemption. [64 FR 23793, May 4, 1999, as amended at 74 FR 50724, Oct. 1, 2009; 85 FR 23229, Apr. 27, 2020; 85 FR 38089, June 25, 2020; 86 FR 21662, Apr. 23, 2021] § 530.14 Implementation. (a) Generally. (b) Prohibition or suspension. (1) Further or continued implementation of the service contract is prohibited; (2) All services performed under the contract shall be re-rated in accordance with the otherwise applicable tariff provisions for such services with notice to the shipper within five (5) days of the date of prohibition or suspension; and (3) Detailed notice shall be given to the Commission under § 530.9 within thirty (30) days of: (i) The re-rating or other account adjustment resulting from prohibition or suspension under paragraph (b)(2) of this section; or (ii) Final settlement of the account adjusted under § 530.10. (c) Agreements. [64 FR 11206, Mar. 8, 1999, as amended at 74 FR 50724, Oct. 1, 2009; 82 FR 16297, Apr. 4, 2017; 86 FR 21662, Apr. 23, 2021] Subpart E—Recordkeeping and Audit § 530.15 Recordkeeping and audit. (a) Records retention for five years. (b) (paragraph (b) is stayed until further notice.) Where maintained. (2) Penalty. If service contract records are not made available to the Commission as provided in paragraph (c) of this section, the Commission may cancel any carrier's or agreement's right to maintain records outside the United States pursuant to the certification procedure of paragraph (b) of this section. (c) Production for audit within 30 days of request. (d) Agreement service contracts. [64 FR 11206, Mar. 8, 1999, as amended at 85 FR 38089, June 25, 2020] § 530.91 OMB control numbers assigned pursuant to the Paperwork Reduction Act. The Commission has received OMB approval for this collection of information pursuant to the Paperwork Reduction Act of 1995, as amended. In accordance with that Act, agencies are required to display a currently valid control number. The valid control number for this collection of information is 3072-0065. Appendix A to Part 530—Instructions for the Filing of Service Contracts Service contracts shall be filed in accordance with the instructions found on the Commission's home page, http://www.fmc.gov. A. Registration, Log-on ID and Password To register for filing, a carrier, conference, agreement or publisher must submit the Service Contract Registration Form (Form FMC-83) to BTA. A separate Service Contract Registration Form is required for each individual that will file service contracts. BTA will direct OIT to provide approved filers with a log-on ID and password. Filers who wish a third party (publisher) to file their service contracts must so indicate on Form FMC-83. Authority for organizational filing can be transferred by submitting an amended registration form requesting the assignment of a new log-on ID and password. The original log-on ID will be canceled when a replacement log-on ID is issued. Log-on IDs and passwords may not be shared with, loaned to or used by any individual other than the individual registrant. The Commission reserves the right to disable any log-on ID that is shared with, loaned to or used by parties other than the registrant. B. Filing After receiving a log-on ID and a password, a filer may log-on to the service contract filing area on the Commission's home page and file service contracts. The filing screen will request such information as: filer name, Registered Persons Index (“RPI”) number and carrier RPI number (if different); Service Contract and amendment number; and effective date. The filer will attach the entire service contract file and submit it into the system. When the service contract has been submitted for filing, the system will assign a filing date and an FMC control number, both of which will be included in the acknowledgment/confirmation message. [64 FR 41042, July 29, 1999, as amended at 85 FR 38089, June 25, 2020] Exhibit 1 to Part 530—Service Contract Registration [Form FMC-83] Instructions for Form FMC-83 Instructions Line 1. Registration. Line 2. Registrant. Line 3. Address of Home Office. Line 4. Billing Address if Different. Line 5. Organization Number. Line 6. Registrant Type. Line 7. Permissions Requested and Person Granted These Permissions. Maintenance of Organization Record Service Contract Filing Line 8. Certified for Batch Filing.