Calculating Demurrage / Detention Charges
Seaboard Marine is in the business of moving cargo between Shippers and Consignees. For most of these transactions, equipment (containers and chassis) is needed to efficiently move the cargo to or from our ships for delivery to our customers. Without equipment, we cannot effectively serve our clients. To ensure that our equipment keeps moving we established rules that govern the use of our equipment. The Equipment Demurrage and Free Time rules are one of the most important rules in our tariff as it outlines the terms our customers must follow when using our equipment.
In general, we allow customers a specified number of days to store loaded equipment on our terminal before we charge a daily demurrage fee for the “rental” of the equipment. We also allow our customers a certain number of days to either load or unload our equipment at their facility before we, again, charge a daily detention fee for the “rental” of the equipment. This is known as Free Time and it is critical to know the number of free days to avoid incurring demurrage or detention charges for using our equipment in excess of the allowed free time.
Free Time varies for import shipments and export shipments. We also apply different daily charges based on the type of equipment the customer is holding whether it is a dry container, a refrigerated container, a chassis or any other equipment we own or lease. These charges are outlined in the Detention and Demurrage schedules stated in our General Tariff rule or service contract.
How to avoid paying demurrage or detention charges
Seaboard Marine has established reasonable free days to load or unload equipment or store containers at a terminal or yard before departing on a vessel. Our customers need to know the number of free days they are allowed before addition demurrage or detention charges apply. Knowing the number of free days is critical to avoiding paying additional fees.
When a motor carrier drops a Seaboard Marine container at a customers’ facility, it is the obligation of the customers’ loading or unloading facility to notify Seaboard Marine that the container is available for pick-up. Notifying Seaboard Marine of the equipment availability is easy through the use of the Equipment Pick-Up form on our website. Simply enter the equipment number, and either bill of lading or booking number, then select Request Pick-up. Upon completion, the detention free time calculation is terminated and a pick-up request number is issued.
Need to request a pick-up?