Samsung Electronics America has launched a new legal challenge targeting container carrier Wan Hai Lines, filing a formal complaint with the US Federal Maritime Commission (FMC) over detention, demurrage and related charges linked to pandemic-era shipments.
The FMC has officially accepted the complaint, which concerns more than $1.2m in fees associated with “store door” shipments handled between 2020 and 2022.
At the centre of the dispute is Samsung’s claim that the charges were improperly passed on to the shipper, even though the inland transport segment was under the carrier’s control. Under store door arrangements, responsibility for moving cargo from port to final inland delivery rests with the carrier.
Samsung argues that Wan Hai continued to apply penalties despite delays being driven by congestion and operational bottlenecks within the carrier’s own operational scope.
The FMC filing alleges that Wan Hai breached provisions of the US Shipping Act and failed to properly engage in dispute resolution processes relating to the contested invoices.
This latest action forms part of a broader series of disputes initiated by Samsung against major container lines over detention and demurrage fees imposed during the COVID-19 supply chain crisis, when severe port congestion left containers stranded for extended periods across global gateways.
Importers said they could not retrieve containers because of congestion, limited availability of appointments or disruptions in inland transport networks, but carriers and terminals continued to issue charges throughout the period.
The case will now proceed through formal FMC hearings, with an administrative law judge expected to issue an initial decision by May 2027, followed by a final ruling later that year.
Samsung has previously brought similar complaints against several carriers, including ZIM Integrated Shipping Services, HMM, SM Line, COSCO Shipping Lines and Orient Overseas Container Line.
In one notable outcome last year, Samsung secured a $3.68m FMC award against ZIM after regulators found that charges had been imposed even when cargo interests had no realistic ability to collect containers.
The regulatory environment has since evolved. The FMC’s 2020 interpretive rule stated that detention and demurrage fees should incentivise cargo movement rather than serve as punitive revenue streams. This was further cemented in the Ocean Shipping Reform Act of 2022 which shifted the onus of proof on the reasonableness.ness of these charges to the carriers.
The Wan Hai case comes amid heightened scrutiny of carrier billing practices across the US container shipping sector. Earlier this year, the FMC issued a record $45.6m reparations ruling against OOCL in a separate case linked to pandemic-era detention and demurrage practices.
Wan Hai has not yet issued a public response to the complaint. Under FMC procedures, the carrier is required to submit an answer within 25 days of service.
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