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Shipping Industry Unlawful Business Practices
Background
In these class action lawsuits, McCuneWright, LLP, is alleging unfair business practices against nine major shipping companies on behalf of small primarily family owned trucking companies who have entered into non-negotiable form contracts with the shipping companies. The trucking companies have agreed to transport large containers filled with product from the docks to the shipping companies' clients.
As part of the agreements, the trucking companies have a specified number of days to pick up and return containers without being charged. If the containers are not picked up or returned in the time period contractually identified, they are charged a per diem penalty. At dispute are the shipping companies charging per diem on days that the ports and docks are closed, most often being weekends and holidays, when the trucking companies are unable to pick up or return the containers.
In 2006, the California Business & Professions Code, Section 22928 was passed and specifically addresses this issue. This code prohibits the shipping companies from levying the per diem charge on weekends and holidays. In setting this code in place, the California legislature addressed the significant influence these large, well-funded and powerful shipping companies are able to exert over the much smaller and less powerful trucking companies.
Even with the implementation of Section 22928 six years ago, the shipping companies have continued to levy the per diem charge against the trucking companies for days which the ports and docks are closed. These class actions are now attempting to hold the shipping companies accountable for their blatant disregard for Section 22928.
The following links are the filed complaints against nine shipping companies identified in the class actions:
- APL, Ltd., et al.
- Cosco North America, Inc., et al.
- Evergreen Shipping Agency (America) Corporation, et al
- Hyundai Merchant Marine Company, Ltd., et al.
- Hanjin Shipping Company, Ltd., et al.
- Mediterranean Shipping Company, S.A., et al.
- MOL (America), Inc., et al.
- Wan Hai Lines, Ltd., et al.
- Yang Ming Marine Transport Corporation, et al.
Other Highlighted Current Cases
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