Rule 9 Freight Forwarder Compensation


Publication Date: 11/28/2003

Effective Date: 11/28/2003

Through Date:

Expiration Date:

Amendment Code: C

Special Use Number:

Rule 9 Freight Forwarder Compensation

1.    The Carrier will compensate licensed Ocean Transportation Intermediaries (Freight Forwarder) in connection with a shipment dispatched on behalf of others 2.5% of the net ocean freight for Port to Port shipments and 1.25% of the net freight rate for Intermodal, Door to Port shipments. Freight Forwarder's commission excludes handling, landing, surcharges and all other charges assessed in Carrier's governing tariff of applicability. Compensation will only be paid only when the ocean transportation intermediary has certified in writing that it holds a valid license and has performed the following services: (C)


(A) Engaged, booked, secured, reserved, or contracted directly with the carrier or its agent for space aboard a vessel or confirmed the availability of that space. (C)


(B) Prepared and processed the ocean bill of lading, dock receipt, or other similar document with respect to the shipment.  (C)



    a)   For shipments to Trinidad, two and a half percent (2 1/2%) of the total freight charges including surcharges and accessorial charges assessed by this tariff.  Commission will not be paid on an inland transportation charge that is advanced on the bill of lading. (C)

    b)   For Intermodal Shipments to Dominican Republic, 1.25% of the total freight charges including surcharges and accessorial charges assessed by this tariff. (C)

    c) For shipments to Dominican Republic.  Compensation only applies to shipments of raw materials used in manufacturing consigned to a facility located within a Dominican Republic free zone. (C)

    d) For LCL shipments to Cayman Islands, 1.25% of the ocean freight.


2.    Freight Forwarder must be licensed with the Federal Maritime Commission under section 19(a) of the Shipping Act 1984.


3.    Commission will not be paid on shipments made in the name of a freight forwarder unless followed by the word "Agent" and the name of the principal is disclosed to the Carrier, in writing, prior to issuance of the Bill of Lading. (C)


4.   Payment will only be once per shipment.


5.      When the Carrier has been requested to advance charges on behalf of a Freight Forwarder on Carrier's Bill of Lading, the Carrier will withhold payment of such advances to the Freight Forwarder until the Carrier has received payment for all of the Bill of Lading charges. (C)


6.    Commission will only be payable for exports from the US, this is not applicable to import shipments to the US. (C)