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Title 46 — ShippingRelease 119-73not60

§40503 Refunds and Waivers

Title 46 › Subtitle Subtitle IV— Regulation of Ocean Shipping › Part A— Ocean Shipping › Chapter 405— TARIFFS, SERVICE CONTRACTS, REFUNDS, AND WAIVERS › § 40503

Last updated Apr 5, 2026|Official source

Summary

The Federal Maritime Commission can allow a common carrier or conference to give back or cancel part of freight charges when a carrier or shipper asks. Approval only happens if three rules are met. First, there was a tariff mistake, a failure to publish a required tariff, or a wrong quoted rate, and the refund won’t cause unfair treatment of shippers, ports, or carriers. Second, the carrier or conference has published the corrected tariff showing the rate for the refund before applying. Third, the application is filed with the Commission within 180 days of the shipment.

Full Legal Text

Title 46, §40503

Shipping — Source: USLM XML via OLRC

The Federal Maritime Commission, on application of a carrier or shipper, may permit a common carrier or conference to refund a portion of the freight charges collected from a shipper, or to waive collection of a portion of the charges from a shipper, if—
(1)there is an error in a tariff, a failure to publish a new tariff, or an error in quoting a tariff, and the refund or waiver will not result in discrimination among shippers, ports, or carriers;
(2)the common carrier or conference, before filing an application for authority to refund or waive any charges for an error in a tariff or a failure to publish a tariff, has published a new tariff setting forth the rate on which the refund or waiver would be based; and
(3)the application for the refund or waiver is filed with the Commission within 180 days from the date of shipment.

Legislative History

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 4050346 App.:1707(e).Pub. L. 98–237, § 8(e), Mar. 20, 1984, 98 Stat. 75; Pub. L. 105–258, title I, § 106(d), Oct. 14, 1998, 112 Stat. 1907. In paragraph (1), the words “an error in a tariff, a failure to publish a new tariff” are substituted for “an error in a, in failing to publish a new tariff” to correct an obvious error in the underlying statute. In paragraph (2), the words “or waive” are added for consistency with the reference to a waiver later in the paragraph.

Reference

Citations & Metadata

Citation

46 U.S.C. § 40503

Title 46 — Shipping

Last Updated

Apr 5, 2026

Release point: 119-73not60