Flexport Accused by Peloton of 'Unfair D&D Fees'

Peloton alleges Flexport's inefficiencies led to millions in unfair detention and demurrage charges.

Flexport Accused by Peloton of 'Unfair D&D Fees'

Peloton claims Flexport dropped the ball on moving their imported goods efficiently, racking up hefty detention and demurrage (D&D) fees.

  • Big Bucks: These charges supposedly cost Peloton millions from 2020 to 2023.
  • Delivery Delays: Peloton accuses Flexport of not moving containers from ports or delivering them on time.

Legal Action:

  • FMC Complaint: Peloton has turned to the Federal Maritime Commission to voice their frustrations and seek relief.
  • Ongoing Costs: The total damages are still being calculated, hinting this battle could drag on.

Regulatory Ripples:

  • OSRA Impact: The Ocean Shipping Reform Act aimed to fix issues like these by adjusting how D&D charges are applied, but the industry's response has been chilly, especially from big players like the World Shipping Council.

Looking Forward:
As Peloton continues to calculate its losses, this case could set a precedent for how freight forwarders handle operations and charges. If the FMC sides with Peloton, we might see tighter regulations ensuring more accountability for logistics companies.

Source: Loadstar

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