Bed Bath & Beyond (BBB) is suing Orient Overseas Container Line (OOCL) for $31.7 million dollars, claiming the carriers willfully abandoned service in order to earn massive profits.
According to the U.S. Federal Register, the complainant alleges that the shipping company violated 46 U.S.C. 41102(c), 41104(a)(2), and 41104(a)(10), as well as 46 CFR 545.5, regarding its practices, billing and payment of costs. It also accused OOCL of charges on the shipments of cargo, including demurrage and detention, as well as systematically failing to meet its service commitments under Service Contracts.
Orient Overseas Container Line (OOCL)
Bath & Beyond filed the complaint with the Federal Maritime Commission, just days after declaring bankruptcy. In particular, BBB claimed that OOCL breached its service agreements and then gouged the retailer by coercing them to pay premium rates and peak surcharges that were not mentioned in the agreements between 2020 and 2022. The shipper is seeking reimbursement for those fees, totaling $31.7 million.
Yang Ming Marine Transport
Yang Ming Marine Transport filed a complaint in federal court in Manhattan earlier in April, attempting to prevent the store from pursuing a similar claim for $7.8 million, plus extra charges, based on allegations the shipping company breached maritime transport contracts, according to the Wall Street Journal. Bed Bath & Beyond sought payment directly from Yang Ming, but the carrier refused the claim.
