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I'd like to find a definition of "detention" and "demurrage" that does not refer back to ocean shipping. (1 answer)

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I need a definition of "detention" and "demurrage" that does not refer back to a ship. For example, detention for commercial truck drivers, or demurrage charged by railroads.

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Mar 2, 2013

Ricky,
I asked some of the instructors for GFP about this and one suggested that you submit the question under the "ask a professor' AAP tab on the DAP at dap.dau.mil under logistics as this appeared to be more a a logistics type question.

A second instructor stated your 'question does not provide enough information to enable one to answer it correctly. If a definition is all that is required then one could find the answer in any standard dictionary. That is the simple answer but I do not believe that is what the individual wants who is asking the question. The definition of "demurrage" and "detention" will depend upon the CONTEXT in which it is used. I believe this question is more appropriate for someone who has a solid background in transportation and shipping. It is not within the area of expertise of what one does in Government Property.

After doing some research on this subject here is what the second instructor was able to find regarding "demurrage" and "detention."

Demurrage: What is it? A separate freight charge, in addition to ordinary shipping costs, which is imposed according to the terms of a carriage contract upon the person responsible for unreasonable delays in loading or unloading cargo.

Demurrage charges are applied for storage of laden containers whilst in the care of a container transport and logistics service provider while in a port, rail terminal, feeder terminal, inland depot or container yard. Demurrage is applied after a designated free time.

Detention is a separate freight charge, in addition to ordinary shipping costs, which is imposed according to the terms of a carriage contract upon the person (or entity) responsible for unreasonable delays in loading or unloading cargo.

Detention charges are applied for the storage or holding of containers whilst in the care of a container transport and logistics service providers’ care outside a port, rail terminal, feeder terminal, inland depot or container yard. Detention is applied after a designated free time.

There are 2 types of Detention:-

Merchant Haulage: when customers do their own trucking and have to return the container back to the care of a container transport and logistics service provider within the free period.

Carrier Haulage (Drop & Collect): container is left at the customer’s own premises while they load or devan it. The container transport and logistics service provider's vehicle returns a different day to pull it out.

The second instructor believes the key to answering this question is to understand the CONTEXT in which these two terms are used and then have someone answer it as it applies to that situation (transportation or shipping).'

Hope this it what you were looking for. If not, recommend submitting the question under AAP under logistics.
Kathy