Detention — Liability Allocation for Import FCL Containers
Interlink編集部Who Bears Detention Charges for Import FCL Containers?
The question of who bears Detention charges concerns the practical determination of cost responsibility when an import FCL container is not returned empty to the designated return location within the applicable free time after being gated out from the CY or terminal.
Determining responsibility for Detention requires distinguishing among the party issuing the invoice, the party contractually billed by the shipping line or NVOCC, and the party that should ultimately bear the cost among the parties involved.
The fact that a freight forwarder or NVOCC receives the invoice does not by itself establish that it caused the delay. Conversely, even where the delay is attributable to the cargo owner or delivery destination, the freight forwarder or NVOCC may first be required to respond to the invoice under its contractual relationship with the shipping line.
Accordingly, the Invoicing Party, the Contractual Bill-to Party, and the Ultimate Cost Bearer must be identified separately.
Scope Covered in This Article
| Item | Scope Covered in This Article | Contents to Confirm Separately |
|---|---|---|
| Detention | Delays and cost liabilities from CY gate-out to empty container return | Applicable tariffs, unit rates, and calculation methods for each shipping line or NVOCC |
| Invoicing Party | The party that issues the Detention invoice or debit note | Invoice issuer, contractual chain, supporting charge documents, and authority to invoice |
| Contractual Bill-to Party | The party billed by the shipping line or NVOCC | Transport contracts, House B/L, clauses, and trading terms |
| Ultimate Cost Bearer | Cost settlements among parties based on delay causes and scope of engagement | Claims, offsets, and legal liabilities based on individual contracts |
| Demurrage | Distinction from container detention fees within the CY or terminal | Import Permit, D/O, earliest possible gate-out date, and CY gate-out arrangements |
| Terminal Storage | Difference from storage charges at terminals or facilities | Facility operator’s rate schedule and storage periods |
| Free Time | Start date, Last Free Day, holiday calculations, and applicable period | Individual conditions by route, container type, and shipping line |
| Devanning and Delivery | Empty container return delays caused by delivery appointments, devanning, and inspection | Inland delivery contracts and working conditions with delivery destinations |
| Return Arrangements | Return reservation, return location, reception hours, and relation to drayage | Waiting charges for vehicles, rebooking costs, and additional mileage fees |
| Depot Congestion / Return Location Change | Records of return inability, avoidance efforts, and negotiation of deadline extension | Operating conditions of shipping lines and depots, and individual exemption decisions |
| Container Damage | Separation of Detention and damage responsibility due to return refusal | Repair costs, cleaning charges, survey fees, and accident liability |
| Insurance | Basic relationship between marine cargo insurance and freight forwarder liability insurance | Individual insurance clauses, exclusions, notification requirements, and legal liabilities |
Basic Flow to Determine Responsibility for Detention
- Confirm the billing item and the actual applicable period.
- Check the applicable tariff and free time conditions.
- Confirm the CY gate-out date and the actual empty container return date.
- Verify the date and time when the empty container became returnable.
- Identify the causes that obstructed return in chronological order.
- Confirm the scope of work each party contracted to perform.
- Check the possibility of avoiding or mitigating the delay or costs.
- Identify the Contractual Bill-to Party under the contract with the shipping line or NVOCC.
- Determine the final party responsible for bearing the cost among the cargo owner, importer, delivery destination, freight forwarder, drayage company, and other relevant parties.
- Check the possibility of negotiating reduction, exemption, or deadline extension with the shipping line or NVOCC.
Detention is an additional charge incurred as a result of delays in the process leading up to the return of empty containers. The occurrence of charges alone does not determine responsibility. It is necessary to confirm the scope of arrangements under the contract, the timing when return was possible, the content of instructions, the possibility of avoidance, and the actual cause of the delay.
Basic Concept of Detention
Detention generally refers to an excess container use charge incurred when an import container is not returned empty to the designated return location within the applicable free time after being gated out from the CY or terminal.
In import FCL, the container is taken out from the CY, transported to the delivery destination, the cargo is devanned, and then the emptied container is returned to the designated depot.
However, the terminology such as Detention, Demurrage, and Combined Demurrage and Detention, as well as the calculation of the start date, end date, and free time periods, vary depending on the shipping line, NVOCC, shipping route, and the applicable tariff.
Do not decide solely based on the invoice mentioning Detention; it is necessary to confirm which period is being targeted—whether before or after CY gate-out—and at which point the empty container return is considered completed.
Differences Between Demurrage, Detention, and Terminal Storage
| Charge / System | Typical Occurrence | Typical Invoicing Party | Main Confirmation Items | Notes |
|---|---|---|---|---|
| Demurrage | Period during which a container remains in the CY or terminal beyond the free time | Shipping line, NVOCC | Available gate-out date, start date, Last Free Day, CY gate-out date | Even after Import Permit is granted, cargo may remain if D/O or gate-out arrangements are not completed. |
| Detention | From CY gate-out until the empty container is returned to the designated return location | Shipping line, NVOCC | CY gate-out date, return deadline, possible return date/time, actual return date | Check where delays occurred, such as delivery, devanning, return reservation, or depot acceptance. |
| Terminal Storage | Period cargo or container is stored within the terminal or facility | Terminal operator, facility operator, etc. | Storage start date, storage end date, gate-out date, facility tariff | May be billed separately during the same period as Demurrage. |
| Combined Free Time | A method that combines the free days of Demurrage and Detention into a single count | Shipping line, NVOCC | Total free days, start date, CY gate-out date, empty container return date | The free days used inside the CY and outside the CY may be totaled for calculation. |
In practice, Demurrage and Terminal Storage may occur simultaneously, or free time may be managed as a total combined with Detention under Combined Free Time.
Confirm what charges apply for the same period by reviewing the billing details, applicable tariff, and actual container movement records.
Distinguish Between the Contractual Bill-to Party and the Ultimate Cost Bearer
| Judgment Stage | What to Confirm | Typical Examples | Notes |
|---|---|---|---|
| Invoicing Party | The party that issues the invoice or debit note | The shipping line may invoice the NVOCC, or the NVOCC may invoice its contracting customer. | The Invoicing Party may differ at each level of the contractual chain. |
| Contractual Bill-to Party | The party contractually billed by the shipping line or NVOCC | Billing may occur from the shipping line to the NVOCC and then from the NVOCC to the freight forwarder or contracting customer. | The party receiving the invoice is not necessarily the party that caused the delay. |
| External Payment Obligation | Whether the invoice must be paid under the applicable tariff or contract, even while responsibility is disputed | Payment deadlines often occur even while objections are under review. | Confirm whether payment withholding or late payment conditions are permitted. |
| Actual Cause of Delay | The event and period that prevented the empty container from being returned | Delayed devanning, missed reservations, depot closures, change of return location | Identify based on the chronological sequence rather than the invoice heading. |
| Scope of Entrusted Work | Who was responsible for delivery, devanning coordination, return booking, and return transportation | Only inland delivery was entrusted; devanning management was handled by the cargo owner side. | Being the contact point does not mean responsibility for the entire process. |
| Ultimate Cost Bearer | Which party among stakeholders should ultimately bear the cost | The cost may be allocated to the cargo owner, importer, delivery destination, freight forwarder, drayage company, or another relevant party. | The determination depends on the contract terms, actual cause, attributable period, fault, and avoidability. |
Under the contractual relationship with the shipping line or NVOCC, the Contractual Bill-to Party may need to respond to or pay the invoice first, regardless of which party ultimately caused the delay.
After the external Payment Obligation is addressed, the final cost allocation and any right of recourse are determined among the cargo owner, importer, delivery destination, freight forwarder, drayage company, and other relevant parties.
Items to Confirm Regarding Free Time
Free time cannot be judged solely by "how many days are free." It is necessary to confirm when the counting starts, whether weekends and holidays are included, the final free day, and at what point on the return day the process is considered complete.
| Items to Confirm | Details to Confirm | Practical Notes | Main Sources |
|---|---|---|---|
| Starting Date | From which date to count: vessel arrival date, container discharge date, earliest release date, etc. | It is not always from the day after the arrival date. | Tariff, Arrival Notice, Shipping Line Information |
| Last Free Day | Last day without incurring additional charges | Confirm not only the date but also the cutoff time for return acceptance. | Shipping Line Response, Free Time Notification |
| Type of Days Counted | Whether calendar days or working days | Calendar days may include weekends and holidays. | Applicable Tariff |
| Weekends and Holidays | Whether holidays, port non-working days, and depot closed days are included | Days may advance even if the depot is closed. | Tariff, Depot Operation Notices |
| CY Gate-Out Date | Whether gate-out day is included in Detention usage days | Counting methods differ by shipping line. | EIR, CY Gate-Out Records, Tariff |
| Empty Container Return Date | Whether return day is included in usage days | Confirm whether completion is at gate acceptance, EIR issuance, or other point. | Return EIR, Depot Records |
| Combined Free Time | Whether Demurrage and Detention are combined | Early gate-out from CY may increase or decrease remaining Detention days. | Shipping Line / NVOCC Terms |
| Change of Return Location | Whether extension or special measures apply upon change | Automatic extension is not guaranteed. | Return Location Change Notice, Extension Approval |
| Tiered Rate | Whether daily rates rise depending on the number of excess days | Costs may surge significantly if extended. | Rate Sheets, Billing Details |
| Container Type | Whether conditions differ by Dry, Reefer, Open Top, etc. | Special containers may have different free days or rates. | Container-Specific Tariff |
Chronology to Be Created First
| Timing | Facts to Confirm | Implications for Judgment | Main Documents |
|---|---|---|---|
| At CY Gate-Out | Date and time when the container was gated out from the CY | Confirm the starting point of the Detention period. | Gate-Out EIR, Gate Records |
| Scheduled Delivery Time | Initially planned delivery appointment date and time | Confirm whether return within free time was possible under the original plan. | Delivery Appointment, Delivery Instructions |
| Actual Delivery Time | Actual arrival, acceptance, and devanning start date and time | Check for delays caused by delivery appointment changes or waiting. | Operation Records, Delivery Records |
| Devanning Completion | Date and time when devanning was completed and the container became empty | Confirm the point at which the empty container was ready for return. | Work Records, Delivery Destination Reports |
| Return Reservation Time | Who applied for reservation and when | Confirm the start timing of return arrangement and any missing reservation. | Reservation Screen, Emails, Call Records |
| When Return Was Impossible | Facts such as depot closure, shortage of booking slots, refusal of acceptance, etc. | Verify external circumstances and efforts to avoid delay. | Depot Notices, Vehicle Reports, Waiting Records |
| Actual Return Time | Date and time when the empty container return was completed | Determine excess days and the period of delay extension. | Return EIR, Depot Receipt Records |
Responsibility Breakdown by Cause
| Cause Category | Typical Examples | Primary Parties to Verify | Verification Documents | Key Points for Assessment |
|---|---|---|---|---|
| Devanning delays caused by the cargo owner, importer, or delivery destination | Labor shortage, full warehouse, prolonged inspection, insufficient cargo handling equipment | Cargo owner, importer, delivery destination | Delivery appointment, work records, devanning completion time | Confirm whether deadlines and possible cost occurrences were notified in advance. |
| Delivery Appointment Change | Delivery date postponed after CY gate-out. | Cargo owner, importer, delivery destination, freight forwarder | Change requests, delivery instructions, emails | Check whose convenience or arrangement error caused the change. |
| Insufficient deadline notification by freight forwarder | Failure to provide Last Free Day notice. | Freight forwarder, NVOCC | Notification emails, quotation terms, internal records | Confirm whether the freight forwarder was responsible for communication and had the necessary information. |
| Omission of return reservation arrangement | Empty container return was possible but no reservation was made. | Freight forwarder, drayage company, arrangement personnel | Devanning completion notice, reservation history, dispatch records | Verify who was contractually responsible for making the return reservation. |
| Delay in vehicle arrangement | Return vehicle was not secured, causing deadline overrun. | Freight forwarder, drayage company | Vehicle dispatch requests, operation records, reception time | Check whether vehicle dispatch requests were made in a reasonable timeframe. |
| Depot congestion / lack of reservation slots | Unable to secure return reservation, reception suspended, long waiting times | Return depot, shipping line, freight forwarder, drayage company | Reservation history, waiting records, depot announcements | Confirm whether prompt attempts were made to reserve after return availability. |
| Change of return location | Changed to a remote depot or one with time restrictions. | Shipping line, NVOCC, freight forwarder | Change notices, shared timestamps, dispatch change records | Verify notification timing, distance, reception conditions, and whether deadline extension was granted. |
| Return refusal due to container damage | Claims of floor damage, dents, stains, unusual odors, etc. | Depot, delivery destination, drayage company, shipping line | EIR, photos at each stage, damage reports | Separate the cause of damage from actions taken post return refusal. |
| Operational circumstances of shipping line or depot | Limited return locations, reception restrictions, system outages | Shipping line, NVOCC, return depot | Operation notices, reception suspension records, inquiry logs | Confirm whether waiver or deadline extension conditions apply. |
Cases Where the Burden Tends to Fall on the Cargo Owner, Importer, or Delivery Destination
If the empty container cannot be returned due to circumstances attributable to the cargo owner, importer, or delivery destination, the cost burden is often allocated to that party.
Typical examples include inadequate preparation for receipt at the delivery destination, postponement of the delivery appointment, shortage of workers or forklifts, full warehouses, prolonged inspection times, and insufficient devanning space.
However, even if there are circumstances on the cargo owner’s side, it should be confirmed whether the return deadline was properly communicated, whether the possibility of Detention charges was notified, and whether alternative options such as early devanning or temporary storage were available.
Even if the B/L Consignee is the named party receiving delivery of the cargo, this does not necessarily correspond with the actual party responsible for devanning or the final party bearing Detention charges.
Cases Where Responsibility of the Freight Forwarder Is Often Questioned
The scope of the freight forwarder’s involvement varies depending on how far they have actually contracted to handle tasks such as CY gate-out, inland delivery, delivery appointment, devanning coordination, and empty container return.
It is necessary to confirm whether the freight forwarder merely transmitted information from the shipping line or NVOCC, or whether they undertook inland delivery and empty container return as an integrated service.
If issues such as failure to notify the return deadline, incorrect return location guidance, failure to arrange return appointments, delayed instructions to drayage companies, or failure to share return location changes occur and these lead to Detention charges, the freight forwarder’s responsibility may need to be assessed.
On the other hand, if the freight forwarder properly informed the return deadline and conditions, and devanning was delayed due to the convenience of the cargo owner or the delivery destination, the freight forwarder is not necessarily the party ultimately responsible for the costs.
Scope of Freight Forwarder Involvement
The five classifications used in this article are not established by law or industry-wide consensus. They serve as an analytical framework within this series to clarify the scope of freight forwarder involvement.
| Standard Five Classifications | Main Involvement Regarding Detention | Key Reference Documents | Notes |
|---|---|---|---|
| Simple Intermediary | Convey deadlines for return, return locations, depot information, etc., to stakeholders. | Notification emails, intermediary records, requests | Distinguish between mere information transmission and accepting responsibility through to completion of return. |
| Cargo Transportation Service Provider | Arrange transport for CY gate-out, delivery, and empty container return. | Transport contracts, quotations, delivery instructions | Confirm the contracted transport segments and scope of return arrangements. |
| NVOCC / House B/L Issuer | Contracts with shipping lines and may invoice Detention charges under the applicable House B/L terms and tariff. | House B/L, clauses, tariff, billing details | Being the invoicing party does not necessarily mean being responsible for the delay. |
| Door-to-Door Single Contractor | Arrange, as an integrated service, import procedures, delivery, devanning coordination, and empty container return. | Through-transport contract, quotation terms, work instructions | Confirm the overall management scope, but this does not imply unlimited liability. |
| Agent/Coordinator for Specific Operations | Perform delivery appointment, return reservation, depot inquiry, or extension application, etc. | Individual mandate, request emails, reservation records | Responsibility does not automatically extend to delays beyond the commissioned tasks. |
Contracting Carrier and Actual Carrier are legal or contractual status concepts and do not replace the Standard Five Classifications used in this article.
Actual operations such as delivery, devanning, vehicle operation, depot acceptance, or container repair do not themselves constitute a sixth classification. These should be verified in conjunction with actual contracts, mandates, and operational realities.
When Depot Congestion or Reservation Slot Shortage Occurs
Detention charges are not automatically waived in full simply because the return depot was congested, reservation slots were unavailable, or acceptance was suspended.
The following points should be confirmed:
- The date and time when the empty container first became returnable
- The date and time when the first return reservation was attempted
- Which reservation slots were checked
- Whether multiple dates or time slots were checked
- Whether alternative depots were inquired with the shipping line
- Whether an extension of the return deadline was requested
- Whether there is evidence of depot closure or suspension of acceptance
- Whether daily records exist for the days when return was not possible
- Whether the container was returned promptly on the next business day
If no arrangements were made until just before the return deadline, Detention charges may not be fully exempted even if depot congestion occurred.
Organize and review the timing of when the container became returnable, the reservation application time, records of failed return attempts, inquiries about alternatives, and the status of any deadline extension requests to the shipping line.
In Case of Return Location Change
It may happen that the shipping line or NVOCC instructs to change the return location of an empty container to a different depot.
When there is a return location change, it is necessary to confirm not only the change itself but also the following conditions:
- Date and time when the change notification was received
- Date and time when the freight forwarder shared the information with the drayage company
- Whether there was enough time to actually change the dispatch
- Distance and required time to the new return location
- Reception hours of the new depot
- Whether a new reservation was required
- Whether a reservation slot was secured
- Whether any extension of the return deadline was granted
- Whether additional mileage fees or vehicle waiting charges were incurred
- Whether there was any delay in response by the relevant parties after notification
Even if the return location change is due to circumstances on the shipping line’s side, if sharing the change or altering the dispatch after receiving the notification is delayed, the delay period should be analyzed separately.
Separating Container Damage and Detention
When container return is not completed due to container damage, the responsibility for the damage and that for Detention should be considered separately.
| Cost / Issue | Description | Key Confirmation Points | Notes |
|---|---|---|---|
| Detention | Excess usage charges until empty container return is completed | Container return refusal date, return completion date, delay period | The party responsible for the damage is not necessarily immediately liable for the full Detention charges. |
| Container Repair Costs | Repair costs for dents, holes, floor damage, door malfunctions, etc. | Damage occurrence timing, repair quotation, EIR (Equipment Interchange Receipt) | It should be confirmed whether the damage is normal wear and tear or accidental damage. |
| Cleaning Charge | Cleaning fees for dirt, residues, odors, etc. | Condition at gate-out and return, cargo characteristics | Cleaning obligations after devanning and the cause of contamination should be confirmed. |
| Survey Costs | Expenses for damage inspection and cause investigation | Necessity of survey, survey requester, survey report | Who requested the survey and for whose benefit it is conducted should be confirmed. |
| Depot Waiting Charges | Vehicle waiting charges due to return refusal or pending decisions | Waiting time, instructions given, alternative actions | Whether the return procedure could have been expedited should be confirmed. |
| Redelivery Costs | Costs incurred for redelivery on a different day after the initial container return refusal | Reason for return refusal, redelivery instructions | Whether the redelivery arrangements were reasonable should be confirmed. |
| Additional Detention | Charges arising from continued container usage days after return refusal | Repair confirmation period, shipping line instructions, response timeline | Whether expansion of the delay could have been prevented should be confirmed. |
Even if the party responsible for the damage is identified, if the response after return refusal is unnecessarily delayed, the subsequently increased Detention charges need to be considered separately.
Quotation Terms and Billing to the Cargo Owner
If the quotation states "Detention charged separately," "Empty container late return fee charged separately," or "Shipping line actual costs charged separately," it indicates that these fees are not included in the base freight charges.
However, just such wording alone does not automatically justify shifting Detention fees caused by the freight forwarder's own failure to make return reservations, insufficient notice of return deadlines, or incorrect return instructions to the cargo owner without conditions.
If the cause is the cargo owner’s delay in devanning, changes to the Delivery Appointment, or insufficient receiving arrangements, it is easier to explain that the charges should be borne by the cargo owner in line with the quotation terms.
At the time of billing, the following documentation should be available at a minimum:
- Detailed invoice from the shipping line or NVOCC
- Applicable tariff and Free Time terms
- CY gate-out date and empty container return date
- Delivery date and devanning completion date/time
- Records of return reservations and return instructions
- Specific cause for the Detention charge incurrence
- Quotation and trading terms
- Records showing prior notice of potential deadline overruns
Common Misunderstandings
| Common Misunderstanding | Actual Understanding | Practical Measures |
|---|---|---|
| Because the charge came from the shipping line, the shipping line is responsible for the delay. | The shipping line may be the Invoicing Party but may not be the party that caused the delay. | Confirm the relevant period and cause of the delay in chronological order. |
| Costs charged by the shipping line can simply be billed directly to the cargo owner. | You need to be able to explain the contract terms and the actual cause of the Detention charges. | Organize the quotation terms, charge details, and the cause of the delay. |
| If the freight forwarder receives the charge, then it is the freight forwarder’s responsibility. | The Contractual Bill-to Party and the party responsible for the delay are separate. | Separate payments to outside parties from internal cost recovery. |
| If the cargo owner is at fault, then the cargo owner also directly owes payment to the shipping line. | Depending on the contractual relationship with the shipping line, the NVOCC or freight forwarder may receive the charge. | Distinguish between the Contractual Bill-to Party and the Ultimate Cost Bearer. |
| If the depot is congested, Detention will always be waived. | Reservation timing, efforts to return, and extension requests will also be reviewed. | Preserve reservation history and evidence of inability to return. |
| Since it is a cost outside the quotation, regardless of cause, the cargo owner must bear the cost. | If caused by the freight forwarder’s own arrangement omission, it becomes a point of dispute. | Separate the question of whether the charge is outside the quotation from responsibility for the underlying cause. |
| The importer’s responsibility ends once delivery of cargo is completed. | For FCL, management is required through devanning and empty container return. | Confirm return deadlines and devanning arrangements before delivery. |
| All container return location changes are the shipping line’s responsibility. | Check whether there is any delay in sharing the change information or arranging transportation. | Create a chronological record from change notification to actual return. |
| The party responsible for container damage must bear full Detention charges. | Handling after refusal of return and the extended delay period are assessed separately. | Separate and organize repair costs and Detention charges. |
| The B/L Consignee is always the party responsible for Detention charges. | The name on the B/L, the actual cause of the delay, and the contractual cost bearer may differ. | Confirm the actual devanning party and scope of arrangements. |
Common Practical Issues
| Case | Main Cause | Supporting Documents | Key Points for Judgment | Initial Response |
|---|---|---|---|---|
| Devanning was postponed by three days due to the cargo owner’s circumstances. | Inspection or receipt preparation delays | Postponement instructions, delivery records, deadline notices | Whether the cargo owner was aware of the deadline overrun | Notify the cargo owner of the expected Detention charges and discuss earlier devanning. |
| Devanning was completed, but no return reservation was made. | Return coordinator overlooked arranging the reservation | Devanning completion notice, reservation history, task allocation | Who was responsible for making the return reservation | Secure the earliest available reservation slot to prevent further delays. |
| Depot was full and a reservation could not be made. | Insufficient reservation slots | Reservation screen, inquiry history, depot notifications | Was a reservation attempted promptly after return availability? | Check alternative depots and request deadline extensions. |
| The return location changed to a remote depot on the day before the planned return. | Return location change by the shipping line | Change notification, shared timestamp, dispatch records | Was reasonable return possible after the change? | Apply for extensions and fee reductions. |
| The drayage company missed the reception cutoff time. | Operation plan issues or delays from previous jobs | Operation logs, dispatch instructions, reception hours | Were return instructions and operation plans appropriate? | Arrange earliest return on the next business day. |
| Freight forwarder made a mistake on the delivery appointment date. | Insufficient verification of reservation details | Cargo owner instructions, reservation records, delivery instructions | Did the reservation details match the cargo owner’s instructions? | Rebuild alternative delivery and empty container return plans. |
| The return location change was not communicated to the drayage company. | Communication oversight | Change notification, emails, dispatch records | Who was responsible for communicating the change? | Rearrange for correct return location. |
| Return was refused due to floor damage. | Container damage claims | EIR, photos, damage report | Cause of damage and actions after return refusal | Confirm instructions from the shipping line and finalize return method. |
| Miscalculated Combined Free Time. | Mistook Demurrage and Detention as separate free periods | Applicable tariff, billing details | Which periods share the common free days? | Recalculate the correct Last Free Day. |
| Charged the cargo owner but could not present supporting cause documents. | Lack of chronological records | Quotation, billing details, emails, operation logs | Can the cargo owner’s cause be clearly explained? | Organize evidence documentation before billing. |
Practical Example 1: Detention Due to Delay in Devanning Caused by the Cargo Owner
The container arrived at the delivery destination on the scheduled date; however, the cargo owner's inspection personnel were absent, resulting in the container remaining unopened for three days and the empty container return deadline being exceeded.
In this case, it is necessary to confirm not only the fact that the cargo owner instructed the delay in devanning but also whether the return deadline was communicated in advance and whether the possibility of Detention charges was notified.
If proposals for early devanning before the deadline, devanning at an alternative warehouse, or changing the inspection method could have been made, consideration of whether these alternatives were evaluated will also be a relevant factor.
If the cargo owner was aware of the return deadline and still chose to postpone devanning, the cost responsibility is more likely to be attributed to the cargo owner.
Practical Example 2: When the Freight Forwarder Neglects to Make the Return Reservation
The devanning at the delivery destination was completed two days before the return deadline, and the empty container was ready for return. However, the freight forwarder, who had contractually accepted responsibility for the empty container return, did not make the return reservation, causing a two-day delay in the return.
In this case, it is necessary to verify whether the freight forwarder was indeed responsible for the empty container return, when they received the devanning completion notice, and whether reservation slots were available within the deadline.
If a reservation was possible within the deadline but the delay was caused simply by the freight forwarder’s oversight, the freight forwarder may be primarily responsible for the resulting Detention charges, subject to the applicable contract terms and the actual period of delay attributable to the omission.
If the reservation was made promptly after devanning completion but no slots were available, the delay period should be separated into the time attributable to the failure to reserve and the period caused by depot congestion.
Practical Example 3: When the Shipping Line Changes the Return Depot
The day before the empty container return, the shipping line notified that the return should be made to a distant depot instead of the original designated location. The new depot required a reservation, but the drayage company could not secure a slot before the return deadline.
Confirm the timing of the change notice, the time the freight forwarder shared this with the drayage company, the distance to the new depot, the reception conditions, and whether the return deadline was extended.
If the freight forwarder promptly shared the notice and inquired about an alternative depot and extension measures, this could be a basis for negotiating a waiver or reduction with the shipping line or NVOCC.
On the other hand, if the change notice was received but not shared with relevant parties until the following day, the delay period in response should be assessed separately.
Practical Example 4: When Container Return Is Refused Due to Damage
Damage to the container floor was pointed out at the return depot, and the return was not accepted as a normal completion. Subsequently, the shipping line's confirmation took time, and Detention continued.
First, compare the EIR at the CY gate-out, photos taken at gate-out, delivery photos, devanning operation records, and photos at return to identify the timing of the damage occurrence.
Next, confirm who inquired with the shipping line after the return refusal and when instructions for repair or return to another depot were received.
Even if the responsible party for the damage and the party bearing the repair cost are identified, if contact or repeat return arrangements after the refusal are unduly delayed, any additional Detention incurred during that period must be handled separately.
Detention Determination Checklist
| Checkpoint | Party to Confirm | Check Items | Actions if Issues Found |
|---|---|---|---|
| Upon Receipt of Invoice | Shipping line, NVOCC | Invoice description, applicable period, unit price, number of days | Match invoice details against the tariff. |
| Free Time Confirmation | Shipping line, NVOCC | Start date, Last Free Day, holiday calculation, Combined Free Time | Recalculate the applicable period. |
| CY Gate-out Confirmation | Terminal, drayage company | Actual gate-out date and time, gate-out EIR | Query discrepancies with the billing start point. |
| Delivery Confirmation | Cargo owner, importer, delivery destination, drayage company | Scheduled appointment date/time, actual delivery date, reason for changes | Determine which party requested or caused the change. |
| Devanning Confirmation | Cargo owner, importer, delivery destination, warehouse operator | Start time, completion time, reason for delay | Determine the earliest possible date for empty container return. |
| Return Appointment Confirmation | Freight forwarder, drayage company, depot | Booking personnel, application date/time, secured booking slot | Distinguish between booking omissions and insufficient slots. |
| Depot Congestion Confirmation | Return depot, shipping line, drayage company | Reception suspension, booking slots, waiting records, alternative depots | Apply for extension or fee reduction. |
| Return Location Change | Shipping line, NVOCC, freight forwarder | Notification time, distance, acceptance conditions, deadline extension | Distinguish between delays caused by late information sharing and circumstances attributable to the shipping line. |
| Damage Confirmation | Depot, shipping line, delivery destination, drayage company | EIR, photographs, repair instructions, period of refusal to return | Separate repair costs from Detention charges. |
| Before Invoicing Cargo Owner | Sales representative, management department, cargo owner | Quotation terms, cause of occurrence, basis of billing | Do not impose unconditionally; provide supporting materials and explanations. |
| Insurance Consultation | Insurance company or insurance agent | Legal liability, insurance type, notification deadline, related documents | Promptly notify of incident or claim. |
Documents to Confirm When Billing
| Document | What Can Be Verified | Practical Purpose |
|---|---|---|
| Billing Statement from Shipping Line / NVOCC | Billing item, applicable period, unit price, number of days, amount | Verify the basis of the billing calculation. |
| Applicable Tariff | Start date, free time period, holiday calculation, tiered pricing | Check if the billing details comply with the stated terms. |
| CY Gate-Out EIR | Date/time and condition when the container was taken out of the CY | Confirm the start point of the Detention period. |
| Free Time Notification | Last Free Day and container return deadline | Verify the deadline information provided. |
| Delivery Appointment and Delivery Records | Scheduled dates, actual delivery date, changes, and waiting periods | Identify causes of delay at the delivery stage. |
| Devanning Completion Record | Date/time when the empty container became available for return | Distinguish delays in devanning from delays in arranging return. |
| Return Reservation Records | Reservation application date/time, allocated time slot, facts of reservation failure | Confirm efforts to avoid delays and any missed reservations. |
| Return EIR | Actual return date/time and container condition upon return | Verify the end date of the Detention period. |
| Drayage Company Operation Records | Dispatch, waiting, inability to return, history of repeated return attempts | Confirm attempts made to return the container. |
| Depot / Shipping Line Notices | Depot closures, stoppage of acceptance, change of return location, deadline extensions | Confirm external circumstances and basis for negotiation on reductions or exemptions. |
| Email / Communication Records | Notices of return deadlines, sharing of changes, delivery postponements, work instructions | Confirm who knew what and when. |
| Quotation / Contract Terms | Conditions such as separate billing for Detention, actual costs charged separately by the shipping line | Verify the billing basis among involved parties. |
Detention and Insurance
Detention refers to additional charges resulting from delays in container return, not loss or damage to the cargo itself. Therefore, it is typically not covered under standard marine cargo insurance.
If the cargo itself is damaged due to container damage, insurance considerations for cargo damage and Detention should be evaluated separately.
In cases where liability arises from the freight forwarder’s failure to reserve return appointments, insufficient notification of return deadlines, or failure to share changes in return locations, freight forwarder liability insurance may potentially respond to such claims, depending on the insured’s legal liability, policy terms, exclusions, deductible, and notification requirements.
However, coverage depends on factors such as legal responsibility, insurance clause provisions, exclusions, claim notification deadlines, deductibles, and the actual scope of entrustment. If a claim or potential incident is identified, consult the insurance company or insurance agent promptly.
Practical Points of Caution
When organizing responsibility for Detention, start by constructing a timeline from CY gate-out to empty container return, rather than beginning with the billed amount.
Confirm when the empty container became returnable, who was responsible for arranging the return booking, and what specific factors prevented its timely return.
The Contractual Bill-to Party is not necessarily the same as the Ultimate Cost Bearer among the parties involved.
Also, there may be multiple causes of the delay. For example, if a delayed devanning on the cargo owner’s side was followed by the freight forwarder’s omission of the return booking, or if information sharing was delayed after a change of return location, examine each cause separately by period.
Even in cases of depot congestion, return location changes, or container damage, verify the efforts made toward return, any application for deadline extension, alternative proposals, and measures to prevent further delay.
Summary
Detention generally refers to the excess container use charge incurred when an import FCL container is not returned empty within the free time after being gated out from the CY or terminal.
However, the terminology, applicable period, calculation start date, holiday considerations, and criteria for confirming return completion vary depending on the shipping line, NVOCC, trade route, and applicable tariff.
In determining responsibility, the Invoicing Party, the Contractual Bill-to Party, and the Ultimate Cost Bearer must be identified separately.
The Ultimate Cost Bearer is determined by reviewing the actual cause of the delay, the scope of services entrusted to each party, the return-deadline guidance, the earliest time when return became possible, the reservation status, and whether the delay and resulting charges could have been avoided or mitigated.
The mere fact that Detention has occurred does not establish who is responsible for managing empty container returns or who ultimately bears the costs.
This article explains general import FCL practical operations and does not determine legal liability, final cost allocation, possibility of indemnity claims, or insurance payment eligibility in individual cases. Actual decisions should be made after reviewing the transportation contract, House B/L, clauses, applicable tariffs, quotation terms, work instructions, EIR, communication records among parties, and the specific facts of each case.
