Shipping Lawyer Port and Terminal Law 1 — Questions and Answers
Question 1: What U.S. federal agency oversees the security of U.S. ports and maritime facilities?
- Federal Maritime Commission
- U.S. Coast Guard (Correct answer)
- Transportation Security Administration
- U.S. Army Corps of Engineers
Correct answer: U.S. Coast Guard
The U.S. Coast Guard, under the Maritime Transportation Security Act (MTSA), is the lead federal agency for maritime security and oversees port facility security plans.
Question 2: What is a 'port tariff' and what legal obligation does it create for vessels?
- An environmental fee charged at port
- A published schedule of port charges and conditions that legally binds vessels calling at that port (Correct answer)
- A customs duty schedule for cargo
- A pilotage fee schedule set by the Coast Guard
Correct answer: A published schedule of port charges and conditions that legally binds vessels calling at that port
A port tariff is a public schedule of fees, rules, and conditions published by a port authority; vessels calling at the port are legally bound by the tariff's terms upon entry.
Question 3: What is compulsory pilotage and under what legal framework is it enforced in U.S. ports?
- A requirement for all vessels to install electronic navigation systems
- A legally mandated requirement for foreign-flagged vessels to take on a licensed harbor pilot, governed by state law (Correct answer)
- A federal licensing requirement for all vessel masters
- A Coast Guard inspection requirement before port entry
Correct answer: A legally mandated requirement for foreign-flagged vessels to take on a licensed harbor pilot, governed by state law
Compulsory pilotage requires foreign vessels (and sometimes U.S. vessels) to engage a licensed state pilot for navigation in designated waters; it is primarily regulated by state pilot commissions.
Question 4: What is the 'Marine Terminal Operator Schedule' (MTOS) and who files it?
- A vessel arrival schedule published by ports
- A tariff-like document filed with the FMC by marine terminal operators setting rates and rules for terminal services (Correct answer)
- An environmental compliance plan for terminals
- A labor scheduling document for longshoremen
Correct answer: A tariff-like document filed with the FMC by marine terminal operators setting rates and rules for terminal services
Marine terminal operators must file an MTOS with the FMC, publicly disclosing all rates, rules, and practices governing their terminal services for vessel and cargo owners.
Question 5: What is 'wharfage' as a port charge?
- A charge for harbor pilotage services
- A fee assessed on cargo for the use of a wharf or dock facility during loading or discharge (Correct answer)
- A vessel berthing fee
- An anchorage charge for vessels waiting offshore
Correct answer: A fee assessed on cargo for the use of a wharf or dock facility during loading or discharge
Wharfage is a fee charged by terminal or port operators on cargo passing over or using the wharf, typically calculated per ton or per container.
Question 6: Under the Longshore and Harbor Workers' Compensation Act (LHWCA), who is covered?
- Seamen employed on vessels in navigation
- Maritime workers, other than seamen, injured on or near navigable waters in the course of maritime employment (Correct answer)
- All port employees regardless of work location
- Only longshoremen employed directly by vessel owners
Correct answer: Maritime workers, other than seamen, injured on or near navigable waters in the course of maritime employment
The LHWCA provides workers' compensation benefits to maritime workers (stevedores, longshoremen, ship repairers) injured in the course of employment on or adjoining navigable waters.
What U.S. federal agency oversees the security of U.S. ports and maritime facilities?