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Fundamentals

OSRA 2022: your rights on US demurrage & detention invoices

What the US Ocean Shipping Reform Act (OSRA 2022) and the FMC's billing rules require on every D&D invoice — the thirteen required fields, the incentive principle, and how to use non-compliance in a dispute.

Updated 2026-10-30

What OSRA changed

The Ocean Shipping Reform Act of 2022 rebalanced US demurrage & detention billing. The FMC's rules under it require carriers to issue D&D invoices containing specific minimum information — including the billed party's identity, container and BL numbers, the billing dates and rate basis, the free time start and end, and who to contact to dispute — and set timing rules for issuing invoices and resolving disputes.

Underlying it is the FMC's 'incentive principle' from its 2020 interpretive rule: demurrage and detention are only reasonable when they can actually incentivise cargo movement. Charging for days when the box could not be collected — a government hold the importer didn't cause, a terminal with no appointments — fails that test.

How to use it

On US trades, check every D&D invoice for the required fields before you check the maths. A materially non-compliant invoice is challengeable as issued; cite the FMC billing requirements in the dispute. Then check the days themselves against the incentive principle — document the hold or the appointment shortage and dispute those days specifically.

Outside the US there is no OSRA, but the same logic wins commercially: contracts and reasonableness arguments carry disputes everywhere, and carriers apply their US-grade invoice discipline unevenly across other trades — which is where errors live.

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Frequently asked

Does OSRA apply to detention as well as demurrage?

Yes — the FMC's billing requirements cover both demurrage and detention invoices on US trades.

What if the carrier's invoice is missing required information?

Raise it in the dispute: a non-compliant invoice undermines the charge as billed. Carriers frequently reissue or credit rather than defend a defective invoice.

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