(d) Annual subscriptions to Commission publications for which there are regular mailing lists are available at the charges indicated below for calendar year terms. Subscriptions for periods of less than a full calendar year will be prorated on a quarterly basis. No provision is made for refund upon cancellation of subscription by a purchaser.

(1) Orders, notices, rulings, and decisions (initial and final) issued by hearing examiners and by the Commission in all formal docketed proceedings before the Federal Maritime Commission are available at an annual subscription rate of $30.

(2) Final decisions (only) issued by the Commission in all formal docketed proceedings before the Commission are available at an annual subscription rate of $10.

(3) General orders of the Commission, including all proposed and final rules, are available at an annual subscription rate of $2 (initial annual subscription will entitle the purchaser to a complete set of current General Orders issued to date).

(4) Exceptions: No charge will be made by the Commission for notices, decisions, orders, etc., required by law to be served on a party to any proceeding or matter before the Commission. No charge will be made for single copies of Commission publications individually requested in person or by mail. In addition a subcription to Commission mailing lists will be entered without charge when one of the following conditions is present:

(i) The furnishing of the service without charge is an appropriate courtesy to a foreign country or international organization.

(ii) The recipient is another governmental agency, Federal, State, or local, concerned with the domestic or foreign commerce by water of the United States or, having a legitimate interest in the proceedings and activities of the Commission.

(iii) The recipient is a college or university.

(iv) The recipient does not fall into subdivision (i), (ii), or (iii) of this subparagraph, but is determined by the Commission to be appropriate in the interest of its program.

(e) Transcripts of testimony and of oral argument are furnished by a nongovernmental contractor, and may be purchased directly from the reporting firm.

§ 506.2

Imposition of equalization fees or charges.

The Federal Maritime Commission, in order to counteract the adverse effect of fees or charges imposed by a foreign government which discriminate, directly or indirectly, against vessels documented under the laws of the United States, will impose equalizing fees or charges against vessels flying the flag of the discriminating country or vessels owned, operated, or chartered by shipping companies to which such foreign government has extended the same preferential treatment accorded to vessels flying the flags of the discriminating country, and/or the users of the services of said vessels.

§ 506.3 Other off-setting regulations.

If and when other discriminatory practices against vessels documented under the laws of the United States are found to exist, off-setting regulations will be imposed by the Federal Maritime Commission.

86-102-68-37

§ 506.4 Discriminations in the U.S.Uruguayan trade.

(a) The Federal Maritime Commission has determined that the Government of Uruguay is engaged in discriminatory practices against vessels of United States registry and in favor of national flag vessels of Uruguay. Such national flag vessels are herein referred to as "favored vessels."

(b) The owner of any favored vessel carrying exports from the United States to Uruguay, or the operator of such vessel if operated by a person or company other than the owner, shall within four (4) days after departure of the vessel from the last United States port of call file with the Federal Maritime Commission, Office of International Affairs and Relations, Washington, D.C., 20573, a complete manifest of all such cargo carried by such vessel. Such manifest shall

show for each shipment thereon the origin, destination, quantity or description, and the CIF value, and shall further stipulate whether such shipment is entitled to exoneration from 50 percent of the surcharge established by Article 1 of the decree dated April 14, 1963, or is exempt from the 6 percent tax on transfer of funds abroad established by Article 6 of law 11924 of March 27, 1953.

(c) The owner or operator of every favored vessel shall take appropriate steps to obtain the information and documents required in order to comply with the provisions of this section.

(d) In order to adjust or meet the unfavorable conditions caused by the decree of June 13, 1963, as amended by the 'decree dated November 24, 1964, the owner or operator of each favored vessel

carrying exports between the United States and Uruguay shall be subject, insofar as goods covered by Article 1 of the decree dated April 14, 1963, are concerned, to an equalizing charge of fifteen percent of the CIF value of all such cargoes covered. On the cargoes which are covered by the provisions of Article 5 of law 12670 of December 17, 1959, an equalizing charge of six percent of the CIF value shall be assessed. Such charges shall be paid directly to the Federal Maritime Commission, Washington, D.C., 20573, for the account of the Treasurer of the United States, and shall be remitted within ten (10) days after demand for payment.

(e) Whoever fails to comply with the provisions of this section shall be subject to all applicable remedies and penalties provided by law, in addition to the charges imposed by paragraph (d) of this section.

(f) The provisions of this section shall not apply to exports from the United States to Uruguay as to which the Federal Maritime Commission hereafter finds Uruguay has ceased to employ or enforce its preferential and discriminatory surcharges and transfer taxes. The Federal Maritime Commission may from time to time by appropriate notice modify the charge prescribed by paragraph (d) of this section, if the Commission finds that such modification is required in order to adjust or meet the discriminatory routing practices of Uruguay. [29 F.R. 16195, Dec. 3, 1964, as amended at 29 F.R. 17121, Dec. 15, 1964]

NOTE: The effective date for § 506.4 was postponed from January 4, 1965 until further order of the Commission, 30 F.R. 35. Jan. 5, 1965.

(a) An "independent ocean freight forwarder" is a person carrying on the business of forwarding for a consideration who is not a shipper or consignee or a seller or purchaser of shipments to foreign countries, nor has any beneficial interest therein, nor directly or indirectly controls or is controlled by such shipper or consignee or by any person having such a beneficial interest.

(b) The term "carrying on the business of forwarding" means the dispatching of shipments by any person on behalf of others, by oceangoing common carriers in commerce from the United States, its Territories, or possessions to foreign countries, or between the United States and its Territories or possessions, or between such Territories and possessions, and handling the formalities incident to such shipments.

(c) The term "freight forwarding service or dispatching of shipments" means a service rendered by an independent ocean freight forwarder on behalf of other persons in the process of dispatching or facilitating an export shipment as authorized by such persons. Such service includes, but is not limited to, the following: Examining instructions and documents received from shippers; ordering cargo to port; preparing or processing export declarations; booking cargo space; preparing or processing delivery orders and dock receipts; preparing instructions to truckmen or lightermen, or arranging for, or the furnishing of trucks and lighters; preparing and processing ocean bills of lading; preparing or processing consular documents and arranging for their certification; arranging for or fur

nishing warehouse storage when necessary; arranging for insurance when so instructed; clearing shipments in accordance with United States Government regulations; preparing advice notices of shipments and sending copies thereof to banks, shippers, or consignees as required; sending completed documents to shippers, banks, or consignees as directed; advancing necessary funds in connection with the foregoing; providing supervision in the coordination of services rendered to shipments from origin to vessel; rendering special services on unusual shipments or when difficulties in transit arise; and giving expert advice to exporters as regards letters of credit, licenses, inspections.

(d) The term "person" includes individuals, corporations, partnerships, associations, and other legal entities existing under or authorized by the laws of the United States, or any State, Territory, District or possession thereof, or the Commonwealth of Puerto Rico, or of any foreign country.

(e) The term "Commission" means the Federal Maritime Commission. § 510.3 Licenses, when required.

(a) No person shall engage in carrying on the business of forwarding as defined herein unless such person holds a license issued by the Federal Maritime Commission to engage in such business. A license to carry on the business of forwarding may be granted by the Commission upon application submitted in accordance with the regulations in this part.

(b) In order to comply with section 44(b), of the Shipping Act, 1916, as amended (P.L. 87-254, approved September 19, 1961), a freight forwarder who on September 19, 1961, held a valid certificate of registration, issued pursuant to 46 CFR Part 244 (General Order 72 (15 F.R. 3153)) must file an application on Form FMC-18,1 prescribed herein, on or before midnight January 17, 1962, in order to continue in the business of forwarding pending action of the Commission on such application.

(c) Application for a license as an independent ocean freight forwarder shall be made on Form FMC-18 (Application for a License as an Independent Ocean Freight Forwarder), copies of which may be obtained from the Secretary, Federal Maritime Commission, Washington, D.C., 20573.

1 Form filed as part of original document.

§ 510.4 Licenses, when not required.

(a) Any person whose primary business is the sale of merchandise may dispatch such merchandise without a license.

(b) An employee of a licensed independent ocean freight forwarder is not required to be licensed in order to act solely for his employer; but each licensed independent ocean freight forwarder will be held strictly responsible for the acts or omissions of his employees. § 510.5

Requirements for licensing.

(a) A forwarder's license shall be issued to any qualified applicant therefor if it is found that the applicant is, or will be, (1) an independent ocean freight forwarder as defined herein, (2) fit, willing, and able properly to carry on the business of forwarding and to conform to the provisions of the Shipping Act, 1916, as amended, and the requirements, rules, and regulations of the Commission issued thereunder, and (3) that the proposed forwarding business is, or will be, consistent with the national maritime policies declared in the Merchant Marine Act, 1936; otherwise such application shall be denied.

(b) A person desiring to engage in carrying on the business of forwarding shall submit to the Secretary, Federal Maritime Commission, Washington, D.C., 20573, an application in triplicate, executed on Form FMC-18, hereby prescribed for this purpose. Such application shall be accompanied by an application fee of $100.00 by money order, certified or cashier's check, made payable to the Federal Maritime Commission. The application fee shall be returned only when application for return is made within one year of denial of the license or one year from the date of adoption of the rule, whichever is later, and when on the face of the application the applicant fails to meet the requirements of section 44, Shipping Act, 1916, or the regulations promulgated thereunder. In no event shall the application fee be returned where a field investigation of applicant's qualifications has been conducted, or an application has been denied on the basis of a hearing pursuant to § 510.8(a). Applications denied prior to hearing, without prejudice, may be refiled on the basis of changed facts within one year of the denial or one year from the date of adoption of this rule, whichever is later, without additional fee.

(c) Each applicant for a license and each independent ocean freight forwarder to whom a license has been issued, shall submit to the Commission each change of business address, and any other changes in the facts called for in Form FMC-18, within 30 days after such changes occur, and any other additional information required by the Commission.

(d) The applications received will be assigned application numbers and each applicant will be informed as to the number assigned to his application.

(e) In the case of applicants who may continue in the business of forwarding under section 44(b), Shipping Act, 1916, as amended, each such applicant shall, pending issuance of his license, conduct his ocean freight forwarding operations under the registration number previously assigned him under the provisions of 46 CFR Part 244 (General Order 72) and the application number. After a license number has been assigned, such operations shall be conducted under that number only. Such license number shall be set forth on the licensee's letterhead, invoices and shipping documents.

(f) Prior to the issuance of a license to an independent ocean freight forwarder such forwarder shall file with the Commission, a bond in such form and amount as the Commission by rule may require. The said bond shall be kept in effect as long as the license remains effective.

(g) (1) The purpose of this paragraph is to prescribe a temporary bonding rule and establish the form and amount of a surety bond to be filed with the Federal Maritime Commission by applicants for licenses as independent ocean freight forwarders, who on September 19, 1961, were not operating under a registration number issued by the Commission or who were so operating but failed to file an application for license in the prescribed form on or before January 17, 1962. This requirement is not applicable to other ocean freight forwarders.

(2) A rulemaking proceeding will be instituted at a later date for the promulgation of a bond in such form and amount as the Commission may require for industry-wide applicability. All applicants temporarily licensed upon the basis of the bond prescribed herein will be required to comply with any future bonding regulations adopted by the Commission.

($ ------) for the payment of which sum well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, firmly by these presents.

Whereas, Principal has applied, or is about to apply, for a license as an independent ocean freight forwarder pursuant to section 44 of the Shipping Act, 1916, and has elected to file this bond with the Federal Maritime Commission;

Now, therefore, the Condition of this obligation is such that if the Principal shall, while this bond is in effect supply the services of an independent ocean freight forwarder in accordance with the contracts, agreements, or arrangements made therefor, then this obligation shall be void, otherwise to remain in full force and effect.

The liability of the Surety shall not be discharged by any payment or succession of payments hereunder, unless and until such payment or payments shall aggregate the penalty of this bond, and in no event shall the Surety's total obligation hereunder exceed said penalty.

This bond shall inure to the benefit of any and all persons for whom the Principal shall have undertaken to act as an independent ocean freight forwarder.

This bond is effective the

day of

196--, and shall continue in effect until discharged or terminated as herein provided. The Principal or the Surety may at any time terminate this bond by written notice to the Federal Maritime Commission at its office in Washington, D.C. Such termination shall become effective thirty (30) days after receipt of said notice by the Commission. The Surety shall not be liable for any contracts, agreements, or arrangements made by the Principal after the expiration of said thirty (30) day period but such termination shall not affect the liability of the Principal and Surety for any breach of the Condition hereof occurring prior to the date when said termination becomes effective.

By

By

address)

(Title)

(h) (1) The purpose of this paragraph is to prescribe a temporary bonding rule applicable only to applicants for licenses as independent ocean freight forwarders not otherwise provided for in paragraph (g) of this section.

(2) The Commission shall notify applicants for license subject to subparagraph (1) of this paragraph of their qualification for the issuance of a license. Within 30 days of such notice the applicant shall file with the Commission a surety bond in the form and amount prescribed in paragraph (g) of this section. The Commission may, upon a showing of good cause, extend the time within which to file said surety bond.

(3) If no bond is filed within the period prescribed in this subpart, the Commission shall issue a notice of intent to deny the application in accordance with § 510.8. If no request for a hearing is filed within the time prescribed therein, the Commission shall deny the application.

[G.O. 4, 26 F.R. 12252, Dec. 22, 1961, as amended by Amdt. 2, 27 F.R. 4478, May 10, 1962; Amdt. 4, 28 F.R. 368, Jan. 15, 1963; Amdt. 6, 29 F.R. 12076, Aug. 25, 1964]