420: LogTech Live: Logistics Technology in the $3.6 Billion Drayage Market

Eric Johnson of LogTech Live talks about the new FMC detention and demurrage billing rules - the changes, challenges & what they mean for businesses.     IN THIS EPISODE WE DISCUSS:   [06.58] The latest from Eric – an update from Home Delivery World, two upcoming events, and how to get involved with the Blended Pledge. "Remember when everyone said 'when the pandemic is over, everything will slow down' – it didn't, it never slows down!" [11.52] The big industry news of the week. "Now we've had Convoy and Transfix, within 6 months of each other, become defunct as brokerage brands… A lot of people are talking about whether the digital brokerage model worked on its own (as it was pitched to VC's a decade ago)." [17.31] An introduction to Eric's guest, Alexandra Griffon, and her company BlueCargo. "Historically truckers and drayage providers were the ones risking the per diem, detention, and demurrage costs, but this has changed. Shippers want to internalize this cost, and have control… Between 2020 and 2022, US importers, forwarders, and drayage companies paid $15 billion – that's the lack of control they don't want to go back to!" [23.35] The new detention and demurrage rules issued by the FMC – the big changes and what they mean for businesses. "Now it's 30 days to issue an invoice, and another 30 days to issue a dispute or challenge – it's a very strict timeline. And there are new data requirements that have to be on an invoice for it to be deemed valid." [33.03] From data to the burden of responsibility, the biggest challenges with the new rules and regulations. "It's very hard to make sure your data is accurate. Just something as simple as the start or end date sometimes varies based on the source…. Having the data is a good thing… but there are lots of gray areas." [47.16] When the new rules took effect, and how the dates impact what you can dispute now. "You need to engage to get your own access to the original source of data." [50.57] Alexandra's favorite song. [53.18] Eric's best 'Dad Joke' of the week!   RESOURCES AND LINKS MENTIONED:   Explore more industry news over on Journal of Commerce, and connect with Eric on LinkedIn. If you enjoyed the show, there are plenty more episodes of LogTech Live to explore. And if you want to hear even more from the super-knowledgeable Eric Johnson, you can also catch him on episode 238 and episode 300.