Demurrage Rule

This page is accessed via Contract and Rate Management > Contract Management > Demurrage Rule.

Use this page to define rules for defining demurrage, detention and storage chargeable days and charges. These rules will vary by carrier (railroad) equipment controlled (railroad or private These rules will vary by carrier (railroad) equipment controlled (railroad or private), equipment type, commodity and location. It captures breakdown for the credit days (free days), for example load and unload time allowed, holidays, free on weekends, and so on. Additionally, it provides a flexible way to define dwell days based on different start and stop times events.

Note: If offset definitions are set up, they can impact charges by determining when the demurrage clock starts.

How OTM Chooses the Rules to Use

1. Compatible demurrage rules for a particular demurrage transaction is identified based on following attributes mapping.

1. • Reporting SCAC is checked with demurrage transaction’s reporting SCAC attribute.
   • Region compatibility is checked using Demurrage Transactions Location attributes (like City, State/Province, Country, SPLC Location ID).
   • Equipment Owner & AAR car compatibility is checked using Demurrage Transaction’s AAR Car Type and Equipment Initial Attributes.
   • Equipment Mark List & Equipment Number (Low & High) compatibility is checked using Demurrage Transactions Equipment Initial & Number Attributes.
   • Flex Commodity Profile ID compatibility is checked using Demurrage Transactions first item of the inbound or outbound shipment.
   • Flex Commodity Profile ID compatibility is checked using Demurrage Transactions inbound or outbound shipment’s specific commodities.
   • Equipment Group Profile ID compatibility is checked using Demurrage Transactions Equipment Type Attribute
   • Involved Party Qualifier ID and Contact Profile ID compatibility is checked using Demurrage Transaction's Demurrage Transaction Involved Party Qualifier and Contact ID.
   • Contract Number compatibility is checked using Demurrage Transaction's Demurrage Transaction Refnum Qualifier -corresponding to Contract Number, which is defined as a parameter “DEMURRAGE CONTRACT NUMBER REFNUM QUALIFIER ID” in the parameter group “DEMURRAGE MANAGEMENT”
   • Compatibility is checked using Demurrage Transaction's Demurrage Transaction Refnum Qualifier -corresponding to Contract Number, which is defined by the demurrage property glog.demurrageTransaction.refnumQual.contractNo.

2. The Demurrage Rule manager provides the capability to define very specific and/or generic demurrage rules based on the customer needs using the combination, reporting SCAC, location, equipment, commodity, contract number and involved party (consignee or shipper specific rules). Below is the order by which specific to generic demurrage rules are identified.

1. • Region ID (region with most specific geo hierarchy with respect to demurrage transaction location).
   • AAR Car Type (Descending) The AAR Car Type is also known as Equipment Type Code.
   • Equipment Mark List
   • Equipment Owner Type (Equipment Owner Type is determined based on the Equipment Initial i.e., if Equipment Initial ends with 'X' then Equipment Owner Type is 'P' (Private) else Equipment Owner Type is 'C')
   • Equipment Number
   • Contract Number
   • Involved Party Qualifier ID

3. You can model demurrage rule specific equipment or a group of equipment in the following ways:
   • Using Equipment Owner Type, AAR Car Type, Equipment Mark List, Equipment Number (Low) & Equipment Number (High)
     OR
   • Equipment Group Profile
4. Each demurrage rule can have multiple chargeable types that can get applied for a particular demurrage transaction. For example, in the case of intermodal, both storage and detention can be applied. Now based on Activity Type, determine the applicable chargeable types by comparing the activity type on demurrage rule details with activity type of demurrage transaction and retrieved all the chargeable types under this rule.

Adding a Demurrage Rule

1. Enter a Demurrage Rule ID.
2. Enter a Description.
3. Select the Active check box if this rule should be active.
4. Accept the default Domain Name or select another.
5. Enter an Effective Date and Expiration Date.

Criteria

1. Enter the Contract Number.
2. Enter the Involved Party Qualifier ID. If this is set, also set Contact Profile ID.
3. Enter the Contact Profile ID.
4. Enter the Reporting SCAC ID. This defines a service provider specific demurrage rule.
5. Enter the Region ID. This is used to define demurrage time and charges specific to location or group of locations. It is possible that the demurrage transaction can be captured at a specific OTM defined location or at a generic city, state, country level. In such instances, the region group concept can be used where the different geographic hierarchies can be used to define the grouping which is not possible with location profile.
6. Enter the AAR Car Type.
7. Enter the Equipment Owner Type.
8. Enter the Equipment Mark List.
9. Enter the equipment number range, both the Equipment Number (Low) and Equipment Number (High).
10. Enter the Equipment Group Profile ID. This is used to define demurrage time and charge specific to the equipment group.
11. Enter the Flex Commodity Profile ID. This defines demurrage time and charges specific to a commodity (STCC or user defined commodity).
12. Enter the Start SCAC ID. This defines the service provider specific start event reporting SCAC.
13. Enter the Start Region Group ID. This defines rules based on demurrage start event location. You can use region to use the same rule for multiple start locations, stations and so on.
14. Enter the End SCAC which defines the service provider specific end event reporting SCAC.
15. Enter the End Region Group ID.

Charge Details

This section is for specifying the details for the charges.

1. Enter a Rate Offering ID. The demurrage time based charges are defined by linking the rate offering to the demurrage rule. Usually the rate offering type that would be linked is a type of demurrage.
2. Enter a Rate Record ID. The demurrage time based charges are defined by linking the rate record to the demurrage rule.

Chargeable Days Details

Click the New Chargeable Days Details button to add details for days to be charged.