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Insurance, Legal & Finance

Confidentiality Urged Under US 24 Hour Rule

The issue of terrorism has brought about the need for governments and world organisations to consider the creation of anti-terrorist legislation and preventative programmes to regulate international commerce and the transportation of goods. America has already instituted such legislation and preventative measures.

Under the 24 Hour Rule, the carrier must give US Customs a manifest 24 hours before cargo is loaded aboard a vessel in a foreign port.
Under the 24 Hour Rule, the carrier must give US Customs a manifest 24 hours before cargo is loaded aboard a vessel in a foreign port.

The EC has been in talks with the US in an attempt to set a security standard which would apply to all European ports. It is intended that once such an agreement has been reached and made obligatory in the European Community, it would replace bilateral agreements made by some ports and member governments to implement America's Container Security Initiative.

These agreements have raised European Law issues of an anti-competitive nature, while the 24 Hour Rule published by the US Federal Register, requiring the carrier to give the Customs and the Port of Protection a manifest 24 hours before cargo is loaded aboard a vessel in a foreign port, raises issues in the area of data protection. These are issues causing concern not only in Europe but also in other countries including America's common border neighbour, Canada.

The Marine and Goods in Transit Division of City of London law firm Davies Lavery has issued a report saying that the standard to be agreed between the US and EC should not create differences between EC ports and member states.

It adds that anti-terrorist measures must be made according to the interests of countries worldwide and not just follow what has already been implemented in the US.

Legislation must protect the needs of the majority but also the rights of minorities such as freight forwarders.

It is the Federal Maritime Commission's intention to protect against abuse of US maritime laws, but the Davies Lavery report questions if they should publish information thus acquired which may help them in detecting breaches unrelated to anti-terrorism and , at the same time, give others free access to the forwarders' client's details. The report suggests it would be preferable to have a blanket confidentiality concerning manifests required to be issued in compliance with security legislation.

In addition to issues of commercial confidentiality, without such privacy terrorists could access the information and use evidence of regular orders and other patterned information to help plan the very attacks that the 24 hour manifest rule is designed to assist in preventing.

MJ Information No: 18701

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Under the 24 Hour Rule, the carrier must give US Customs a manifest 24 hours before cargo is loaded aboard a vessel in a foreign port.

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