Home / Logistics Knowledge / Laden and Empty Containers: Free Time and Charges
A laden container holds cargo and is sealed; an empty container does not. An FCL export moves the same box through both states: collected empty from the depot, loaded at the factory, gated back in as a laden container, then stripped at destination and returned empty within free time. Understanding the two states is most of what keeps demurrage and storage off your invoice.
An empty container is collected from the depot the carrier nominates, and its condition is recorded on the equipment interchange receipt when it is picked up. A laden container has been loaded, secured, weighed, and sealed with a customs seal, and is ready to be loaded onto the vessel.
| Empty container | Laden container | |
|---|---|---|
| Direction of travel | Depot to factory | Factory to depot or terminal |
| Sealed | No | Customs seal applied and number recorded |
| Inspection | Condition noted at pick-up | Weighed before gate-in; overweight addressed |
| Charge clock starts | Free time runs from pick-up | Free time at destination runs from discharge or collection |
| Main risk | Sitting idle and running out of time | Overweight, seal mismatch, document mismatch |
An overweight container runs into two separate sets of limits: the container's own maximum gross weight and the carrier's or terminal's operating limit, which decide whether it can be shipped, and road vehicle limits, which decide whether it can leave the factory gate.
| Stage | Limit set by | Consequence |
|---|---|---|
| Container | Maximum gross weight including the tare | Cannot be shipped, or cargo has to be removed |
| Carrier | Lane and terminal operating limits | Overweight surcharge or refusal of the booking |
| Road | Vehicle and road regulations | Cannot leave the factory, or needs splitting across vehicles |
| Terminal | Gate-in weight ceilings | Refused at the gate |
| Charge | What is occupied | Clock starts |
|---|---|---|
| Demurrage | The container itself, held beyond free time | Charged per day once free time expires |
| Detention | The container held outside the terminal beyond free time | Charged per day once free time expires |
| Storage | Space in the terminal or depot | Charged per day once free storage expires |
Demurrage and detention look at the equipment, because a carrier's box sitting idle or tied up disrupts its fleet rotation. Storage looks at space, because the cargo or container is occupying terminal or depot ground. The two can run at the same time, and commonly do when clearance at destination is slow.
Responsibility for dents, distortion, or contamination during the container's movement turns on the equipment interchange receipt at pick-up and at return. Damage that was not recorded at pick-up is attributed to the party that collected it.
A laden container has been loaded, secured, weighed, and sealed and is ready for the vessel. An empty container holds no cargo and is collected from the carrier's depot. They differ in direction of travel, inspection requirements, and when the charge clock starts.
A laden container incurs demurrage and storage once destination free time expires. An empty container running idle after pick-up at origin, or not returned at destination within free time, incurs the same overrun charges. Free time is the dividing line in both cases.
Demurrage relates to the container itself being held beyond free time. Detention relates to the container being held outside the terminal beyond free time. Both are charged by the carrier. Storage is charged by the terminal or depot for the space the cargo or container occupies.
It is set by the carrier, counted separately at origin and destination, and normally tighter at destination. The exact number of days comes from the booking confirmation and bill of lading terms, and can differ between carriers at the same port.
Declare the actual gross weight at booking. Exceeding the carrier's or terminal's limit means cargo has to be removed or an overweight surcharge applies, and exceeding road limits means the container cannot leave the factory. Judge from weighed figures, not the theoretical payload.
It will be attributed to you at return, and you will be charged for repair or cleaning. The interchange receipt is the only effective evidence, so inspect the shell, doors, floor, and seals at pick-up and record anything unusual with photographs.
The return receipt, which is the returned copy of the equipment interchange receipt. Without it there is no evidence the container was returned, and overrun liability remains with whoever collected it, so ask for it immediately on return.
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