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B-157537, NOV. 3, 1966

B-157537 Nov 03, 1966
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INC.: REFERENCE IS MADE TO YOUR LETTER OF SEPTEMBER 26. THE SHIPMENT WAS DESCRIBED ON THE BILL OF LADING AS 4 SKIDS OF AIRCRAFT PARTS. YOUR REQUEST FOR RECONSIDERATION IS BASED ON THE CONTENTION THAT THE COMMODITY WAS "ONE BARE WRAPPED ARTICLE" MOUNTED ON A SKID WITHIN THE MEANING OF NOTE 4 OF RULE 40 OF NATIONAL MOTOR FREIGHT CLASSIFICATION A-6. YOU MAINTAIN THAT THE NATIONAL CLASSIFICATION BOARD HAS RULED THAT THE KITS ARE CORRECTLY DESCRIBED AS "AIRCRAFT PARTS. IT APPEARS TO BE YOUR VIEW THAT EVEN THOUGH THE KITS ARE COMPRISED OF DIFFERENT PARTS. THE QUICK ENGINE CHANGE KITS IN THESE SHIPMENTS ARE A COMBINATION. THE ITEM IS NOT AN "ARTICLE" DESCRIBED IN THE NATIONAL MOTOR FREIGHT CLASSIFICATION.

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B-157537, NOV. 3, 1966

TO WESTERN GILLETTE, INC.:

REFERENCE IS MADE TO YOUR LETTER OF SEPTEMBER 26, 1966, FILE W-G O/C 22- 034285, REQUESTING RECONSIDERATION OF OUR DECISION DATED MARCH 24, 1966, WHICH SUSTAINED THE SETTLEMENT DISALLOWING YOUR CLAIM FOR ADDITIONAL FREIGHT CHARGES ON A SHIPMENT OF QUICK ENGINE CHANGE KITS (WITHOUT ENGINES) MOVING ON GOVERNMENT BILL OF LADING B-8432817 FROM BANGOR, MAINE, TO ARDMORE, OKLAHOMA, IN JUNE 1963. THE SHIPMENT WAS DESCRIBED ON THE BILL OF LADING AS 4 SKIDS OF AIRCRAFT PARTS, NOI, OTHER THAN CLOTH AND METAL OR WOOD COMBINED.

YOUR REQUEST FOR RECONSIDERATION IS BASED ON THE CONTENTION THAT THE COMMODITY WAS "ONE BARE WRAPPED ARTICLE" MOUNTED ON A SKID WITHIN THE MEANING OF NOTE 4 OF RULE 40 OF NATIONAL MOTOR FREIGHT CLASSIFICATION A-6, AND THAT THE 10 PERCENT PACKING PENALTY ASSESSABLE ON THE SHIPMENT UNDER RULE 50 OF THE CLASSIFICATION. YOU MAINTAIN THAT THE NATIONAL CLASSIFICATION BOARD HAS RULED THAT THE KITS ARE CORRECTLY DESCRIBED AS "AIRCRAFT PARTS, NOI.' IT APPEARS TO BE YOUR VIEW THAT EVEN THOUGH THE KITS ARE COMPRISED OF DIFFERENT PARTS, THE COMBINING OF A SUBSTANTIAL NUMBER OF THEM INTO A SEMICOMPLETE ASSEMBLY MAKES THEM A SINGLE "ARTICLE.'

AS STATED IN OUR PREVIOUS DECISION, THE QUICK ENGINE CHANGE KITS IN THESE SHIPMENTS ARE A COMBINATION, OR ASSEMBLY OF INTERNAL COMBUSTION ENGINE PARTS AND AIRPLANE PARTS. THE ITEM IS NOT AN "ARTICLE" DESCRIBED IN THE NATIONAL MOTOR FREIGHT CLASSIFICATION, AND THE "AIRCRAFT PARTS, OI" DESCRIPTION IS APPLICABLE ONLY BY VIRTUE OF RULE 100 (COMBINATION ARTICLE RULE) OF THE CLASSIFICATION. WE DO NOT AGREE THAT THE MERE FACT OF SHIPMENT IN A LARGELY ASSEMBLED STATE CONVERTS THE VARIOUS INDIVIDUAL INTERNAL COMBUSTION ENGINE AND AIRCRAFT PARTS INTO AN ARTICLE OR ENTITY IN SUCH FORM AS TO REMOVE IT FROM THE CATEGORY OF A COMBINATION OF ARTICLES FOR TRANSPORTATION CHARGE AND PENALTY PURPOSES.

YOUR REQUEST FOR RECONSIDERATION CONTAINS NO INFORMATION NOT PREVIOUSLY CONSIDERED. INSOFAR AS ALLOWANCES OF THE PACKING PENALTY IN OTHER SIMILAR CASES ARE CONCERNED, WE WILL REVIEW THE ACTION TAKEN IN THOSE INSTANCES IN THE EVENT THE PERTINENT PAPERS ARE IDENTIFIED AND OBTAINED.

THE DECISION OF MARCH 24, 1966, SUSTAINING THE DISALLOWANCE OF YOUR CLAIM FOR THE PACKING PENALTY ON THE INSTANT SHIPMENT WAS CORRECT, AND IT IS THEREFORE AFFIRMED.

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