B-132880, DEC. 26, 1957

B-132880: Dec 26, 1957

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UK 16883 WAS ASSIGNED TO SHIPMENTS OF RICE INTENDED FOR USE BY "NAVY. THE REQUISITION SPECIFIES THAT THE COMMODITY WILL BE DISTRIBUTED BY THE MINISTRY OF FOOD TO CIVILIANS AND TO THE NAVY. UK 18290/DA/T4 WAS ASSIGNED TO SHIPMENTS OF STEEL BILLETS INTENDED FOR USE BY . THE REQUISITION STATES THAT THE ARTICLES WILL BE USED IN THE UNITED KINGDOM FOR PURPOSES "ABSOLUTELY ESSENTIAL TO MAINTAIN THE MAXIMUM WAR FORT.'. OUR SETTLEMENTS WERE BASED ON THE APPLICABILITY OF LAND-GRANT RATES UNDER THE AUTHORITY OF SECTION 321 (A) OF THE TRANSPORTATION ACT OF 1940. INASMUCH AS THE ENTIRE WEIGHT OF EACH SHIPMENT WAS DETERMINED TO CONSIST OF MILITARY PROPERTY MOVING FOR MILITARY USE. ONLY A PERCENTAGE OF EACH SHIPMENT WAS FOR MILITARY USE AND YOU SUGGEST A SETTLEMENT ON THE BASIS THAT 50 PERCENT OF EACH SHIPMENT WAS FOR CIVIL USE.

B-132880, DEC. 26, 1957

TO CENTRAL OF GEORGIA RAILWAY COMPANY:

CONSIDERATION HAS BEEN GIVEN YOUR REQUESTS, FILES N-22251-G-A, N 30755-G- A, N-31132-G-A, AND N-31133-G-A, FOR REVIEW OF OUR SETTLEMENTS WHICH DISALLOWED YOUR CLAIMS FOR ADDITIONAL FREIGHT CHARGES OF $54.04, $90.64, $1,138.50, AND $1,233.20, STATED ON SUPPLEMENTAL BILLS NOS. 22251-B-G-R- 1584-7, 30755-B-G-R-1312-2, 31132-B-G-R-9, AND 31133-B-G-R 1297-2, RESPECTIVELY.

YOUR CLAIMS ARISE FROM LEND-LEASE SHIPMENTS WHICH MOVED IN 1943 AND 1944 UNDER BILLS OF LADING ISSUED BY THE DEPARTMENT OF AGRICULTURE AND THE GENERAL SERVICES ADMINISTRATION. THE SUBJECT BILLS OF LADING CONTAIN A REFERENCE TO EITHER REQUISITION NO. UK 16883 OR UK 18290/DA/T4.

REQUISITION NO. UK 16883 WAS ASSIGNED TO SHIPMENTS OF RICE INTENDED FOR USE BY "NAVY, ARMY, AIR FORCE AND CIVILIANS.' THE REQUISITION SPECIFIES THAT THE COMMODITY WILL BE DISTRIBUTED BY THE MINISTRY OF FOOD TO CIVILIANS AND TO THE NAVY, ARMY AND AIR FORCE INSTITUTES FOR HIS MAJESTY'S FORCES IN OVERSEAS THEATRES OF MILITARY OPERATIONS.

REQUISITION NO. UK 18290/DA/T4 WAS ASSIGNED TO SHIPMENTS OF STEEL BILLETS INTENDED FOR USE BY ,ARMY, NAVY, AIR AND OTHER GOVERNMENT AGENCIES.' THE REQUISITION STATES THAT THE ARTICLES WILL BE USED IN THE UNITED KINGDOM FOR PURPOSES "ABSOLUTELY ESSENTIAL TO MAINTAIN THE MAXIMUM WAR FORT.'

OUR SETTLEMENTS WERE BASED ON THE APPLICABILITY OF LAND-GRANT RATES UNDER THE AUTHORITY OF SECTION 321 (A) OF THE TRANSPORTATION ACT OF 1940, 54 STAT. 898, 954, INASMUCH AS THE ENTIRE WEIGHT OF EACH SHIPMENT WAS DETERMINED TO CONSIST OF MILITARY PROPERTY MOVING FOR MILITARY USE. YOU ALLEGE THAT, BY REASON OF THE DESCRIPTION OF THE INTENDED USE OF THE COMMODITY IN EACH REQUISITION, ONLY A PERCENTAGE OF EACH SHIPMENT WAS FOR MILITARY USE AND YOU SUGGEST A SETTLEMENT ON THE BASIS THAT 50 PERCENT OF EACH SHIPMENT WAS FOR CIVIL USE.

YOU CONTEND THAT OUR SETTLEMENTS ARE INCONSISTENT WITH THE STIPULATION OF FACTS FILED IN ATLANTIC COAST LINE RAILROAD COMPANY V. UNITED STATES, COURT OF CLAIMS NO. 48826, AND WITH THE RULING IN CHICAGO, ROCK ISLAND AND PACIFIC R. CO. V. UNITED STATES, COURT OF CLAIMS NO. 49213, DECIDED JUNE 5, 1957. AS TO THE ALLOWANCE IN OUR SETTLEMENT DATED DECEMBER 6,1956 (TK- 280406), ON YOUR BILL NO. 31106-B G-R, WE NOTED IN OUR DECISION B-132866, B-132772, DATED DECEMBER 2, 1957 (COPY ATTACHED FOR READY REFERENCE), THAT THE AMOUNT ALLOWED IN THE SETTLEMENT SHOULD BE REFUNDED.

OUR VIEWS IN THIS CLASS OF CLAIMS ARE SET OUT IN THE MENTIONED LETTER DATED DECEMBER 2, 1957, WHEREIN WE CONSIDERED THE ABOVE COURT CASES AND SIMILAR ALLEGATIONS. FOR THE REASONS STATED THEREIN, THE DISALLOWANCE OF YOUR CLAIMS IS SUSTAINED.