B-133439, JUL. 8, 1959

B-133439, JUL. 8, 1959

TO T.I.M.E., INCORPORATED:

FURTHER REFERENCE IS MADE TO YOUR LETTER OF MARCH 12, 1959, WITH ENCLOSURE, REQUESTING RECONSIDERATION OF OUR SETTLEMENT CERTIFICATE (IN CLAIM NO. TK 648818), DATED JANUARY 29, 1959, WHICH DISALLOWED YOUR CLAIM FOR $733.82, PER YOUR BILL NO. 4-1758A, FOR ADDITIONAL FREIGHT CHARGES IN CONNECTION WITH THE TRANSPORTATION OF A QUANTITY OF ALUMINUM CONTAINERS FROM PANAMA CITY, FLORIDA, TO TUCSON, ARIZONA, UNDER GOVERNMENT BILL OF LADING NO. AF 7742582, ISSUED JANUARY 31, 1958.

OUR RECORDS SHOW THAT YOU ORIGINALLY WERE PAID $1,470.46, COMPUTED UPON THE BASIS OF A CLASS 200 RATE OF $15.71 PER 100 POUNDS, AS APPLIED TO THE TOTAL WEIGHT OF THE SHIPMENT, 9,360 POUNDS. THEREAFTER, BY YOUR SUPPLEMENTAL BILL NO. 4-1758A, YOU CLAIMED AN ADDITIONAL AMOUNT OF $733.82, OR A TOTAL OF $2,204.28 ON THE SHIPMENT, BASED UPON THE CLASS 300 RATE OF $23.55 PER 100 POUNDS, AT ACTUAL WEIGHT, PER ITEM 19980-A, SUPPLEMENT NO. 16 TO NATIONAL MOTOR FREIGHT CLASSIFICATION NO. A-3, APPLICABLE TO THE ITEM: "CARRIERS, SHIPPING * * * CONTAINERS, NOI, BULK COMMODITY SHIPPING, ALUMINUM, SU.'

IN OUR AUDIT OF THE PAYMENT VOUCHER, OUR TRANSPORTATION DIVISION DETERMINED THAT YOU SHOULD HAVE BEEN PAID ONLY $625.25 ON THE SHIPMENT, BASED UPON A CLASS 85 RATE OF$6.68 PER 100 POUNDS, PER ITEM 12610 OF NATIONAL MOTOR FREIGHT CLASSIFICATION NO. A-3, APPLICABLE TO: "BOXES OR CRATES * * * AMMUNITION OR SMOKELESS POWDER SHIPPING, NOI.' ACCORDINGLY, ON FEBRUARY 2, 1959, WE ISSUED OUR FORM NO. 1003 STATING AN OVERPAYMENT TO YOU OF $845.21.

BY LETTER DATED MARCH 12, 1959, YOU PROTESTED OUR ACTION, CONTENDING, IN SUBSTANCE, THAT ITEM 19980, SUPPLEMENT NO. 16 TO NATIONAL MOTOR FREIGHT CLASSIFICATION NO. A-3, NAMING A CLASS 300 RATING ON BULK COMMODITY SHIPPING CONTAINERS, ALUMINUM, CONTAINS A MORE SPECIFIC DESCRIPTION OF THE TRANSPORTED COMMODITY THAN DOES ITEM 12610 THEREOF, AND THAT, UPON THE BASIS OF THE RATE ALLOWED BY US, YOU WOULD BE EARNING ONLY ?24 PER TRUCK MILE FOR THE CAPACITY LOAD IN YOUR FIRST HAULING VEHICLE. YOU ALSO STATE THAT 8,640 POUNDS OF THIS COMMODITY FILL A 35-FOOT TRAILER TO CAPACITY AND THAT 720 POUNDS FOLLOWED IN ANOTHER TRAILER.

INFORMATION RECEIVED FROM THE ADMINISTRATIVE AGENCY INDICATES THAT THIS SHIPMENT CONSISTED OF AN ALUMINUM SHIPPING CASE, MANUFACTURED AND PROCURED FOR THE PURPOSE OF TRANSPORTING AND STORING MISSILE COMPONENTS. THE CASE WAS SHIPPED IN AN OUTER CONTAINER AND WAS 94.75 INCHES IN LENGTH, 24 INCHES IN HEIGHT, AND 24 INCHES IN WIDTH. THE BILL OF LADING WEIGHT INDICATES THAT EACH PACKAGE WEIGHED 240 POUNDS. THE GROSS CUBIC MEASUREMENT OF EACH CASE IS SAID TO BE 31.5 CUBIC FEET. SINCE THE TOTAL CUBIC MEASUREMENT OF THE 39 CASES HERE SHIPPED IS APPROXIMATELY 1,230 CUBIC FEET, IT IS NOT UNDERSTOOD HOW THE SHIPMENT REQUIRED THE USE OF MORE THAN ONE TRAILER, INASMUCH AS THIS COMMODITY DOES NOT SEEM TO BE SUCH SIZE OR SHAPE AS TO PRESENT AN UNUSUAL LOADING PROBLEM.

WITH REGARD TO YOUR CONTENTION THAT THIS COMMODITY SHOULD BE DESCRIBED AS "CONTAINERS, NOI, BULK COMMODITY SHIPPING, ALUMINUM," THAT DESCRIPTION SEEMS TO COVER A COMMODITY SUBSTANTIALLY DIFFERENT FROM THAT UNDER PRESENT CONSIDERATION. THE ALUMINUM CASE TRANSPORTED BY YOU, HAS A FULL LENGTH REMOVABLE COVER, AND HAS BUILT-IN CRADLING COVERED WITH CUSHIONING MATERIAL. SUCH A CONTAINER CAN HARDLY BE SAID TO BE ANALOGOUS TO A CONTAINER USED FOR SHIPPING BULK COMMODITIES.

AFTER FURTHER CONSIDERATION OF THE NATURE OF THIS ALUMINUM CASE, WE HAVE CONCLUDED THAT THE CLASSIFICATION DESCRIPTIONS OF "ALUMINUM ARTICLES, NOI," SUBJECT TO A LESS-THAN-TRUCKLOAD RATING OF CLASS 100, PER ITEM 3290 OF NATIONAL MOTOR FREIGHT CLASSIFICATION NO. A-3, MF I.C.C. NO. 8, MORE PRECISELY DESCRIBES THE ARTICLE. IT IS OUR UNDERSTANDING THAT THE MILITARY TRAFFIC MANAGEMENT AGENCY AND THE AIRCRAFT INDUSTRIES ASSOCIATION ARE IN ACCORD WITH THIS VIEW.

ACCORDINGLY, OUR SETTLEMENT WHICH DISALLOWED YOUR BILL NO. 4-1758A IS SUSTAINED, AND THE REQUEST FOR REFUND OF OVERPAYMENT WILL BE AMENDED TO REFLECT THE VIEWS STATED ABOVE.