B-135806, OCT. 15, 1959

B-135806: Oct 15, 1959

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INC.: REFERENCE IS MADE TO YOUR LETTER OF MAY 18. 000 POUNDS FOR EACH OF THE TWO SETS OF EQUIPMENT USED SINCE EXCLUSIVE USE OF THE EQUIPMENT WAS BOTH INTENDED AND REQUIRED TO MEET THE NEEDS OF THE SHIPMENT. TO THE REQUEST MADE FOR EXPEDITED SERVICE AND TO THE ANNOTATION MADE ON THE BILL OF LADING THAT TWO SETS OF DOUBLES WERE ORDERED FOR THE SHIPMENT. ITEM 135 OF THAT QUOTATION WAS CANCELLED IN FULL BY SUPPLEMENT 44. A NEW MINIMUM CHARGE RULE ADDED WHICH PROVIDES THAT WHEN A SINGLE SHIPMENT REQUIRES FULL UTILIZATION OF ONE OR MORE UNITS OF CARRIERS' EQUIPMENT OR WHEN THE SHIPPER REQUIRES THAT A VEHICLE WILL BE USED EXCLUSIVELY FOR THE TRANSPORTATION OF A SPECIFIC SHIPMENT AND THE CARRIER PROVIDES SUCH SERVICE.

B-135806, OCT. 15, 1959

TO SENNA TRUCKING CO., INC.:

REFERENCE IS MADE TO YOUR LETTER OF MAY 18, 1959, REGARDING THE OVERPAYMENT ASSERTED AGAINST YOUR COMPANY FOR EXCESS FREIGHT CHARGES PAID ON YOUR INVOICE 14130 COVERING THE TRANSPORTATION OF TEN CANS OF INTERNAL COMBUSTION ENGINES SHIPPED FROM NORTON AIR FORCE BASE, SAN BERNARDINO, CALIFORNIA, TO HAMMER FIELD, FRESNO, CALIFORNIA, UNDER BILL OF LADING AF- 4813803, DATED SEPTEMBER 27, 1955.

FOR THE FREIGHT SERVICES PERFORMED, YOU CONTEND THAT THE CHARGES SHOULD BE BASED ON A MINIMUM WEIGHT OF 40,000 POUNDS FOR EACH OF THE TWO SETS OF EQUIPMENT USED SINCE EXCLUSIVE USE OF THE EQUIPMENT WAS BOTH INTENDED AND REQUIRED TO MEET THE NEEDS OF THE SHIPMENT. TO SUPPORT THAT POSITION, YOU DIRECT OUR ATTENTION TO THE USE OF THE FULL LOADING SPACE OF THE TWO SETS OF EQUIPMENT, TO THE REQUEST MADE FOR EXPEDITED SERVICE AND TO THE ANNOTATION MADE ON THE BILL OF LADING THAT TWO SETS OF DOUBLES WERE ORDERED FOR THE SHIPMENT.

WHILE NOT SPECIFICALLY STATED, YOUR CONTENTION FOR PAYMENT BASED ON 80,000 POUNDS MINIMUM WEIGHT APPEARS TO BE PREMISED ON THE "VEHICLE CAPACITY MINIMUM CHARGE OR EXCLUSIVE USE OF VEHICLE" PROVISIONS SUCH AS THOSE CONTAINED IN ITEM 135 (8TH REVISED PAGE 12) OF PACIFIC COAST TARIFF BUREAU QUOTATION 2 EFFECTIVE DECEMBER 5, 1953. PRIOR TO THE DATE THIS SHIPMENT MOVED, HOWEVER, ITEM 135 OF THAT QUOTATION WAS CANCELLED IN FULL BY SUPPLEMENT 44, EFFECTIVE SEPTEMBER 15, 1955, AND A NEW MINIMUM CHARGE RULE ADDED WHICH PROVIDES THAT WHEN A SINGLE SHIPMENT REQUIRES FULL UTILIZATION OF ONE OR MORE UNITS OF CARRIERS' EQUIPMENT OR WHEN THE SHIPPER REQUIRES THAT A VEHICLE WILL BE USED EXCLUSIVELY FOR THE TRANSPORTATION OF A SPECIFIC SHIPMENT AND THE CARRIER PROVIDES SUCH SERVICE, APPLICABLE RATES AND CHARGES WILL APPLY ON THE ENTIRE SHIPMENT, SUBJECT TO A MINIMUM FOR 10,000 POUNDS AT THE FIRST CLASS RATE FOR EACH VEHICLE LOADED TO CAPACITY. SINCE THE CHARGES FOR THIS FREIGHT MOVEMENT, AT THE APPLICABLE RATE AND ACTUAL WEIGHT, EXCEED THE MINIMUM CHARGE THEREIN PROVIDED, THE RULE IS WITHOUT APPLICATION AND THE CHARGES OF ACTUAL WEIGHT ONLY APPEAR PROPER.

EXAMINATION OF THE SHIPPING RECORD, HOWEVER, SHOWS THAT THE CLASS A RATE WAS USED TO COMPUTE THE OVERPAYMENT, AND THAT THE 3RD CLASS RATE MAY BE PROPER FOR THE SHIPMENT. WE ARE INSTRUCTING OUR TRANSPORTATION DIVISION TO RECONSIDER ITS ACTION IN THAT REGARD, AND TO EFFECT COLLECTION OF THE REVISED AMOUNT FOUND TO BE DUE FROM YOUR COMPANY, IF OTHERWISE PROPER, ON THAT BASIS.