B-135965, JUL. 17, 1958

B-135965: Jul 17, 1958

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THE RECORD SHOWS THAT THE RUBBER WAS IMPORTED THROUGH THE PORT OF NEW YORK AND IN FEBRUARY 1950 WAS SHIPPED ON BILLS OF LADING TPS 1494181. THE BILLS OF LADING SHOW THAT THE FIRST TWO OF THESE SHIPMENTS WERE DELIVERED AT FORT ESTILL. THE RUBBER WAS FORWARDED TO LOS ANGELES. YOU CLAIMED ORIGINALLY AND WERE PAID $1. YOU ALLEGE THAT THE INCREASED CHARGE CLAIMED BY YOU IS COMPUTED ON THE BASIS OF ITEM 4 OF TRAFFIC EXECUTIVE ASSOCIATION - EASTERN RAILROADS SECTION 22 QUOTATION NO. YOU STATE THAT THIS ITEM "* * * PROVIDES THAT THE THROUGH RATE WILL BE THAT APPLICABLE ORIGIN TO DESTINATION. NOT LESS THAN THE "ALL RAIL CARLOAD RATE FROM TRANSIT POINT TO FINAL DESTINATION IN EFFECT ON THE DATE OF SHIPMENT FROM INITIAL POINT OF ORIGIN TO TRANSIT POINT OR ON THE DATE OF RESHIPMENT FROM THE TRANSIT POINT TO FINAL DESTINATION WHICHEVER IS HIGHER.'" YOU COMPUTED THE CHARGE FOR THE TRANSPORTATION ON THE BASIS OF THE RATE FROM THE TRANSIT POINT TO LOS ANGELES.

B-135965, JUL. 17, 1958

TO UNION PACIFIC RAILROAD COMPANY:

CONSIDERATION HAS BEEN GIVEN YOUR REQUEST OF APRIL 23, 1958, FILE GO- 276057, FOR REVIEW OF THE SETTLEMENT (TK-572122) DISALLOWING YOUR CLAIM, PER SUPPLEMENTAL BILL NO. O-276057-A, FOR $582.87 AS A PART OF THE CHARGES ALLEGED TO BE DUE FOR TRANSPORTING CRUDE RUBBER FROM POINTS WITHIN THE PORT OF NEW YORK TO LOS ANGELES, CALIFORNIA.

THE RECORD SHOWS THAT THE RUBBER WAS IMPORTED THROUGH THE PORT OF NEW YORK AND IN FEBRUARY 1950 WAS SHIPPED ON BILLS OF LADING TPS 1494181, TPS- 1494182, AND TPS-1494185 TO FORT ESTILL, KENTUCKY, FOR STORAGE IN TRANSIT UNDER ASSOCIATION OF AMERICAN RAILROADS SECTION 22 QUOTATION NO. 102. THESE BILLS OF LADING PROVIDED FOR THE TRANSPORTATION OF THE SHIPMENTS VIA "B. AND O. RR - L. AND N. RR.' THE BILLS OF LADING SHOW THAT THE FIRST TWO OF THESE SHIPMENTS WERE DELIVERED AT FORT ESTILL, KENTUCKY, ON MARCH 2, 1950, AND THE LATTER ON FEBRUARY 27, 1950. THEREAFTER, ON NOVEMBER 19, 1955, THE RUBBER WAS FORWARDED TO LOS ANGELES, CALIFORNIA, ON TRANSIT BILL OF LADING NO. TPS-8858, ROUTED VIA "L AND N - STL AND SF - UP.' THUS, THE SHIPMENT REMAINED IN STORAGE SLIGHTLY MORE THAN 68 MONTHS. FOR THE TRANSPORTATION OF THIS RUBBER FROM FORT ESTILL, KENTUCKY, TO LOS ANGELES, CALIFORNIA, YOU CLAIMED ORIGINALLY AND WERE PAID $1,131.77, COMPUTED ON THE BASIS OF A THROUGH RATE FROM NEW YORK OF $1.75 PER 100 POUNDS, PLUS 15 PERCENT, LESS $1.44 PER 100 POUNDS PAID INTO THE TRANSIT POINT, PLUS CHARGES FOR OUT-OF-LINE HAUL AND TRANSIT OF 18 CENTS AND 20 CENTS PER 100 POUNDS, RESPECTIVELY, PLUS 15 PERCENT ON THE TRANSIT CHARGES. IN JUNE 1957 YOU CLAIMED, PER SUPPLEMENTAL BILL O 276057-A, $582.87 ADDITIONAL FOR THE THROUGH TRANSPORTATION OF THE SHIPMENT. YOU ALLEGE THAT THE INCREASED CHARGE CLAIMED BY YOU IS COMPUTED ON THE BASIS OF ITEM 4 OF TRAFFIC EXECUTIVE ASSOCIATION - EASTERN RAILROADS SECTION 22 QUOTATION NO. A- 1582. YOU STATE THAT THIS ITEM

"* * * PROVIDES THAT THE THROUGH RATE WILL BE THAT APPLICABLE ORIGIN TO DESTINATION, BUT NOT LESS THAN THE "ALL RAIL CARLOAD RATE FROM TRANSIT POINT TO FINAL DESTINATION IN EFFECT ON THE DATE OF SHIPMENT FROM INITIAL POINT OF ORIGIN TO TRANSIT POINT OR ON THE DATE OF RESHIPMENT FROM THE TRANSIT POINT TO FINAL DESTINATION WHICHEVER IS HIGHER.'"

YOU COMPUTED THE CHARGE FOR THE TRANSPORTATION ON THE BASIS OF THE RATE FROM THE TRANSIT POINT TO LOS ANGELES, CALIFORNIA, AND YOUR CLAIM WAS DISALLOWED FOR THE REASONS STATED IN THE SETTLEMENT OF MARCH 26, 1958.

TRAFFIC EXECUTIVE ASSOCIATION--- EASTERN RAILROADS SECTION 22 QUOTATION NO. A-1582, IN ITEM NO. 3, PROVIDES THAT IT APPLIES ON SHIPMENTS FORWARDED FROM THE TRANSIT POINT AFTER THE TIME LIMIT PRESCRIBED IN TRAFFIC EXECUTIVE ASSOCIATION--- EASTERN RAILROADS SECTION 22 QUOTATION NO. A- 693. THE LATTER QUOTATION PROVIDES THAT IT APPLIES ON SHIPMENTS TRANSPORTED FROM THE TRANSIT POINT AFTER THE TIME LIMIT PROVIDED IN ASSOCIATION OF AMERICAN RAILROADS SECTION 22 QUOTATION NO. 102, BUT PRIOR TO THE EXPIRATION OF 72 CALENDAR MONTHS. THIS SHIPMENT REMAINED IN STORAGE LESS THAN 72 MONTHS. FURTHER, ITEM 1 OF QUOTATION NO. A-1582 (TRAFFIC COVERED), BY NOTE, PROVIDES THAT IT ,WILL NOT APPLY WITHIN, OR FROM, TO OR VIA POINTS IN SOUTHERN FREIGHT ASSOCIATION TERRITORY * * " FORT ESTILL, KENTUCKY, IS IN THAT TERRITORY. EITHER OF THESE REASONS WOULD PREVENT THE APPLICATION OF THE PROVISIONS OF SECTION 22 QUOTATION NO. A-1582 TO THIS SHIPMENT. ALSO, THE PROVISION OF ITEM NO. 4, QUOTED BY YOU, APPLIES ON "DOMESTIC TRAFFIC," WHEREAS THIS IS AN IMPORT SHIPMENT.

THE PROVISIONS OF ITEM NO. 4 OF TRAFFIC EXECUTIVE ASSOCIATION--- EASTERN RAILROADS SECTION 22 QUOTATION NO. A-693, APPLICABLE TO THIS SHIPMENT OF "IMPORT TRAFFIC," ARE AS FOLLOWS:

"* * * THE ALL-RAIL CARLOAD RATE APPLIED UNDER THE PROVISIONS OF ITEM NO. 3 SHALL NOT BE LESS THAN THE ALL-RAIL CARLOAD RATE FROM THE PORT OF IMPORTATION TO THE TRANSIT POINT (IN THE CASE OF A SHIPMENT ACCORDED TWO TRANSIT PRIVILEGES, TO THE SECOND TRANSIT POINT), IN EFFECT ON THE DATE OF SHIPMENT TO THE TRANSIT POINT, OR ON THE DATE OF SHIPMENT FROM THE TRANSIT POINT TO FINAL DESTINATION, WHICHEVER IS HIGHER.'

THE SETTLEMENT OF THE CHARGES FOR THIS TRANSPORTATION WAS MADE ON THE BASIS OF THIS ITEM.