B-137624, MAY 18, 1960

B-137624: May 18, 1960

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INC.: WE HAVE RECEIVED FROM CLARENCE A. DIXIE OHIO EXPRESS ORIGINALLY BILLED AND WAS PAID FOR THE TRANSPORTATION SERVICES AT A CLASS 150 RATE OF $4.92 PER HUNDRED POUNDS. THIS ACTION WAS BASED ON INFORMATION FURNISHED BY THE DEPARTMENT OF THE NAVY THAT THE ITEMS SHIPPED SHOULD HAVE BEEN DESCRIBED ON THE BILLS OF LADING AS "PLASTIC ARTICLES NOI. DEDUCTIONS WERE MADE FROM FUNDS DUE THAT COMPANY ON SUBSEQUENT BILLS. THE COMPANY'S RECLAIM VOUCHERS WERE DISALLOWED ON THE BASIS OF THE REPORT OF THE ADMINISTRATIVE OFFICE. IN THE ABSENCE OF ANY EVIDENCE AT THAT TIME THAT THE ADMINISTRATIVE ADVICE WAS IN ERROR. THE SETTLEMENTS DISALLOWING YOUR CLAIMS WERE SUSTAINED IN OUR DECISION OF JANUARY 27. WHO HAVE ADVISED US THAT THE SHIPMENTS CONSISTED OF CANOPY ASSEMBLIES.

B-137624, MAY 18, 1960

TO DIXIE OHIO EXPRESS, INC.:

WE HAVE RECEIVED FROM CLARENCE A. KELLEY, PRESIDENT, DIXIE OHIO EXPRESS, INC., AKRON, OHIO, A NOTARIZED LETTER AUTHORIZING YOU TO ACT FOR AND ON BEHALF OF THAT COMPANY IN HANDLING "TO A FINAL CONCLUSION" CERTAIN CLAIMS FOR ADDITIONAL TRANSPORTATION CHARGES FILED ON BEHALF OF THAT COMPANY.

THE CLAIMS HERE INVOLVED RELATE TO A NUMBER OF SHIPMENTS OF COMMODITIES DESCRIBED ON THE BILLS OF LADING AS "AIRCRAFT PARTS, NOI, OTHER THAN CLOTH AND METAL OR WOOD COMBINED, (SYNTHETIC RESIN ARTICLES).' DIXIE OHIO EXPRESS ORIGINALLY BILLED AND WAS PAID FOR THE TRANSPORTATION SERVICES AT A CLASS 150 RATE OF $4.92 PER HUNDRED POUNDS. IN THE AUDIT OF THE VOUCHERS INVOLVED WE COMPUTED THE APPLICABLE CHARGES AT A CLASS 100 RATE OF $3.28 PER HUNDRED POUNDS, EMPLOYING THE FIRST CLASS RATING NAMED IN ITEM 77655 OF NATIONAL MOTOR FREIGHT CLASSIFICATION NO. A-1, ON "PLASTIC ARTICLES, NOI.' THIS ACTION WAS BASED ON INFORMATION FURNISHED BY THE DEPARTMENT OF THE NAVY THAT THE ITEMS SHIPPED SHOULD HAVE BEEN DESCRIBED ON THE BILLS OF LADING AS "PLASTIC ARTICLES NOI," INASMUCH AS THE BILLS COVERED "SHIPMENTS OF "SPARE PANELS.'" UPON FAILURE OF DIXIE OHIO EXPRESS, INC. TO MAKE REFUND, DEDUCTIONS WERE MADE FROM FUNDS DUE THAT COMPANY ON SUBSEQUENT BILLS. THE COMPANY'S RECLAIM VOUCHERS WERE DISALLOWED ON THE BASIS OF THE REPORT OF THE ADMINISTRATIVE OFFICE, IN THE ABSENCE OF ANY EVIDENCE AT THAT TIME THAT THE ADMINISTRATIVE ADVICE WAS IN ERROR. THE SETTLEMENTS DISALLOWING YOUR CLAIMS WERE SUSTAINED IN OUR DECISION OF JANUARY 27, 1959, B-137624.

AS INDICATED TO YOU INFORMALLY ON OCTOBER 23, 1959, WE FURTHER INVESTIGATED THE MATTER OF THE CORRECT DESCRIPTION OF THE ARTICLES SHIPPED WITH THE MILITARY TRAFFIC MANAGEMENT AGENCY OF THE DEPARTMENT OF DEFENSE, WHO HAVE ADVISED US THAT THE SHIPMENTS CONSISTED OF CANOPY ASSEMBLIES, RATHER THAN SPARE PANELS, AS WE HAD BEEN PREVIOUSLY INFORMED. THE SETTLEMENTS WILL BE RE-EXAMINED ON THE BASIS OF RATES APPLICABLE TO SHIPMENTS OF CANOPY ASSEMBLIES, AND SUCH AMOUNTS AS MAY BE FOUND DUE WILL BE ALLOWED. OUR DECISION OF JANUARY 27, 1959, TO YOU, IS MODIFIED ACCORDINGLY.