B-154018, AUG. 24, 1964

B-154018: Aug 24, 1964

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TO ILLINOIS CENTRAL RAILROAD: FURTHER REFERENCE IS MADE TO YOUR LETTER OF APRIL 20. THE SHIPMENT WAS MOVED IN TWO CARS FROM COSHOCTON. FOR THE SERVICES PERFORMED YOU BILLED ORIGINALLY AND WERE PAID $883.20 ON VOUCHER 124138 IN THE SEPTEMBER 17. THE $883.20 FREIGHT CHARGES WERE COMPUTED ON THE BASIS OF $1.38 PER 100 POUNDS ON AN AGREED WEIGHT OF 40. YOU WERE ADVISED BY THE DEPARTMENT OF THE ARMY THAT THE WEIGHTS OF THIS SHIPMENT AS SHOWN ON THE GOVERNMENT BILL OF LADING SHOULD HAVE READ 84. IN OUR AUDIT IT WAS DETERMINED THAT THE CHARGES SHOULD BE COMPUTED ON THE BASIS OF A CLASS 35 RATE OF $1.08 PER 100 POUNDS AS PUBLISHED IN TRUNK LINE TERRITORY TARIFF BUREAU FREIGHT TARIFF NO. THE RATE OF $1.08 PER 100 POUNDS WAS APPLIED TO THE ACTUAL WEIGHT OF 84.

B-154018, AUG. 24, 1964

TO ILLINOIS CENTRAL RAILROAD:

FURTHER REFERENCE IS MADE TO YOUR LETTER OF APRIL 20, 1964, FILE NO. G- AFR-61360-BG, WITH ENCLOSURES, IN WHICH YOU REQUEST REVIEW OF THE DISALLOWANCE OF YOUR SUPPLEMENTAL BILL NO. AFR-61360-B FOR $194.40 ADDITIONAL FREIGHT CHARGES ALLEGED TO BE DUE ON A SHIPMENT OF THREE "M 75 ARMY TRACTOR TANKS W/O GUNS.' THE SHIPMENT WAS MOVED IN TWO CARS FROM COSHOCTON, OHIO, TO CAMP BRECKINRIDGE, KENTUCKY, UNDER GOVERNMENT BILL OF LADING WY-10065557, DATED JULY 17, 1959.

FOR THE SERVICES PERFORMED YOU BILLED ORIGINALLY AND WERE PAID $883.20 ON VOUCHER 124138 IN THE SEPTEMBER 17, 1959, ACCOUNTS OF LIEUTENANT COLONEL GEORGE M. SECKINGER. THE $883.20 FREIGHT CHARGES WERE COMPUTED ON THE BASIS OF $1.38 PER 100 POUNDS ON AN AGREED WEIGHT OF 40,000 POUNDS FOR THE FIRST CAR AND 20,000 POUNDS FOR THE SECOND CAR, PLUS 4,000 POUNDS OF DUNNAGE. IN LETTERS DATED SEPTEMBER 30 AND NOVEMBER 12, 1959, YOU WERE ADVISED BY THE DEPARTMENT OF THE ARMY THAT THE WEIGHTS OF THIS SHIPMENT AS SHOWN ON THE GOVERNMENT BILL OF LADING SHOULD HAVE READ 84,000 POUNDS IN CAR USAX38196 AND 42,000 POUNDS IN THE SECOND CAR, USAX38492. YOU THEN SUBMITTED SUPPLEMENTAL BILL AFR 61360-A DATED NOVEMBER 17, 1959, IN WHICH YOU CLAIMED $855.60 ADDITIONAL FREIGHT CHARGES BASED UPON THE ORIGINALLY BILLED RATE OF $1.38 PER 100 POUNDS FOR 84,000 POUNDS SHIPPED IN ONE CAR AND 42,000 POUNDS SHIPPED IN THE SECOND CAR, A TOTAL SHIPMENT WEIGHT OF 126,000 POUNDS.

OUR SETTLEMENT CERTIFICATE OF DECEMBER 6, 1960, ALLOWED YOU $477.60 OF THE $855.60 CLAIMED. IN OUR AUDIT IT WAS DETERMINED THAT THE CHARGES SHOULD BE COMPUTED ON THE BASIS OF A CLASS 35 RATE OF $1.08 PER 100 POUNDS AS PUBLISHED IN TRUNK LINE TERRITORY TARIFF BUREAU FREIGHT TARIFF NO. E/S 1008, I.C.C. A-946. THE RATE OF $1.08 PER 100 POUNDS WAS APPLIED TO THE ACTUAL WEIGHT OF 84,000 POUNDS LOADED IN THE FIRST CAR AND THE EXCESS WEIGHT OF 42,000 POUNDS LOADED IN THE SECOND CAR, AS PERMITTED UNDER RULE 24 OF THE UNIFORM FREIGHT CLASSIFICATION 4, 1.C.C. NO. A-4, GOVERNING TARIFF E/S 1008, AND THE TENDER OF RATES OFFERED BY THE TRAFFIC EXECUTIVE ASSOCIATION - EASTERN RAILROAD'S SECTION 22 QUOTATION NO. A-1412-A (ALSO NUMBERED A-1157 A).

YOU CONTEND THAT "ITEM 1 OF SFA SECTION 22, QUOTATION A-1157-A (SAME AS A -1412-A) RATES ON ARMY TRACTORS OR TRACTOR TANKS, CARLOADS, PROVIDES FOR MINIMUM WEIGHT 60,000 LBS. PER CARLOAD.' AND STATE "IT IS OUR VIEW THAT THE GOVERNMENT HAS NO BASIS FOR THEIR CONTENTION THAT RULE 24 OF UFC-4 MAY BE APPLIED TO THIS SHIPMENT UNDER THE PROVISIONS OF ITEM 5 OF THE QUOTATION, AS TO DO SO WOULD BE CONTRARY TO THE SPECIFIC PROVISION IN ITEM 1 FOR MINIMUM WEIGHT 60,000 LBS. PER RLOAD.'

ITEM 5 OF SECTION 22 QUOTATION NO. A-1412-A, TITLED "CHARGES AND ALLOWANCES" PROVIDES THAT:

"IN THE ABSENCE OF SPECIFIC PROVISIONS TO THE CONTRARY IN THIS QUOTATION, SHIPMENTS MADE HEREUNDER ARE SUBJECT TO ALL CHARGES AND ALL ALLOWANCES FOR OR IN RESPECT OF DIVERSION, RECONSIGNMENT, DEMURRAGE, SWITCHING, AND TO ALL OTHER PRIVILEGES, CHARGES AND RULES WHICH IN ANY WAY INCREASE OR DECREASE THE AMOUNT TO BE PAID ON ANY SHIPMENT, OR WHICH INCREASE OR DECREASE THE VALUE OF THE SERVICE AS PROVIDED IN APPLICABLE TARIFFS ON FILE WITH THE INTERSTATE COMMERCE COMMISSION, OR BY QUOTATION.'

RULE 24 OF THE UNIFORM FREIGHT CLASSIFICATION 4, I.C.C. NO. A-4, GOVERNING THE APPLICABLE TARIFF PROVIDES IN EFFECT, THAT FOR CARLOAD FREIGHT WHEN THE AUTHORIZED MINIMUM WEIGHT IS 30,000 POUNDS OR MORE, THE WEIGHT IN EXCESS OF THE QUANTITY THAT CAN BE LOADED IN OR ON ONE CAR SHALL BE CHARGED AT THE ACTUAL WEIGHT AND THE CARLOAD RATE APPLICABLE TO THE ENTIRE SHIPMENT.

THERE IS NO SPECIFIC PROVISION OF QUOTATION NO. A-1412-A CONTROLLING THE CHARGES FOR CARLOAD FREIGHT REQUIRING LOADING SPACE IN EXCESS OF A FULL CARLOAD. RULE 24 OF THE UNIFORM FREIGHT CLASSIFICATION 4, I.C.C. NO. A-4, APPEARS CLEARLY TO BE A RULE SPECIFICALLY INCREASING OR DECREASING THE AMOUNT TO BE PAID ON SUCH SHIPMENTS. IT IS ON FILE WITH THE INTERSTATE COMMERCE COMMISSION AND HENCE ITS PROVISIONS ARE INCORPORATED INTO ITEM 5 OF THE QUOTATION ENTITLED ,CHARGES AND ALLOWANCES" AND APPEAR CLEARLY TO BE FOR CONSIDERATION HERE. SEE GREAT NORTHERN RY.CO. V. UNITED STATES, 312 F.2D 906, 911. THE QUANTITY OF FREIGHT SHIPPED (126,000 POUNDS), BEING MORE THAN COULD BE LOADED INTO ONE CAR AND WEIGHING CONSIDERABLY MORE THAN THE MINIMUM CARLOAD WEIGHT, IS CARLOAD FREIGHT AS DEFINED IN RULE 14 OF UNIFORM FREIGHT CLASSIFICATION 4 AND WE PERCEIVE NO REASON FOR NOT APPLYING RULE 24 OF THE CLASSIFICATION WHICH HAS THE EFFECT OF DECREASING THE CHARGES FOR SUCH CARLOAD SHIPMENTS UNDER THE CIRCUMSTANCES HERE INVOLVED.

ACCORDINGLY, OUR DISALLOWANCE OF YOUR SUPPLEMENTAL BILL NO. AFR 61360-B APPEARS PROPER AND IS SUSTAINED.