B-169154, JAN 13, 1971

B-169154, JAN 13, 1971

TRANSPORTATION CHARGES - RATE DENYING CLAIM FOR REFUND BASED ON APPLICATION OF THE TERMS OF THE ROCKY MOUNTAIN MOTOR TARIFF U.S. GOVERNMENT QUOTATION I.C.C. 19 TO LESS TRUCKLOAD QUANTITIES OF VARIOUS COMMODITIES ON BASIS THAT APPLICABLE CHARGES SHOULD BE DETERMINED BY APPLICATION OF THE QUOTATION RATES TO THE BULK OF EACH SHIPMENT AND THE TARIFF RATE TO THE BALANCE OF THE SHIPMENT CONSISTING OF ARTICLES FOR WHICH NO RATES WERE PROVIDED IN THE QUOTATION. A READING OF THE MIXED SHIPMENT RULE OF ITEM 195 FAILS TO SUPPORT CLAIMANT'S CONTENTION THAT QUOTATION RATES CANNOT BE APPLIED TO ANY PART OF THE SHIPMENT WHICH CONTAINS AN ARTICLE EXCLUDED FROM THE APPLICATION OF THE QUOTATION RATES.

TO GEORGIA HIGHWAY EXPRESS, INC.:

FURTHER REFERENCE IS MADE TO YOUR LETTERS OF FEBRUARY 24, 1970, ASKING FOR REVIEW OF SETTLEMENTS RELATING TO YOUR CLAIM FILES 20029(TK 897909); 20045(TK-897679); 20734(TK-897792); 20852(TK-897965); 21891(TK 897533); 22024(TK-897684); 22025(TK-897535); 22286(TK-897642; AND 22312(TK- 897604).

EACH OF THE SHIPMENTS IN QUESTION CONSISTED OF LESS TRUCKLOAD QUANTITIES OF VARIOUS COMMODITIES AND EACH BILL OF LADING SHOWS THAT THE SHIPMENT WAS TENDERED SUBJECT TO THE TERMS AND CONDITIONS OF ROCKY MOUNTAIN MOTOR TARIFF BUREAU U.S. GOVERNMENT QUOTATION I.C.C. 19. EACH SHIPMENT CONTAINED RELATIVELY SMALL QUANTITIES OF COMMODITIES FOR WHICH NO RATES WERE PROVIDED IN THE QUOTATION.

CHARGES WERE BILLED AND PAID ON THE BASIS OF LESS TRUCKLOAD TARIFF RATES APPLICABLE TO EACH OF THE VARIOUS ARTICLES COMPRISING EACH SHIPMENT. THE AUDIT HERE, THE APPLICABLE CHARGES WERE DETERMINED TO BE THOSE BASED ON THE APPLICATION OF THE QUOTATION RATES TO THE BULK OF EACH SHIPMENT AND THE TARIFF RATE TO THE BALANCE OF THE SHIPMENT CONSISTING OF ARTICLES FOR WHICH NO RATES WERE PROVIDED IN THE QUOTATION.

IT IS YOUR CONTENTION THAT THE QUOTATION RATES CANNOT BE APPLIED TO ANY PART OF A SHIPMENT WHICH CONTAINS AN ARTICLE OR ARTICLES EXCLUDED FROM THE APPLICATION OF THE QUOTATION RATES. IN SUPPORT OF THIS CONTENTION, YOU RELY UPON THE PROVISIONS OF THE LESS TRUCKLOAD MIXED SHIPMENT RULE OF ITEM 195 OF THE QUOTATION.

A LITERAL INTERPRETATION OF THE LANGUAGE OF THE THIRD PARAGRAPH OF THE RULE TENDS TO SUPPORT YOUR CONCLUSION. HOWEVER, WHEN THE RULE IS READ IN ITS ENTIRETY IT SEEMS CLEAR THAT ITS PURPOSE WAS TO PROHIBIT THE ALTERNATION OF THE QUOTATION RATES WITH TARIFF RATES AS TO THOSE ARTICLES FOR WHICH BOTH QUOTATION AND TARIFF RATES WERE PROVIDED. THERE IS NO INDICATION THAT THE RULE WAS INTENDED TO PROHIBIT THE APPLICATION OF THE QUOTATION RATES TO A SHIPMENT CONTAINING AN ARTICLE OUTSIDE THE SCOPE OF THE QUOTATION AND AS TO WHICH ALTERNATION OF QUOTATION RATES AND TARIFF RATES WAS NOT POSSIBLE.

OUR INTERPRETATION OF THIS RULE WAS DISCUSSED IN GREATER DETAIL IN OUR DECISION TO YOU DATED DECEMBER 15, 1970, B-169053 (COPY ENCLOSED FOR READY REFERENCE), A CASE INVOLVING SIMILAR LESS TRUCKLOAD SHIPMENTS. THE PRESENT RECORD DOES NOT AFFORD ANY ADDITIONAL CONSIDERATIONS WARRANTING A CHANGE IN THE VIEW THERE EXPRESSED AND WE ADHERE TO IT. IN THAT INSTANCE WE UPHELD THE APPLICATION OF THE QUOTATION BASIS AS TO ANY ARTICLES NOT SPECIFICALLY EXCLUDED FROM THE BENEFIT OF THE FREIGHT ALL KINDS RATES.

SINCE THE SETTLEMENTS HERE WERE NOT BASED ON THE ALTERNATION OF QUOTATION RATES WITH TARIFF RATES, DEPENDING UPON WHICH WERE LOWER, BUT UPON THE APPLICATION OF QUOTATION RATES TO ARTICLES FOR WHICH QUOTATION RATES WERE PROVIDED AND THE APPLICATION OF TARIFF RATES TO ARTICLES FOR WHICH ONLY TARIFF RATES WERE PROVIDED, WE BELIEVE THEY WERE CONSISTENT WITH THE BASIC PURPOSE OF ITEM 195. ACCORDINGLY, THE SETTLEMENTS ARE SUSTAINED AND YOUR CLAIMS FOR REFUND ARE DENIED.