Propriety of Paying Freight Charges

A request was made to determine the propriety of paying freight charges for the transportation of heavy government equipment in conjunction with the operation of a training institute under a government grant. The Interstate Commerce Commission advised informally that the carrier was not authorized to transport property in interstate commerce as required by law. Contracts in violation of the Interstate Commerce Act have been held to be unenforceable. GAO, however, has adopted the view that even though the contract is unenforceable, the carrier can recover for its services because the shipper has received the benefit of those services. If the carrier presents to the certifying officer a properly certified voucher, it may be certified for payment, if otherwise correct.