B-146577, FEB. 19, 1962

B-146577: Feb 19, 1962

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B. JAMES FREIGHT LINES: REFERENCE IS MADE TO YOUR LETTER OF JULY 24. THESE BILLS OF LADING ARE ANNOTATED TO SHOW THAT THE CHARGES FOR THE TRANSPORTATION WERE FOR COMPUTATION ON THE BASIS OF THE RATES OFFERED IN PACIFIC STATES MOTOR TARIFF BUREAU U.S. FOR THIS TRANSPORTATION YOU ORIGINALLY CLAIMED AND WERE PAID ON YOUR BILL N-694 THE AMOUNTS OF $260. THE AMOUNTS SO CLAIMED AND PAID TO YOU WERE COMPUTED ON THE BASIS OF THE RATES OF 65 CENTS PER 100 POUNDS. ITEM NO. 400 SHOWS THAT IT IS SUBJECT TO THE PROVISIONS OF ITEMS 90 AND 95. THE AMOUNTS SO CLAIMED ARE THE RESULT OF INCREASING THE WEIGHT OF SOME OF THE ARTICLES IN THE SHIPMENTS TO REFLECT A WEIGHT OF 15 POUNDS PER CUBIC FOOT OF SPACE OCCUPIED IN THE TRUCKS.

B-146577, FEB. 19, 1962

TO A. B. JAMES FREIGHT LINES:

REFERENCE IS MADE TO YOUR LETTER OF JULY 24, 1961, FILE N-694/51 UC 112, ACKNOWLEDGED AUGUST 7, 1961, REQUESTING REVIEW OF THE DISALLOWANCE OF YOUR CLAIM FOR $81.99 AS A PART OF THE CHARGES ALLEGED TO BE DUE FOR THE TRANSPORTATION OF THREE SHIPMENTS OF FREIGHT, ALL KINDS, FROM OAKLAND, CALIFORNIA, TO SAN DIEGO OR NORTH ISLAND, CALIFORNIA, AND FROM ALAMEDA, CALIFORNIA, TO NORTH ISLAND, CALIFORNIA, ON BILLS OF LADING NOS. N- 14204421, N-14224270, AND N-22274037 IN SEPTEMBER 1951. THESE BILLS OF LADING ARE ANNOTATED TO SHOW THAT THE CHARGES FOR THE TRANSPORTATION WERE FOR COMPUTATION ON THE BASIS OF THE RATES OFFERED IN PACIFIC STATES MOTOR TARIFF BUREAU U.S. GOVERNMENT QUOTATION NO. 3.

FOR THIS TRANSPORTATION YOU ORIGINALLY CLAIMED AND WERE PAID ON YOUR BILL N-694 THE AMOUNTS OF $260, $269.78, AND $225. THE AMOUNTS SO CLAIMED AND PAID TO YOU WERE COMPUTED ON THE BASIS OF THE RATES OF 65 CENTS PER 100 POUNDS, TRUCKLOAD MINIMUM WEIGHT 40,000 POUNDS, OR 75 CENTS PER 100 POUNDS, TRUCKLOAD MINIMUM WEIGHT 30,000 POUNDS, PROVIDED IN ITEM 400 OF THAT QUOTATION. ITEM NO. 400 SHOWS THAT IT IS SUBJECT TO THE PROVISIONS OF ITEMS 90 AND 95. THEREAFTER, IN AUGUST 1960, YOU CLAIMED, PER SUPPLEMENTAL BILL, THE ADDITIONAL AMOUNTS OF $11.93, $38.63, AND $31.43, TOTALING $81.99. THE AMOUNTS SO CLAIMED ARE THE RESULT OF INCREASING THE WEIGHT OF SOME OF THE ARTICLES IN THE SHIPMENTS TO REFLECT A WEIGHT OF 15 POUNDS PER CUBIC FOOT OF SPACE OCCUPIED IN THE TRUCKS. YOU CITE AS AUTHORITY FOR SUCH CHANGE, RULE 120, 4TH REVISED PAGE 6, OF SOUTHWESTERN MOTOR TARIFF BUREAU U.S. GOVERNMENT QUOTATION NO. 1. YOUR CLAIM WAS DISALLOWED FOR THE REASON THAT THESE SHIPMENTS WERE NOT OF A LIGHT AND BULKY NATURE, THAT EACH SHIPMENT WEIGHED IN EXCESS OF 15 POUNDS PER CUBIC FOOT SPACE OCCUPIED IN THE VEHICLE USED; AND FURTHER THAT THERE APPEARED NO PROPER BASIS FOR SUBJECTING EACH ARTICLE IN THE SHIPMENT TO THE CUBIC FOOT RULE.

IN YOUR REQUEST FOR REVIEW YOU STATE THAT "AT THE TIME THESE SHIPMENTS MOVED THE CUBE RULE WAS ON A PER ARTICLE BASIS NOT A PER SHIPMENT BASIS.' YOU URGE THAT SINCE THIS RULE WAS AMENDED IN JANUARY 1953 SO AS TO SHOW THAT THE RULE APPLIED ON A PER SHIPMENT BASIS, AND INDICATING A REDUCTION, IT SHOWS THAT PREVIOUSLY THE RULE APPLIED ON A PER ARTICLE BASIS.

AN EXAMINATION OF PARAGRAPH (A) OF RULE 120 OF U.S. GOVERNMENT QUOTATION NO. 1 (AND THE SIMILAR PARAGRAPH (A) OF ITEM 95 OF QUOTATION NO. 3/--- UNDER THE GENERAL HEADING OF LIGHT AND BULKY ARTICLES--- SHOWS THAT "ON LIGHT AND BULKY ARTICLES WEIGHING LESS THAN 15 POUNDS PER CUBIC FOOT OF SPACE OCCUPIED, CHARGES WILL BE ASSESSED BY APPLYING THE RATE APPLICABLE ON THE BASIS OF 15 POUNDS FOR EACH CUBIC FOOT OF SPACE OCCUPIED.' THAT PARAGRAPH OF THE RULE CLEARLY ONLY APPLIES TO ARTICLES WEIGHING LESS THAN 15 POUNDS PER CUBIC FOOT. THERE IS NOTHING IN THAT PARAGRAPH WHICH REQUIRES THE USE OF THAT RULE AS TO ARTICLES IN THE TRUCKLOAD SHIPMENT WHICH WEIGH MORE THAN 15 POUNDS PER CUBIC FOOT. FURTHER PARAGRAPH (B) OF RULE 120 OF QUOTATION 1 (AND ITEM 95 OF QUOTATION 3) UNDER THE SAME GENERAL HEADING PROVIDES THAT WHEN THE SHIPMENT IS COMPLETELY LOADED ON EQUIPMENT ORDERED AND FURNISHED, THEN (THE) CHARGES UNDER THE PROVISIONS OF THIS ITEM SHALL NOT EXCEED THE CHARGES THAT WOULD ACCRUE UNDER THE PROVISIONS OF ITEM 110 OF QUOTATION 1 (AND ITEM 90 OF QUOTATION 3). THUS, THE CHARGES ON A SHIPMENT, CONSISTING WHOLLY OR IN PART OF LIGHT AND BULKY ARTICLES CANNOT EXCEED THE CHARGE FOR THE SERVICE OFFERED UNDER ITEM (RULE) NO. 110 OF QUOTATION 1 (AND THE SIMILAR ITEM 90 OF QUOTATION 3). BILLS OF LADING NOS. N-14224270 AND N-14204421 SHOW THAT A 40-FOOT TRAILER WAS ORDERED AND FURNISHED FOR THESE TWO SHIPMENTS, AND THAT SHIPMENTS OFFERED ON THESE BILLS OF LADING WERE COMPLETELY LOADED ON THE EQUIPMENT ORDERED AND FURNISHED. ALSO, THE CHARGES ALREADY PAID ON SUCH SHIPMENTS WERE THOSE UNDER ITEM 110 OF QUOTATION 1 AND THE SIMILAR ITEM 90 OF QUOTATION 3. SINCE SUCH CHARGES WERE THE MAXIMUM PAYABLE, THE DISALLOWANCE OF THE ADDITIONAL AMOUNTS OF $11.93 AND $38.63 CLAIMED FOR THIS TRANSPORTATION IS SUSTAINED.

CONCERNING THE SHIPMENT ON BILL OF LADING N-22274037 THE SITUATION APPEARS TO BE DIFFERENT AND THE RECORD IS BEING RETURNED TO OUR TRANSPORTATION DIVISION FOR THE ALLOWANCE OF THE AMOUNT OF $31.43 AS CLAIMED ON THIS SHIPMENT IF OTHERWISE CORRECT. NOTICE OF SUCH SETTLEMENT SHOULD BE RECEIVED BY YOU IN DUE COURSE.

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