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B-124893, MAR. 19, 1956

B-124893 Mar 19, 1956
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COX CORPORATION: REFERENCE IS MADE TO YOUR LETTER OF FEBRUARY 24. IN RESPONSE TO YOUR REQUEST TO BE ADVISED "WHERE ON ANY BILL OF LADING THERE IS A PROVISION ELIMINATING THE GOVERNMENT. SPECIFICALLY PROVIDES THAT THE RULES AND CONDITIONS GOVERNING COMMERCIAL SHIPMENTS SHALL NOT APPLY AS TO THE PERIOD WITHIN WHICH NOTICE IS REQUIRED TO BE GIVEN THE CARRIER IN THE EVENT OF LOSS OR DAMAGE. WITH REGARD TO THE CONTENTION IN THE FINAL PARAGRAPH OF YOUR LETTER YOU ADMIT THAT THE CONTRACT OF SHIPMENT WAS MADE BETWEEN YOUR CORPORATION AND THE CARRIER SINCE THE SHIPMENT APPARENTLY MOVED ON A COMMERCIAL BILL OF LADING BUT YOU NEVERTHELESS INSIST THAT THE GOVERNMENT WAS A PART OF THE CONTRACT BECAUSE THE SHIPMENT WAS MADE TO A GOVERNMENT AGENCY.

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B-124893, MAR. 19, 1956

TO CHARLES O. COX CORPORATION:

REFERENCE IS MADE TO YOUR LETTER OF FEBRUARY 24, 1956, RELATIVE TO YOUR INDEBTEDNESS TO THE UNITED STATES IN THE SUM OF $455.20 REPRESENTING AN OVERPAYMENT WHICH AROSE BY REASON OF A SHORT SHIPMENT OF SUPPLIES TO THE BOSTON NAVAL SHIPYARD, BOSTON, MASSACHUSETTS, UNDER CONTRACT NO. N600 SX- 17080.

IN RESPONSE TO YOUR REQUEST TO BE ADVISED "WHERE ON ANY BILL OF LADING THERE IS A PROVISION ELIMINATING THE GOVERNMENT, OR ANY GOVERNMENT AGENCY, FROM COMPLYING WITH THE REGULATIONS AS SHOWN THEREON," IT MAY BE STATED THAT SECTION 2 (B) OF THE UNIFORM STRAIGHT BILL OF LADING AS IT APPEARS IN THE NATIONAL MOTOR FREIGHT CLASSIFICATION NO. 11, EFFECTIVE MARCH 6, 1951, MERELY RECITES THE GENERAL CONDITIONS UNDER WHICH RECOVERY FOR DAMAGES MAY BE HAD AGAINST THE CARRIER. HOWEVER, SECTION 7 OF CONDITIONS APPEARING ON THE REVERSE SIDE OF THE GOVERNMENT BILL OF LADING, STANDARD FORM NO. 1103, PRESCRIBED BY THE COMPTROLLER GENERAL OF THE UNITED STATES, APRIL 13, 1943, GENERAL REGULATION NO. 97, 22 COMP. GEN. 1172, SPECIFICALLY PROVIDES THAT THE RULES AND CONDITIONS GOVERNING COMMERCIAL SHIPMENTS SHALL NOT APPLY AS TO THE PERIOD WITHIN WHICH NOTICE IS REQUIRED TO BE GIVEN THE CARRIER IN THE EVENT OF LOSS OR DAMAGE.

WITH REGARD TO THE CONTENTION IN THE FINAL PARAGRAPH OF YOUR LETTER YOU ADMIT THAT THE CONTRACT OF SHIPMENT WAS MADE BETWEEN YOUR CORPORATION AND THE CARRIER SINCE THE SHIPMENT APPARENTLY MOVED ON A COMMERCIAL BILL OF LADING BUT YOU NEVERTHELESS INSIST THAT THE GOVERNMENT WAS A PART OF THE CONTRACT BECAUSE THE SHIPMENT WAS MADE TO A GOVERNMENT AGENCY. THE ONLY RELATIONSHIP THAT EXISTED BETWEEN YOUR CORPORATION AND THE GOVERNMENT AT THE TIME THE BILL OF LADING WAS EXECUTED WAS THAT OF VENDOR AND VENDEE OR CONSIGNOR AND CONSIGNEE BUT THAT DID NOT MAKE THE GOVERNMENT A PARTY TO THE SHIPPING CONTRACT. HENCE, THE CONDITIONS APPEARING ON THE BILL OF LADING WITH REGARD TO NOTICE IN THE EVENT OF LOSS OR DAMAGE ARE NOT APPLICABLE TO THE GOVERNMENT IN THIS CASE INSOFAR AS CONCERNS ITS CLAIM AGAINST YOU FOR OVERPAYMENT BY REASON OF A SHORT SHIPMENT OF MATERIALS.

INASMUCH AS YOU HAVE NOT SUBMITTED ANY ADDITIONAL EVIDENCE WHICH WOULD REQUIRE OR JUSTIFY A CONCLUSION DIFFERENT FROM THAT PREVIOUSLY REACHED IN THIS MATTER, YOU REQUEST FOR A CANCELLATION OF THE GOVERNMENT'S CLAIM AGAINST YOU MUST BE DENIED AND PROMPT SETTLEMENT OF YOUR INDEBTEDNESS SHOULD BE EFFECTED.

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