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Claims should be filed immediately when a loss or damage is discovered. The time limit for filing a claim is nine (9) months from the date of delivery. If the carrier does not receive the claim within this time, the law bars payment.
The shipper, consignee, or the owner of the goods may file a claim. The party that has suffered an actual loss should be the claimant.
The claim may be filed with the originating carrier, delivering carrier or an intermediate carrier, if determined that loss or damage occurred while in the possession of that carrier.
When damage is discovered after the delivery receipt is signed and the cartons are opened, it is termed concealed damage. In accordance with our freight bill, concealed damage must be reported within 5 (five) days. While awaiting inspection, the consignee must hold the shipping container and its contents in the same condition they were in when damage was discovered. The carrier will send a representative to perform the inspection or will waive inspection.
* The inspection report is
NOT a claim. It is the
responsibility of the claimant to file a cargo claim within the prescribed time
frame and to respond to any request from the carrier for supporting
documentation. The claim will then
be concluded based on facts determined during investigation.
Salvage must be retained until the claim is resolved, or until the carrier gives the claimant disposition. No Salvage is to be disposed of without written authorization from the carrier.
The law requires that the claimant establish three things:
Section 217 (b) of the Interstate Commerce Act (49 U.S.C.317 (b) prohibits a carrier from collecting any charges different from those published in the carrier's effective tariff. The payment of freight charges may not be postponed due to alleged loss or damage. These charges should be paid in full and the portion applicable to the lost or damaged item should be included in the freight claim. Claims and payment of freight charges are two entirely different transactions. ICC regulations prohibit withholding payment of freight bills because of pending claim or claims. Without payment of freight charges, payment for transportation has not been made. A valid claim will not be paid until freight charges are paid in full.