National Motor Freight Transportation Association (NMFTA) initiates major damage claim
On April 18, the National Motor Freight Classification (NMFC) guidelines introduced a major change to the concealed damage claim rule. Currently, concealed damages may be reported up to 15 days after delivery for consideration of a valid claim. According to the new guidelines, which carriers use for their rules tariffs, the time period for reporting concealed damages has been reduced to five days. A summary is posted below:
Supplement 1 to NMF 100-AO, effective April 18, 2015
ITEM 300135-A REPORTING CONCEALED DAMAGE
(a) When damage to, or loss of, contents of a shipping container is discovered by the consignee that could not have been determined at time of delivery it must be reported by the consignee to the delivering carrier upon discovery. (b) Reports must include a request for inspection by the carrier’s representative. (c) Notice of loss or damage and request for inspection may be given by telephone or in person, but in either event must be confirmed by a written or electronic communication. (d) While awaiting inspection by carrier, the consignee must hold the shipping container and its contents in the same condition they were in when damage was discovered, insofar as it is possible to do so. (e) Unless otherwise specified by the carrier, notice of loss or damage should be provided to the carrier within five (5) business days from the date of delivery. (f) If five (5) business days, or such other period as specified by the carrier, pass between the date of delivery of the shipment by carrier and date of report of loss or damage and request for inspection by consignee, it is incumbent upon the consignee to offer reasonable evidence to the carrier’s representative when inspection is made that loss or damage was not incurred by the consignee after delivery of shipment by carrier.
SUPPLEMENT 1 TO NMF 100-AO PROCEDURES GOVERNING THE INVESTIGATION AND DISPOSITION OF FREIGHT CLAIMS FOR LOSS OR DAMAGE
Only participants in the NMFC® at the time the transportation occurs may use the provisions herein. For explanation of abbreviations and reference marks, see last page of this Supplement. ©NMFTA 2015 ITEM 300135-A-Continued (g) Reasonable evidence includes, but is not limited to: 1. Identifying the party(ies) responsible for unloading, 2. Identifying the chain of custody of the article, including prior transportation by any mode, 3. Location(s) of the article(s) once the shipment was received until the damage was noted, 4. Any mechanical or physical handling by the consignee subsequent to delivery by the carrier. (h) If a clear delivery receipt is available on the shipment, e.g. no damage or shortage is noted, the claimant must provide documentation showing that damage or loss occurred prior to delivery.