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DEMURRAGE

2. When the lading is frozen while in transit so as to require more than fortyeight hours to remove it from the car, the total time actually expended by consignee in heating, thawing or loosening and removing it will be considered as free time,

but no allowance will be made for detention during the time that no effort is made to unload. This rule will not apply to shipments which are tendered in a condition to unload. Under this rule, consignee shall not be entitled to additional time unless, within the prescribed free time, he shall serve upon the railroad's agent a written statement that the lading was frozen when tendered.

3. When the lading is frozen while in transit so as to require more than fortyeight (48) hours to remove it from the car, the total time actually expended by consignee in heating, thawing, or loosening and removing it will be considered as free time, but no allowance will be made for detention during the time that no effort is made to unload. This rule will not apply to shipments which are tendered in a condition to unload. Under this Rule, consignee shall not be entitled to additional time unless, within the prescribed free time, he shall serve upon the railroad's agent a written statement that the lading was frozen when tendered.

No allowance on account of weather interference shall be made on cars subject to Rule 6, Section B.

CLAIMS

(Con.)

SECTION B.-Bunching.

1. Cars for loading. When, by reason of delay or irregularity in filling orders, cars are bunched and placed for loading in accumulated numbers in excess of daily placing as ordered, the shipper shall be allowed such free time for loading as he would have been entitled to had the cars been placed for loading as ordered.

2. Cars for unloading or reconsigning. When, as the result of the act or neglect of any carrier, cars originating at the same point, moving via the same route and consigned to one consignee at one point, are bunched or when cars originating at different points and transported via the same route from an intermediate common point to destination are bunched after arriving at the common point (in which event the dates of arrival of the cars at common point will govern in determining the bunching instead of the dates of shipment), and are tendered for delivery by this railroad in accumulated number in excess of daily shipments, the consignee shall be allowed such free time as he would have been entitled to had the cars not been bunched, but when any car is released before the expiration of such free time, the free time on the next car will be computed from the first 7:00 a. m. following such release; provided, however, no allowance will be made unless claim is presented in writing to this railroad's agent within thirty (30) days after the date on which bill for demurrage is rendered, supported by the receipted bill as evidence of payment of the demurrage as originally charged and a statement showing the date and point of shipment of each car involved in the bunching claim. (See Exception.)

NOTE.—Under this rule, cars moving from different point and/or via different routes to destination and arriving on different dates will be considered bunched if tendered for delivery on one day and such free time shall be allowed as the consignee would have been entitled to, had the cars been placed or tendered for delivery in the order of their arrival.

EXCEPTION.—Paragraph 2 above will not apply on Intrastate traffic in Georgia, South Carolina, or Texas. Paragraph 2 as shown below will apply.

22. Cars for unloading or reconsigning. When, as the result of the act or neglect of any carrier, cars originating at the same point or at intermediate points, moving via the same route and destined for one consignee, at one point, are bunched at originating point, in transit or at destination, and delivered by this railroad in accumulated numbers in excess of daily shipments, the consignee shall be allowed

Applies only on Intrastate Traffic in Florida, Georgia or Oklahoma; also on Ore Concentrates and Coal moving intrastate in Montana. Applies only on Intrastate Traffic in Georgia, South Carolina and Texas.

DEMURRAGE

such free time as he would have been entitled to had the cars not been bunched, but when any car is released before the expiration of such free time, the free time on the next car will be computed from the first 7:00 A. M. following such release; provided, however, no allowance will be made unless claim is presented in writing to this railroad's agent within thirty days after the date on which demurrage bill is. rendered and supported by statements showing date and point of shipment of each

car.

CLAIMS.

(Con.)

3. Cars for Unloading or Reconsigning.-When, as the result of the act or neglect of any carrier, cars originating at the same point or at intermediate points moving via the same route and destined for one consignee, at one point, are bunched at originating point, in transit or at destination, and delivered by this railroad in accumulated numbers in excess of daily shipments, the consignee shall be allowed such free time as he would have been entitled to had the cars not been bunched, but when any car is released before the expiration of such free time, the free time on the next car will be computed from the first 7:00 a. m. following such release; provided, however, no allowance will be made unless claim is presented in writing to this railroad's agent within thirty (30) days after the date on which demurrage bill is rendered and supported by statements showing date and point of shipment of each car.

SECTION C.-Demand of Overcharge.-When this railroad's agent demands the payment of transportation charges in excess of tariff authority.

SECTION D.-Delayed or Improper Notice by this Railroad.

1. (a) When notice of arrival does not contain all the information specified in Rule 4, Section A, consignee shall not have the right to call in question the sufficiency of such notice, unless within the prescribed free time he shall serve upon this railroad's agent a written statement of the omitted information required, in which event the time between receipt of such statement and the furnishing of the omitted information will not be computed against the consignee.

(b) When the consignee makes request in writing for the name of the consignor, point of shipment and/or, if transferred in transit, the initials and number of the original car, to enable him to identify the shipment in a car placed or tendered for delivery on other-than-public-delivery track, such information will be furnished, but consignee shall not be entitled to additional free time unless such request has been served on this railroad's agent within the prescribed free time, in which event the time between receipt of the request and compliance therewith will not be computed against the consignee. (See Rule 4, Section A, Note.)

2. When claim is made that a mailed notice has been delayed, postmark thereon shall be accepted as indicating the date of the notice.

3. When a notice is mailed by this railroad on Sunday, a legal holiday, or after 3:00 p. m. on other days (as evidenced by the postmark thereon), consignee shall be allowed five (5) hours additional free time provided he shall send or give to this railroad's agent, within the first twenty-four (24) hours of free time, written advice that the notice had not been received until after the free time had begun to run; in case of failure on the part of consignee so to advise this railroad's agent, no additional free time shall be allowed.

4. In case of failure by this railroad to send notice in accordance with the provisions of Rule 4, Section E, the consignor shall not be held liable for demurrage charges between the date the notice should have been sent and the date it was actually sent.

SECTION E.-Error of Any Railroad Which Prevents Proper Tender or Delivery.

1. Under this Rule demurrage will be charged on the basis of the amount that would have accrued but for such error. This also applies in the case of constructively

DEMURRAGE

CLAIMS

(Con.)

placed cars being "run-around” by actually placing recent arrivals ahead of previous arrivals, but allowance will only be made on cars subject to Rule 9, Average Agreement, that arė held beyond the fourth debit day.

NOTE.-No allowance will be made for delay in placing nor for interruption in loading or unloading cars consigned or ordered to a siding used by two or more shippers cr consignees when such delay or interruption is attributable to such joint use of the siding, except that due allowance will be made if a car displaced in switching is not replaced when switching is completed.

SECTION F.-Delay by U. S. Customs.—Such additional free time shall be allowed as has been lost through such delay.

RULE 9.

When the following agreement has been entered into, the charge for detention of cars, on all cars subject to demurrage, held for loading or unloading, shall be computed on the basis of the average time of detention to all such cars released during each calendar month; such average detention and charge to be computed as follows:

SECTION A.-One credit will be allowed for each car, released within the first twenty-four (24) hours of free time. After the expiration of forty-eight (48) hours (96 hours on cars subject to Rule 8, Section A, Paragraph 2) free time, one debit per car per day, or fraction of a day, will be charged for each of the first four (4) days. In no case shall more than one credit be allowed on any one car, and in no case shall more than four credits be applied in cancellation of debits accruing on any one car. When a car has accrued four debits a charge of $5 per car per day, or fraction of a day, will be made for all subsequent detention and will apply on all subsequent Sundays and legal holidays, including a Sunday or holiday immediately following the day on which the fourth debit begins to run.

SECTION B.-Credits earned on cars held for loading shall not be used in offsetting debits accruing on cars held for unloading nor shall credits earned on cars held for unloading be used in offsetting debits accruing on cars held for loading.

SECTION C.-Credits cannot be earned by private cars subject to Rule 1, Section B, Paragraph 4 (a), but debits charged on such private cars while under constructive placement may be offset by credits earned on other cars.

AVERAGE AGREEMENT

SECTION D.-At the end of the calendar month, the total number of credits will be deducted from the total number of debits and $2 per debit will be charged for the remainder. If the credits equal or exceed the debits no charge will be made for the detention of the cars and no payment will be made by this railroad on account of such excess of credits; nor shall the credits in excess of the debits of any one month be considered in computing the average detention for another month.

SECTION E.-A party who enters into this average agreement shall not be entitled to include therein cars subject to Rule 2, Section B, nor shall he be entitled to cancellation or refund of demurrage charges under Section A, Paragraph 1, nor under Section B of Rule 8, except where bunching has been caused by strike of carrier's employes, or where shipments of coal, withheld by the carrier to protect its fuel supply are subsequently delivered to consignee in accumulated numbers. (See Exception.)

EXCEPTION.-Section E above will not apply on Intrastate traffic in Florida, Georgia or Oklahoma. Section E shown below will apply.

DEMURRAGE

SECTION E.-A party who enters into this average agreement shall not be entitled to include therein cars subject to Rule 2, Section B, or Rule 6, Sections B and C, nor shall he be entitled to cancellation or refund of demurrage charges under Section A, Paragraph 1, or Section B, of Rule 8.

SECTION F.-A party who enters into this average agreement may be required to give sufficient security to this railroad for the payment of balances against him at the end of each month.

SECTION G.-An average agreement must include all cars loaded or unloaded within the jurisdiction of the same station, except that when desired separate agreements may be entered into for each plant or yard within the jurisdiction of the same station, but in no case can the cars loaded or unloaded within the jurisdiction of two or more stations be combined in one average agreement, nor shall the cars loaded or unloaded by more than one consignor or consignee be combined in one average agreement, except that cars consigned, reconsigned, or ordered to a public elevator, warehouse or cotton compress serving various parties may be combined in one average agreement.

AGREEMENT.

AVERAGE
AGREEMENT

(Con.)

Railroad. Being fully acquainted with the terms, conditions, and effect of the average basis for settling for detention to cars as set forth in...

being the car demurrage rules governing at all stations and sidings on the lines of said railroad, except as shown in said tariff, and being desirous of availing (myself or ourselves) of this alternate method of settlement (I or we) do expressly agree to and with the

Railroad that with respect to all cars which may, during the continuance of this agreement, be handled for (my or our) account at (Station) (I or we) will fully observe and comply with all the terms and conditions of said rules as they are now published or may hereafter be lawfully modified by duly published tariffs, and will make prompt payment of all demurrage charges accruing thereunder in accordance with the average basis as therein established or as hereafter lawfully modified by duly published tariffs. This agreement to be effective on and after the...

.... day of 19........ and to continue until termination by written notice from either party to the other, which notice shall become effective on the first day of the month succeeding that in which it is given. Approved and accepted.

19........, by and on behalf of the above-named railroad by....

STORAGE

STORAGE

APPLICATION

The storage charges, rules and regulations of the transportation lines apply to freight held or stored in or on their premises.

PURPOSE

After the arrival of a shipment at its destination, the duty of the consignee or owner is to remove it as quickly as possible. It is not a proper practice to allow goods to remain in the possession of a carrier for any greater period than is absolutely necessary or unavoidable. The transportation companies are in the business of transporting goods, and their freight stations are intended to be used solely for the purpose of facilitating and expediting the receipt and delivery of goods, and not as places for the storing of goods.

The transportation companies are obliged to furnish adequate facilities for the receipt and delivery of shipments and, except at a heavy cost which in the end the shipping public would have to pay, they would be unable to discharge this duty if they permitted freight to remain in their possession over long periods. It is unfortunate, both for the carrier and for the public, when a carrier's station becomes congested with freight which is ready for delivery. This creates waste of time, labor, and money in the handling of shipments, both inbound and outbound. However, it is necessary for the transportation companies to allow a reasonable time for the removal of goods after they arrive at their destination.

As in the case of demurrage charges, storage charges are assessed by the carriers, not so much as a way of establishing a source of revenue, as for the purpose of penalizing consignees or owners of the goods, to the end that they might become discouraged in the practice of permitting shipments to remain in the possession of the carriers unnecessarily.

REMOVAL OF
PROPERTY TO
PUBLIC
STORAGE

Section 4 (a) of the "Contract Terms and Conditions" of the carriers' bill of lading reads as follows:

"Property not removed by the party entitled to receive it within the free time allowed by tariffs, lawfully on file (such free time to be computed as therein provided) after notice of the arrival of the property at destination or at the port of export (if intended for export) has been duly sent or given, and after placement of the property for delivery at destination has been made, may be kept in vessel, car, depot, warehouse, or place of delivery of the carrier, subject to the tariff charge for storage and to carrier's responsibility as warehousemen only, or at the option of the carrier, may be removed to and stored in a public or licensed warehouse at the place of delivery or other available place, at the cost of the owner, and there held without liability on the part of the carrier, and subject to a lien for all freight and other lawful charges, including a reasonable charge for storage.”

It will be noted that under the terms of the bill of lading, the carrier has the right to remove a shipment from its premises and place it in public storage where it will be held without liability on the part of the carrier and subject to a lien for all freight and other lawful charges, including a reasonable charge for storage. If the carriers did not have the privilege of placing goods in public storehouses, freight stations would often become so congested with undelivered freight as to make them unavailable as facilities for the receipt and delivery of shipments, a condition which could not be tolerated by either the carriers or the shipping public.

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