§13707 — Title 49 Transportation | U.S. Code

Summary

Carriers must hand over goods at the destination only after they are paid for the transportation or service, unless rules from the Secretary of Transportation allow otherwise. Those rules can let carriers deliver before payment and can allow motor carriers to bill weekly or monthly and water carriers to bill on a set schedule. Carriers may give credit when moving property for the U.S. Government, a State, a territory or possession, or a local government. For household goods moves, carriers must release the goods at delivery when the shipper pays 100 percent of a binding estimate or no more than 110 percent of a nonbinding estimate. If only part of a shipment is delivered, the charge is prorated by weight. Extra services added after the contract do not follow these estimate rules. Operations the carrier calls "impracticable" under its tariff are excepted, but charges collected at delivery for those operations cannot be more than 15 percent of the other charges due at delivery; any remaining amount must be paid within 30 days after the carrier gives its freight bill.

Title 49, §13707

Transportation — Source: USLM XML via OLRC

(a)Except as provided in subsection (b), a carrier providing transportation or service subject to jurisdiction under this part shall give up possession at the destination of the property transported by it only when payment for the transportation or service is made.

(b)(1)Under regulations of the Secretary governing the payment for transportation and service and preventing discrimination, those carriers may give up possession at destination of property transported by them before payment for the transportation or service. The regulations of the Secretary may provide for weekly or monthly payment for transportation provided by motor carriers and for periodic payment for transportation provided by water carriers.

(2)Such a carrier (including a motor carrier being used by a household goods freight forwarder) may extend credit for transporting property for the United States Government, a State, a territory or possession of the United States, or a political subdivision of any of them.

(3)(A)A carrier providing transportation of a shipment of household goods shall give up possession of the household goods being transported at the destination upon payment of—

(i)100 percent of the charges contained in a binding estimate provided by the carrier;

(ii)not more than 110 percent of the charges contained in a nonbinding estimate provided by the carrier; or

(iii)in the case of a partial delivery of the shipment, the prorated percentage of the charges calculated in accordance with subparagraph (B).

(B)For purposes of subparagraph (A)(iii), the prorated percentage of the charges shall be the percentage of the total charges due to the carrier as described in clause (i) or (ii) of subparagraph (A) that is equal to the percentage of the weight of that portion of the shipment delivered to the total weight of the shipment.

(C)Subparagraph (A) does not apply to additional services requested by a shipper after the contract of service is executed that were not included in the estimate.

(D)Subparagraph (A) does not apply to impracticable operations, as defined by the applicable carrier tariff, except that the charges collected at delivery for such operations shall not exceed 15 percent of all other charges due at delivery. Any remaining charges due shall be paid within 30 days after the carrier presents its freight bill.

Notes & Related Subsidiaries

Editorial Notes

Prior Provisions

Provisions similar to those in this section were contained in section 10743 of this title prior to the general amendment of this subtitle by Pub. L. 104–88, § 102(a).

Amendments

2005—Subsec. (b)(3). Pub. L. 109–59 added par. (3).

Statutory Notes and Related Subsidiaries

Effective Date

Section effective Jan. 1, 1996, except as otherwise provided in Pub. L. 104–88, see section 2 of Pub. L. 104–88, set out as a note under section 1301 of this title.

§13707 Payment of rates