§13711 Alternative Procedure for Resolving Undercharge Disputes

Summary

It is an unreasonable practice for a motor carrier of property (not household goods), a freight forwarder (not household goods), or their agent to try to make a shipper pay the difference between a lawful filed tariff rate and a lower rate the carrier and shipper actually agreed to when the carrier stops moving freight between places covered by the law or moves freight to avoid the law. The Board has the power to decide if charging that difference is unreasonable. If the Board finds it unreasonable, the carrier or forwarder cannot collect the extra amount. A person who challenges the charge does not have to pay any extra money until the Board decides. When deciding, the Board will look at five things: whether the shipper was offered a rate different from the filed tariff; whether the shipper relied on that offer; whether the carrier failed to file the rate or a contract properly; whether the lower rate was billed and collected; and whether the carrier later demands the higher filed rate. If someone uses this rule to enforce their rights, section 13709 does not apply. This rule is an exception to certain tariff rules, including section 13702 and, for service before January 1, 1996, sections 10761(a) and 10762 as in effect on December 31, 1995. Negotiated rate — a written-agreement rate where no lawful, timely tariff was filed. This rule applies to cases pending on January 1, 1996.