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August 2009
Action: Delayed Reaction to notices of "Refused" or "On Hand" for freight Shipments for which you are responsible.
Carriers will notify shippers or receivers of material that is on hand on for some reason has been returned, or is awaiting some sort of clearance prior to delivery. This could be the payment of COD charges; shipments refused by customers, or damaged material. But regardless of the reason, prompt disposition is important, because at the end of a specific number of days, the shipments become subject to storage charges. Prompt disposition instructions can avoid this possible exposure. In addition, the carrier holding the shipment assumes the legal
responsibility for the products as a warehouseman, which is altogether different than as a carrier. The important consideration is that you do not delay taking appropriate action to mitigate to the fullest possible extent the cost that accrue against this shipment which will then have to be returned into inventory, damage assessed, claims filed and/or the shipment is disposed of in a manner that results in the best total expense. The Logistics group has the prime responsibility although other “Team Group C” members must also be involved.
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