FREIGHT DAMAGE AND FREIGHT SHORTAGE
The products Air Tech Sales sells are delivered to you (the consignee) by a trucking/freight company (the carrier). In most cases the manufacturer (the shipper/consignor) selects the carrier.
F.O.B.:
ALL PRODUCTS QUOTED BY AIR TECH SALES ARE SHIPPED F.O.B. FACTORY.
F.O.B. (Free on board) means the point where legal ownership (or title)
changes from the shipper to the consignee. "F.O.B. FACTORY"
means that change of title for the product from the shipper (the factory)
to the consignee (you) occurs when the freight is loaded for the first
time aboard the carriers truck at the shippers factory/warehouse.
FREIGHT DAMAGE AND MISSING ITEMS:
Luckily most shipments are delivered complete, on time, and in good condition. Unfortunately, those that give us the most grief are delivered with freight damage or missing items (called a shortage). The only way to determine if either of these have occurred is when you receive the freight at your shop or job site is to check it, actually look at the freight for obvious damage. The shipping papers (the bill of lading) will indicate how the product was originally delivered to the shipper. It will tell you if the freight started on pallets or in cartons. It will also indicate the type of product, quantities of product, weights and the day it was picked up at the shipping point. So, if it was originally shipped on pallets and it arrives as loose boxes, obviously something happened in transit and the materials need to be looked over. Check each carton for damage and check the Packing Slip (supplied by the factory) for proper quantity.
That brings us to the problem of…concealed damage. Concealed damage is damage that is not obvious when the material is received. It is concealed inside a box or not within sight. This type of freight damage is very difficult to prove after you have received the material. To prevent conflict between the freight carrier and manufacturer, inspect each shipment, each carton, and if necessary, each item WHEN YOU RECEIVE THEM. If a cardboard container shows any sign of tears, unusual folds, dents, wrinkles, or sags, open it before signing for the shipment. A few minutes of inspection time can be very beneficial to your company. If the shipment has been sitting in your possession for any length of time, how can a shipper be sure that it is concealed damage from them and not you dropping a box loading it into your truck? Would you pay someone for that?…and you want them to do it? It can get very costly if you find concealed damage a month after the shipment was received or worse, on the day the material was to be installed. After the fact, how can you prove the carrier caused the damage?
DAMAGE NEEDS TO BE DETERMINED WHEN YOU RECEIVE THE SHIPMENT
WHEN YOU FIND FREIGHT DAMAGE OR SHORTAGES
REMEMBER YOU OWN THIS MATERIAL
OPTION #1: ACCEPT THE SHIPMENT AND FILE A FREIGHT CLAIM
However, BEFORE you sign for the shipment make a note on the freight bill that describes the amount of damage or shortage. Even if the truck driver says otherwise…If he/she complains, go for option #2 below. The information you put on the freight bill is not a dollar amount, but a description such as; "3 damaged boxes"; "5 smashed grilles"; "shipment short 2 cartons". If you do not make any notation when you receive the goods you will have no proof for your freight claim. Be sure to KEEP A COPY of this freight bill.
When you accept the freight, remember that the product is your property, it is your responsibility to file the freight claim, NOT Air Tech Sales or the shipper.
Contact the shipper or ask the driver for the claims department phone number. Call them and discuss the problem. The freight company will send you a freight claim form and in some cases they will send out a claim adjuster. Be prepared to supply a value, model number, and description of the damaged material.
We all dislike this inconvenience, but you must file the claim so your company will receive reimbursement from the carrier. We have found that freight claims filed in a timely manner, are resolved in a timely manner. If you wish, Air Tech Sales will assist your firm in completing the claim form.
Whether you file a claim or not is your decision. Regardless, you must still pay Air Tech Sales for the material, even if it is damaged or lost. If you do file a claim, the carrier will reimburse your company for damaged or loss products, replacement products, and in some cases your time to repair the damages. Contact the carriers claims department before starting any repair work and be sure to save all damaged material until inspected by the carrier's claims department.
If the product is damaged beyond repair or lost you may want to reorder. This reorder will be billed to your company by AIR TECH SALES. You are expected to pay Air Tech Sales for the original order and any reorders.
OPTION #2: REFUSE THE SHIPMENT
PLEASE DO NOT REFUSE THE SHIPMENT!!! As we stated above, all products are shipped F.O.B. Factory. This means the title to the products transfers to you at the point of shipment. You own the product when it is put on the truck. It is your property. If you refuse the shipment the trucking company will try to contact the shipper to see if they will take the shipment back. If they take the shipment back you may have to pay for the shipping costs and restocking charges. If the shipper refuses to take back the materials they will go into storage and storage fees will begin immediately. After a specific time period the shipper can assign a lein to the products and sell them for transportation and storage costs. You will still have to pay AIR TECH SALES for the shipment.
BEFORE REFUSING ANY SHIPMENT PLEASE CALL YOUR AIR TECH SALES REPRESENTATIVE AT (916) 969-6730.