[Code of Federal Regulations]

[Title 49, Volume 5]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 49CFR375.405]



[Page 93-95]

 

                        TITLE 49--TRANSPORTATION

 

                      DEPARTMENT OF TRANSPORTATION

 

PART 375_TRANSPORTATION OF HOUSEHOLD GOODS IN INTERSTATE COMMERCE; 

CONSUMER PROTECTION REGULATIONS--Table of Contents

 

                      Subpart D_Estimating Charges

 

Sec. 375.405  How must I provide a non-binding estimate?



    (a) If you do not provide a binding estimate to an individual 

shipper in accordance with Sec. 375.403, you must provide a non-binding 

written estimate to the individual shipper.



[[Page 94]]



    (b) If you provide a non-binding estimate to an individual shipper, 

you must provide your reasonably accurate estimate of the approximate 

costs the individual shipper should expect to pay for the transportation 

and services of the shipment. You must comply with the following ten 

requirements:

    (1) You must provide reasonably accurate non-binding estimates based 

upon the estimated weight or volume of the shipment and services 

required. If you provide a shipper with an estimate based on volume that 

will later be converted to a weight-based rate, you must provide the 

shipper an explanation in writing of the formula used to calculate the 

conversion to weight.

    (2) You must explain to the individual shipper final charges 

calculated for shipments moved on non-binding estimates will be those 

appearing in your tariffs applicable to the transportation. You must 

explain to the individual shipper these final charges may exceed the 

approximate costs appearing in your estimate.

    (3) You must furnish non-binding estimates without charge and in 

writing to the individual shipper or other person responsible for 

payment of the freight charges.

    (4) You must retain a copy of each non-binding estimate as an 

attachment to be made an integral part of the bill of lading contract.

    (5) You must clearly indicate on the face of a non-binding estimate, 

the estimate is not binding upon you and the charges shown are the 

approximate charges to be assessed for the services identified in the 

estimate. The estimate must clearly state that the shipper may not be 

required to pay more than 110 percent of the non-binding estimate at the 

time of delivery.

    (6) You must clearly describe on the face of a non-binding estimate 

the entire shipment and all services you are providing.

    (7) If it appears an individual shipper has tendered additional 

household goods or requires additional services not identified in the 

non-binding estimate, you are not required to honor the estimate. If an 

agreement cannot be reached as to the price or service requirements for 

the additional goods or services, you are not required to service the 

shipment. However, if you do service the shipment, before loading the 

shipment, you must do one of the following two things:

    (i) Reaffirm your non-binding estimate.

    (ii) Negotiate a revised written non-binding estimate listing the 

additional household goods or services.

    (8) Once you load a shipment, failure to execute a new non-binding 

estimate signifies you have reaffirmed the original non-binding 

estimate. You may not collect more than 110 percent of the amount of the 

original non-binding estimate at destination.

    (9) If you believe additional services are necessary to properly 

service a shipment after the household goods are in transit, you must 

inform the individual shipper what the additional services are before 

performing those services. You must allow the shipper at least one hour 

to determine whether he or she wants the additional services performed. 

If the individual shipper agrees to pay for the additional services, you 

must execute a written attachment to be made an integral part of the 

bill of lading contract and have the individual shipper sign the written 

attachment. This may be done through fax transmissions; e-mail; 

overnight courier; or certified mail, return receipt requested. You must 

bill the individual shipper for the additional services after 30 days 

from delivery. If the individual shipper does not agree to pay the 

additional services, the carrier should perform only those additional 

services as are required to complete the delivery, and bill the 

individual shipper for the additional services after 30 days from 

delivery.

    (10) If the individual shipper requests additional services after 

the household goods are in-transit, you must inform the individual 

shipper additional charges will be billed. You may require full payment 

at destination of no more than 110 percent of the original non-binding 

estimate. You must bill for the payment of the balance of any remaining 

charges after 30 days after delivery. For example, if your non-binding 

estimate to an individual shipper estimated total charges at delivery as 

$1,000, but your actual charges at destination are $1,500, you must 

deliver



[[Page 95]]



the shipment upon payment of $1,100 (110 percent of the estimated 

charges) and forego demanding immediate payment of the balance. You then 

must issue a freight or expense bill for the remaining $400 after the 

30-day period expires.

    (c) If you furnish a non-binding estimate, you must enter the 

estimated charges upon the order for service and upon the bill of 

lading.

    (d) You must retain a copy of the non-binding estimate for each move 

you perform for at least one year from the date you made the estimate 

and keep it as an attachment to be made an integral part of the bill of 

lading contract.



[68 FR 35091, June 11, 2003, as amended at 69 FR 10576, Mar. 5, 2004]