Refused Damaged LTL Shipments

When an LTL freight shipment is refused because of damage the carrier will notify the shipper and request a RGA# (or RMA#) to have it sent back to the shipper. If the shipper refuses to take it back the carrier will notify the consignee about accepting the freight again. In a case where the shipper will not accept the freight, the consignee should ask for it to be redelivered to them and take possession. If it is a third party drop shipment, the party paying the freight charges may accept it as well. If no response from anyone the carrier will send a letter with time limits before they sell it at salvage. 

The important takeaway is that someone must take possession of a refused damaged shipment before the carrier sends it to be sold at auction for salvage and all hope of receiving a claim settlement is lost. In most instances carriers will send the freight back to the shipper or party taking possession of the damaged freight at no charge, or free astray. If a claim is filed for a damaged shipment it is the responsibility of the claimant to mitigate the claimed amount to reflect the actual true dollar ($) amount of damages. The manufacturer of the freight is typically the best party suited to provide the repair costs and to perform the repairs. 

Manufacturers sometimes have repair centers or service technicians located across the country. If this happens to be the case and the consignee is located near one of these, then it may be best for the consignee to take possession of the freight in the first place. This helps avoid further damage to the freight from traveling back across the network in potentially compromised packaging, and it may allow for a faster repair time. It is extremely important that the party accepting or taking possession of the freight does not use any of the products from the damaged shipment until a claim is settled. If some of the undamaged goods must be used, then the party should obtain approval in writing from the carrier before doing so.

The party intent on filing the freight claim should notify the carrier right away the value of the shipment and that there will be a damage claim being filed for that shipment. Letting the carrier know the value of the shipment and that you will be filing a claim for the shipment before it is sent back to the shipper (or whomever is taking possession) allows the carrier the opportunity to perform an inspection while it is in their possession. In some cases where the value of the shipment is minimal a carrier may forego an inspection because of the costs associated with having a third party company perform an inspection. At any rate, the carrier needs to know the value in order to determine if an inspection is warranted. 

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