New Concealed Damage Claim Guidelines & Other NMFC Rule Changes Effective 4/18

There are some important changes that have been made in Supplement 1 to NMFC 100-AO regarding guidelines for filing and investigating damage claims. New NMFC guidelines effective April 18 require concealed damages be reported to carriers within 5 days after delivery.

Currently concealed damages can be reported up to 15 days after delivery for consideration of a valid claim; however, per NMFC guidelines effective April 18, 2015 the time period for reporting concealed damages is being reduced to 5 days. The closer to the time of delivery that the damage is reported to the carrier the more likely the claimant is to receive some type of settlement offer, but just because the damage is reported in a timely fashion doesn't necessarily mean that the claim will be approved for a settlement.

Other changes effective on 4/18/2015 include one day being removed from the time frame allotted for filing suit on a claim. The new time period for filing a suit is two years. Previously, it was two years and one day. Shortage claims must now be filed within 9 months of the bill of lading date, and an added verification for loss obligation is also going into effect, which means that prior to any shortage claim being paid the carriers shall obtain a certified written statement from the consignee noting that they have not received the freight from any other source.

Additionally, for special or unique circumstances the carrier must be allowed to observe loading and/or unloading of each shipment at the time of pick-up and/or delivery, or else the shipment could be subject to liability limitations. You can visit the NMFC website for more information.

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