CFB Claims and Risk Management 2

Question 1

Under 49 CFR Part 370, how long does a carrier have to acknowledge receipt of a freight claim after it is filed?

Accepted Answer

30 days

Answer

49 CFR § 370.5 requires a carrier to acknowledge receipt of a freight claim in writing within 30 days of receiving it, unless the claim is resolved within that period.

Question 2

Under 49 CFR Part 370, what is the maximum time a carrier has to pay, deny, or make a settlement offer on a freight claim before the claimant can pursue legal action?

Accepted Answer

120 days

Answer

49 CFR § 370.9 requires carriers to pay, deny, or offer settlement within 120 days of claim receipt; if more time is needed, they must provide status updates every 60 days thereafter.

Question 3

Under the Carmack Amendment, what is the statute of limitations for a shipper to file a lawsuit against a carrier for a denied freight claim?

Accepted Answer

2 years from the date the carrier disallows the claim in writing

Answer

The Carmack Amendment allows carriers to set a minimum two-year limitation period for suits, which begins on the date the carrier gives written notice that it has disallowed (denied) the claim.

Question 4

What is 'concealed damage' in the context of freight claims?

Accepted Answer

Damage discovered after delivery when the outer packaging appeared intact at the time of receipt

Answer

Concealed damage is internal damage to goods that is not apparent until the packaging is opened, making it more difficult to prove when the damage occurred relative to the carrier's possession.

Question 5

Which party bears primary liability for cargo loss or damage during transportation under the Carmack Amendment?

Accepted Answer

The motor carrier transporting the freight

Answer

The Carmack Amendment places strict liability on the motor carrier for goods in its care, custody, and control, unless the carrier can prove one of the five common-law defenses.

(CFB) Certified Freight Broker Practice Test

(CFB) Certified Freight Broker Practice Test

CFB Claims and Risk Management 2