Documentation & Legal Requirements Flashcards

Under the Carmack Amendment, how long does a shipper or consignee have to file a written cargo claim with the motor carrier?

Answer: 9 months from the delivery date or reasonable delivery date

The Carmack Amendment (49 U.S.C. § 14706) requires cargo claims to be filed in writing with the carrier within nine months of delivery or, for non-delivery, within nine months of a reasonable delivery date.

Under the Carmack Amendment, after a carrier issues a written denial of a cargo claim, the claimant has how long to file suit?

Answer: 2 years from the written denial

Under 49 U.S.C. § 14706(e)(1), a civil action for cargo loss or damage must be brought within two years of the day the carrier provides written notice of disallowance of the claim.

Under 49 CFR Part 370, a motor carrier must acknowledge receipt of a cargo claim within:

Answer: 30 days of receipt

49 CFR § 370.9(a) requires carriers to acknowledge receipt of each cargo claim in writing within 30 days of receiving it, unless they pay or deny within the same period.

Under 49 CFR Part 370, a carrier must pay, decline, or make a compromise settlement offer on a cargo claim within:

Answer: 120 days of claim receipt

49 CFR § 370.9(b) requires carriers to resolve cargo claims — by paying, denying, or offering settlement — within 120 days of receiving the claim.

In a cargo subrogation action, the insurer that paid a cargo claim:

Answer: Steps into the insured's legal rights and can pursue the liable carrier for recovery

Subrogation allows the insurer, after paying the insured's loss, to stand in the insured's shoes and pursue the responsible carrier or third party for recovery of the amount paid.

Which of the following is a required element of a valid cargo claim filing under 49 CFR Part 370?

Answer: A written statement identifying the shipment, describing the loss, and claiming a specific or determinable amount

A valid claim under 49 CFR § 370.3 must be in writing, identify the shipment, assert liability, and claim a specific or determinable amount — supporting documents help but are not all individually mandatory.

When a carrier limits its liability for cargo loss by contract below the Carmack Amendment default, what must the shipper receive in exchange for this limitation to be enforceable?

Answer: A reasonable opportunity to declare a higher value and ship at a higher rate

For a released-rate or limitation-of-liability agreement to be enforceable under Carmack, the carrier must give the shipper a fair opportunity to choose a higher declared value with a corresponding higher rate.