Truck Dispatcher TruckDisp Cargo Claims and Carrier Liability 2 — Questions and Answers
Question 1: Under the Carmack Amendment, what is the carrier's standard liability limit for loss or damage to household goods?
- $0.10 per pound per article
- $0.60 per pound per article (Correct answer)
- $1.00 per pound per article
- Full replacement value automatically
Correct answer: $0.60 per pound per article
The default liability for household goods under Carmack Amendment regulations is $0.60 per pound per article unless the shipper declares higher value.
Question 2: A shipper notices cargo damage at delivery but accepts the shipment without noting the damage on the delivery receipt. What type of claim must they file?
- Visible damage claim
- Concealed damage claim (Correct answer)
- Total loss claim
- Freight shortage claim
Correct answer: Concealed damage claim
When damage is discovered after delivery without notation on the delivery receipt, it is classified as a concealed damage claim.
Question 3: Which document serves as the primary evidence of a contract of carriage and receipt of goods by the carrier?
- Commercial invoice
- Packing list
- Bill of lading (Correct answer)
- Certificate of origin
Correct answer: Bill of lading
The bill of lading is the contract of carriage and serves as a receipt for goods accepted by the carrier.
Question 4: How long does a carrier typically have to acknowledge receipt of a cargo claim under federal regulations?
- 15 days
- 30 days (Correct answer)
- 45 days
- 60 days
Correct answer: 30 days
Federal regulations require carriers to acknowledge receipt of a written cargo claim within 30 days.
Question 5: What does 'released value' mean in the context of carrier liability?
- The carrier releases all liability for the shipment
- The shipper agrees to a lower declared value in exchange for a reduced freight rate (Correct answer)
- The cargo is released to a third party for inspection
- The carrier releases the claim to an insurance company
Correct answer: The shipper agrees to a lower declared value in exchange for a reduced freight rate
Released value is when a shipper declares a lower cargo value to obtain lower freight rates, thereby limiting the carrier's maximum liability.
Question 6: A carrier is NOT liable for cargo loss caused by which of the following?
- Driver error during loading
- Improper packaging by the shipper (Correct answer)
- Delays caused by traffic conditions
- Theft from an unsecured trailer
Correct answer: Improper packaging by the shipper
Carriers are not liable for loss or damage resulting from improper or defective packaging by the shipper.
Question 7: When a dispatcher receives notice of a cargo claim, what is the FIRST action they should take?
- Immediately repair or replace the damaged goods
- Notify the carrier's claims department and preserve all documentation (Correct answer)
- Dispute the claim with the shipper
- File a police report
Correct answer: Notify the carrier's claims department and preserve all documentation
The dispatcher should promptly notify the carrier's claims department and ensure all relevant documentation such as BOL, photos, and delivery receipts are preserved.
Under the Carmack Amendment, what is the carrier's standard liability limit for loss or damage to household goods?