Carrier Guidelines. Emergencies - Call Carrier Paperwork

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1 Carrier Guidelines Emergencies - Call Carrier Paperwork 1. FAK load number and carrier number is critical. If we cannot identify the proper paperwork to our load number, payment will be delayed. We need your paperwork within 15 days of delivery. 2. Carrier must check in as FAK carrier - NOT under the truck s name. 3. Bills of Lading (BOL) a. We need clear original copies with the driver s and receiver s original signatures and/or stamp of Receiver (shipper signature not required implied with receipt of BOL). b. Verify with the FAK agent if the load is pallet exchange. If so, have shipper indicate number of pallets in and out. Remember, if pallet exchange, and BOL s are not marked with quantity in and out or a pallet receipt is not turned in, you will be charged. 4. Accessorials. Verify with FAK agent whether or not the customer requires lumper and pallet receipts, as well as any other charges. The FAK rate confirmation must agree to all accessorial charges. Also, if we do not have these documents when the load is billed, you may not receive payment for these charges until we are paid. Carrier Pay Policy 1. Completed carrier setup package. To include unaltered Master Carrier Agreement, valid insurance certificate with FAK named as Additional Insured, W-9, and Operating Authority. 2. The following documents are required for settlement. FAK rate confirmation Carrier invoice BOL(s) Receipts for approved accessorials 3. You will be paid 30 days after receipt of original paperwork if there is not any discrepancies. To check pay status go to and enter the FAK load number. You can also call customer service x The following items will create non-payment or delayed payments. Missing or incomplete paperwork BOL(s) not signed by receiver BOL(s) discrepancies. Shortages, temperature problems, count changes, and potential claims Late delivery No carrier invoice Double Brokering Note: If your address or other contact information has changed, notify FAK immediately.

2 FAK INC PO BOX 5187 DENVER, CO Ph: x167 Fax: or Date: To: Carrier ID#(office use only): Requesting Office: Company: Fax#: Phone#: Emergency#: Mobile#: address for receiving FAK s load confirmations: MC# Please notify FAK INC if there is any change in the above information immediately. ** Failure to provide these materials will result in delay of all payments until the documentation is received** Would you like a factoring company listed on your account? (Y/N) If so, please list the name of the factoring company and attach the assignment letter: W9 (Must be completed entirely including signature & date) MASTER CARRIER AGREEMENT(Please include all pgs) OPERATING AUTHORITY CERTIFICATE EQUIPMENT FORM (included in this packet) CARGO INSURANCE CERTIFICATE (FAK must be listed as the certificate holder-see attached request that can be sent to your insurance agency)

3 F.A.K. INC. INSURANCE REQUEST FORM The Certificate must: Be an original document. Provide at least 30 days notice of cancellation. Show complete insurance carrier names as listed in the A.M. Best Property & Casualty Guide. The Certificate of Insurance must be completed in its entirety & signed. Binders are not acceptable. F.A.K. must be named as an Additional Insured. CARGO LIABILITY requirements: Must indicate Broad Form or All Risk Coverage. $100,000 minimum per Conveyance Reefer Coverage Maximum of $2,500 Deductible NOTE: Please fax this information to us and mail original to the following address F.A.K. INC. P O BOX 5187 DENVER CO ATTN: INSURANCE COMPLIANCE FAX#: OR FAX#: THIS IS YOUR RESPONSIBILITY. PLEASE FORWARD THIS REQUEST FORM TO YOUR INSURANCE COMPANY.

4 MASTER CARRIER AGREEMENT This Agreement is entered into this day of, 20, by and between FAK, Inc. ("BROKER"), a Registered Property Broker, Lic. No. MC , and, a Registered Motor Carrier, Permit/Certificate No. DOT/MC ("CARRIER"); collectively, the "Parties". ("Registered" means operated under authority issued by the Federal Motor Carrier Safety Administration (or its predecessors) within the U.S. Department of Transportation.). 1. CARRIER REPRESENTS AND WARRANTS THAT IT: A. Is a Registered Motor Carrier of Property authorized to provide transportation of property under contracts with shippers and receivers and/or brokers of general commodities; B. Shall transport the property, under its own operating authority and subject to the terms of this Agreement. CARRIER s filed tariffs, if any, shall not apply and the terms and conditions set forth herein shall govern the transportation services to be performed; C. Makes the representations herein for the purpose of inducing BROKER to enter into this Agreement; D. Agrees that a Shipper s insertion of BROKER s name as the carrier on a bill of lading shall be for the Shipper s convenience only and shall not change BROKER s status as a property broker nor CARRIER s status as a motor carrier. E. Will not re-broker, assign or interline the shipments hereunder, without prior written consent of BROKER. If CARRIER breaches this provision, BROKER shall have the right of paying the monies it owes CARRIER directly to the delivering carrier, less any advances paid to CARRIER, in lieu of payment to CARRIER. Upon BROKER s payment to delivering carrier, CARRIER shall not be released from any liability to BROKER under this Agreement, including repayment of any advances paid to CARRIER. In addition to the indemnity obligation in Par 1.I CARRIER will be liable for consequential damages for violation of this Paragraph. F. Is in, and shall maintain compliance during the term of this Agreement, with all applicable federal, state and local laws relating to the provision of its services including, but not limited to: training of drivers, transportation of Hazardous Materials, (including the licensing and training of Haz Mat qualified drivers), as defined in 49 C.F.R , 173, and 397 et seq. to the extent that any shipments hereunder constitute Hazardous Materials; security regulations; owner/operator lease regulations; loading and securement of freight regulations; implementation and maintenance of driver safety regulations including, but not limited to, hiring, controlled substances, and hours of service regulations; sanitation, temperature, and contamination requirements for transporting food, perishable, and other products, qualification and licensing and training of drivers; implementation and maintenance of equipment safety regulations; maintenance and control of the means and method of transportation including, but not limited to, performance of its drivers; all applicable insurance laws and regulations including but not limited to workers compensation. Page One Carrier initials

5 G. Agrees that neither it nor its driver, other employee, owner operator or agent shall break the seal on any trailer, add any additional cargo or combine the cargo of BROKER s shipper customer with the cargo of any other shipper unless written permission has been given by BROKER to CARRIER to do so. CARRIER agrees that it shall not be entitled to payment of the freight charges for a shipment if the seal has been tampered with or if additional cargo has been added to the shipment without such written permission. H. CARRIER will notify BROKER immediately if its federal Operating Authority is revoked, suspended or rendered inactive for any reason; and/or if it is sold, or if there is a change in control of ownership, and/or any insurance required hereunder is threatened to be or is terminated, cancelled, suspended, or revoked for any reason. I. i. To the extent permissible under applicable federal and state law, and subject to the express monetary insurance limits in Par 3.D as to CARRIER, and BROKER S monetary insurance limits for general liability or such other amounts as mutually agreed by the Parties in writing, CARRIER shall defend, indemnify and hold BROKER and its shipper customer harmless from any claims, actions or damages, arising out of its performance under this Agreement, including cargo loss and damage, theft, delay, damage to property, and personal injury or death, and BROKER shall defend, indemnify, and hold CARRIER harmless from any claims, actions, or damages, including cargo loss and damage, theft, delay, damage to property, personal injury or death, arising out of its performance hereunder. Neither Party shall be liable to the other for any claims, actions or damages due to the negligence or intentional act of the other Party, or the shipper. The obligation to defend shall include all costs of defense as they accrue. ii. Except for CARRIER s liability under Par 1.E, unless otherwise agreed in writing, and regardless of whether the Parties insurance as referred to in sub par i) above, is valid or provides coverage, the Parties indemnity obligations shall not exceed the monetary insurance limits referred to in sub par i). J. Does not have an Unsatisfactory safety rating issued by the Federal Motor Carrier Safety Administration (FMCSA), U.S. Department of Transportation, and will notify BROKER in writing immediately if its safety rating is changed to Unsatisfactory or Conditional. K. Authorizes BROKER to invoice CARRIER s freight charges to shipper, consignee, or third parties responsible for payment. L. Has investigated, monitors, and agrees to conduct business hereunder based on the credit-worthiness of BROKER and is granting BROKER credit terms accordingly. M. Shall not withhold delivery of any freight due to any dispute with BROKER regarding freight charges or otherwise. CARRIER waives and releases all liens which it might otherwise have to any freight in its possession. N. Agrees that BROKER, at its option, may offset against any payments owed to CARRIER amounts CARRIER owes BROKER under this Agreement. Page Two Carrier initials

6 O. Shall not drop a trailer or leave a trailer unattended other than at the designated business facilities of consignee or at a location designated by BROKER. CARRIER further agrees that, in the event any loss of or damage to the cargo or trailer occurs as a result of its breach of this provision, then the CARRIER will indemnify BROKER and the shipper for any such loss or damage, including reasonable attorneys fees. P. Shall not accept any shipment with a declared or actual value of greater than one hundred thousand dollars ($100,000) ($US) unless and until CARRIER has informed BROKER of the value of the shipment and has received written authorization from BROKER to accept the shipment and complies with any instructions received from BROKER with respect to that shipment. Q. Will not take actions, instructions, perform services or accept monetary advances from or for any party if such action would result in a deduction from BROKER S bill, or impact BROKER S rights or the rights of the owner of the freight without BROKER S express written consent. 2. BROKER RESPONSIBILITIES: A. SHIPMENTS, BILLING & RATES: BROKER agrees to solicit and obtain freight transportation business for CARRIER to the mutual benefit of CARRIER and BROKER. BROKER shall inform CARRIER of (a) place of origin and destination of all shipments; and (b) if applicable, any special shipping instructions or special equipment requirements, of which BROKER has been timely notified. B. BROKER agrees to conduct all billing services to shippers. CARRIER shall present complete and correct invoices to BROKER for its (CARRIER s) service within ten (10) days of the delivery of the entire shipment at destination, as mutually agreed in writing, by fax, or by electronic means, contained in BROKER s Load Confirmation Sheet(s) incorporated herein by this reference. Invoices presented later than ninety (90) days from the date of delivery of the entire shipment, or the date by which the shipment should have been delivered, will not be accepted or paid by BROKER, and CARRIER waives any claim or right to payment relative to any invoices not submitted in accordance with this provision. Additional rates for truckload or LTL shipments, or modifications or amendments of the above rates, or additional rates, may be established to meet changing market conditions, shipper requirements, BROKER requirements, and/or specific shipping schedules as mutually agreed upon, and shall be confirmed in writing (or by fax) by both Parties. Any such additional, modified, or amended rates, changes in rates shall automatically be incorporated herein by this reference. C. RATES: Additionally, any rates, which may be verbally agreed upon, shall be deemed confirmed in writing where CARRIER has billed the agreed rate and BROKER has paid it. All written confirmations of rates, including confirmations by billing and payment, shall be incorporated herein by this reference. Rates or charges, including but not limited to stop-offs, detention, loading or unloading, fuel surcharges, or other accessorial charges, released rates or values, or tariff rules or circulars, shall only be valid when specifically agreed to in a signed writing by the Parties. Page Three Carrier initials

7 D. PAYMENT: i. The Parties agree that BROKER is the sole party responsible for payment of CARRIER's charges, and not any of BROKER s customers. CARRIER s only recourse for the payment of freight charges hereunder is to BROKER and not to any BROKER customer. Except as otherwise provided herein, CARRIER waives any and all claims, including any lien rights, CARRIER may have against any BROKER customer or their consignors or consignees for payment of freight charges. To the extent that any BROKER customer becomes bankrupt or subject to similar creditor remedies under applicable law and at such time the customer owes charges to BROKER, some of which may relate to BROKER services, then CARRIER agrees that BROKER shall be obligated to pay CARRIER only when and in such amount that BROKER receives payment from the customer for such CARRIER services, or BROKER may, in its sole discretion, assign any claim BROKER may have against the customer to CARRIER for CARRIER s own purposes, and in either case, such payment or assignment shall constitute full settlement of any claim CARRIER may have against BROKER for payment of outstanding invoices otherwise related to CARRIER services for such customer. BROKER agrees to pay CARRIER's invoice within thirty (30) days of receipt of the satisfactory original bill of lading and proof of delivery, provided CARRIER is not in default under the terms of this Agreement. BROKER shall have the right to set-off charges otherwise due CARRIER hereunder as to any claim or as to any other documented or liquidated claim attributable to CARRIER. ii. Payment and other disputes are subject to the terms of Par 4.D, which provides in part that prevailing parties are entitled to recovery of costs, expenses and reasonable attorney fees. E. BOND: BROKER shall maintain a surety bond /trust fund as agreed to in the amount of $10,000 (or in such greater amount as is required by law) and on file with the Federal Motor Carrier Safety Administration (FMCSA) in the form and amount not less than that required by that agency s regulations. F. BROKER will notify CARRIER immediately if its federal Operating Authority is revoked, suspended or rendered inactive for any reason; and/or if it is sold, or if there is a change in control of ownership, and/or any insurance required hereunder is threatened to be or is terminated, cancelled, suspended, or revoked for any reason. G. Brokers responsibility is limited to arranging for, but not actually performing, transportation of a shippers freight. 3. CARRIER RESPONSIBILITIES: A. EQUIPMENT: Subject to its representations and warranties in Paragraph 1 above, CARRIER agrees to provide the necessary equipment and qualified personnel for completion of the transportation services required for BROKER and/or its customers. CARRIER will not supply equipment that has been used to transport hazardous wastes, solid or liquid, regardless of whether they meet the definition in 40 C.F.R et. seq. CARRIER agrees that all shipments will be transported and delivered with reasonable dispatch, or as otherwise agreed in writing. CARRIER or its agent certifies that any Transport Refrigeration Unit (TRU) equipment furnished will be in compliance with the in-use requirements of California s TRU regulations, as required by the California Air Resources Board (CARB). CARRIER shall provide to BROKER the ARBER-certification page showing that the dispatched unit is compliant. CARRIER further agrees that its drivers shall have BROKER s contact information available so that it can be presented to authorized enforcement personnel upon request. That information shall include BROKER company s name, street address, state and zip code, and BROKER s contact person s name and business phone number associated with the shipment being transported. CARRIER agrees that it shall be responsible for any fines or penalties assessed for non-compliance with this requirement. Page Four Carrier initials

8 B. BILLS OF LADING: CARRIER shall issue a bill of lading in compliance with 49 U.S.C et seq., 49 C.F.R (and any amendments thereto), for the property it receives for transportation under this Agreement. Unless otherwise agreed in writing, CARRIER shall become fully responsible/liable for the freight when it takes/receives possession thereof, and the trailer(s) is loaded, regardless of whether a bill of lading has been issued, and/or signed, and/or delivered to CARRIER, and which responsibility/liability shall continue until delivery of the shipment to the consignee and the consignee signs the bill of lading or delivery receipt. Any terms of the bill of lading (including but not limited to payment terms, released rates or released value) inconsistent with the terms of this Agreement shall be ineffective. Failure to issue a bill of lading, or sign a bill of lading acknowledging receipt of the cargo, by CARRIER, shall not affect the liability of CARRIER. C. LOSS & DAMAGE CLAIMS: i. CARRIER shall comply with 49 C.F.R et seq. and any amendments and/or any other applicable regulations adopted by the Federal Motor Carrier Safety Administration, U.S. Department of Transportation, or any applicable state regulatory agency, for processing all loss and damage claims and salvage; and ii. CARRIER s liability for any cargo damage, loss, or theft from any cause shall be determined under the Carmack Amendment, 49 U.S.C ; and iii. Special Damages: CARRIERs indemnification liability (Par 1.H) for freight loss and damage claims under this sub par C (ii) shall include legal fees which shall constitute special damages, the risk of which is expressly assumed by CARRIER, and which shall not be limited by any liability of CARRIER under sub par (ii) above. iv. Except as provided in Par 1.E above, neither Party shall be liable to the other for consequential damages without prior written notification of the risk of loss and its approximate financial amount, and agreement to assume such responsibility in writing. v. Notwithstanding the terms of 49 CFR 370.9,CARRIER shall pay, decline or make settlement offer in writing on all cargo loss or damage claims within thirty (30) days of receipt of the claim. Failure of CARRIER to pay, decline or offer settlement within this thirty (30) day period shall be deemed admission by CARRIER of full liability for the amount claimed and a material breach of this Agreement. vi. CARRIER s liability for cargo damage, loss, or theft from any cause for any one shipment, under sub par b) above, shall not exceed $100, unless CARRIER is notified by BROKER or Shipper of the increased value prior to shipment pick up, or the CARRIER is notified of a cargo value in excess of $100, from the information provided to the CARRIER on the Bill of Lading at the time of pickup. Page Five Carrier initials

9 D. INSURANCE: CARRIER shall furnish BROKER with Certificate(s) of Insurance, or insurance policies providing thirty (30) days advance written notice of cancellation or termination, and unless otherwise agreed, subject to the following minimum limits: General liability $750,000.00; motor vehicle (including hired and non-owned vehicles) $750,000.00, ($1,000, if transporting hazardous materials including environmental damages due to release or discharge of hazardous substances); cargo damage/loss, $100,000.00; workers compensation with limits required by law. Except for the higher coverage limits which may be specified above, the insurance policies shall comply with minimum requirements of the Federal Motor Carrier Safety Administration and any other applicable regulatory state agency. Nothing in this Agreement shall be construed to avoid CARRIERS liability due to any exclusion or deductible in any insurance policy. E. ASSIGNMENT OF RIGHTS: CARRIER automatically assigns to BROKER all its rights to collect freight charges from Shipper or any responsible third party on receipt of payment from BROKER. 4. MISCELLANEOUS: A. INDEPENDENT CONTRACTOR: It is understood and agreed that the relationship between BROKER and CARRIER is that of independent contractor and that no employer/employee relationship exists, or is intended. BROKER has no control of any kind over CARRIER, including but not limited to routing of freight, and nothing contained herein shall be construed to be inconsistent with this provision. B. NON-EXCLUSIVE AGREEMENT: CARRIER and BROKER acknowledge and agree that this contract does not bind the respective Parties to exclusive services to each other. Either party may enter into similar agreements with other carriers, brokers, or freight forwarders. C. WAIVER OF PROVISIONS: i. Failure of either Party to enforce a breach or waiver of any provision or term of this Agreement shall not be deemed to constitute a waiver of any subsequent failure or breach, and shall not affect or limit the right of either Party to thereafter enforce such a term or provision. ii. This Agreement is for specified services pursuant to 49 U.S.C (b). To the extent that terms and conditions herein are inconsistent with Part (b), Subtitle IV, of Title 49 U.S.C. (ICC Termination Act of 1995), the Parties expressly waive any or all rights and remedies they may have under the Act. D. DISPUTES: Unless preempted or controlled by federal transportation law and regulations, the laws of the State of Colorado shall be controlling notwithstanding applicable conflicts of laws rules. Unless preempted by Federal law, or unless waived by BROKER, the parties agree all disputes will be resolved in the State or Federal courts of Colorado. In the event of litigation the prevailing Party shall be entitled to recover costs, expenses and reasonable attorney fees, including but not limited to any incurred on appeals. Page Six Carrier initials

10 E. NO BACK SOLICITATION: i. Unless otherwise agreed in writing, CARRIER shall not knowingly solicit freight shipments for a period of twelve (12) month(s) following termination of this agreement for any reason, from any shipper, consignor, consignee, or other customer of BROKER, when such shipments of shipper customers were first tendered to CARRIER by BROKER. ii. In the event of breach of this provision, BROKER shall be entitled, for a period of twelve (12) months following delivery of the last shipment transported by CARRIER under this Agreement, to a commission of thirty-five percent (35%) of the gross transportation revenue (as evidenced by freight bills) received by CARRIER for the transportation of said freight as liquidated damages. Additionally, BROKER may seek injunctive relief and in the event it is successful, CARRIER shall be liable for all costs and expenses incurred by BROKER, including, but not limited to, reasonable attorney's fees. F. CONFIDENTIALITY: i. In addition to Confidential Information protected by law, statutory or otherwise, the Parties agree that all of their financial information and that of their customers, including but not limited to freight and brokerage rates, amounts received for brokerage services, amounts of freight charges collected, freight volume requirements, as well as personal customer information, customer shipping or other logistics requirements shared or learned between the Parties and their customers, shall be treated as Confidential, and shall not be disclosed or used for any reason without prior written consent. ii. In the event of violation of this Confidentiality paragraph, the Parties agree that the remedy at law, including monetary damages, may be inadequate and that the Parties shall be entitled, in addition to any other remedy they may have, to an injunction restraining the violating Party from further violation of this Agreement in which case the prevailing Party shall be liable for all costs and expenses incurred, including but not limited to reasonable attorney s fees. G. The limitations of liability for cargo loss and damage as well as other liabilities, arising out of the transportation of shipments, which originate outside the United States of America, may be subject to the laws of the country of origination. H. MODIFICATION OF AGREEMENT: This Agreement and Exhibit A et.seq. attached may not be amended, except by mutual written agreement, or the procedures set forth above (Pars 2.B and 2.C). I. NOTICES: i. All notices provided or required by this Agreement, shall be made in writing and delivered, return receipt requested, to the addresses shown herein with postage prepaid; or by confirmed (electronically acknowledged on paper) fax. ii. THE PARTIES shall promptly notify each other of any claim that is asserted against either of them by iii. anyone arising out of the Parties performance of this Agreement. Notices sent as required hereunder, to the addresses shown in this Agreement shall be deemed sent to the correct address, unless the Parties are notified in writing of any changes in address. J. CONTRACT TERM: The term of this Agreement shall be one year from the date hereof and thereafter it shall automatically be renewed for successive one (1) year periods, unless terminated, upon thirty (30) day's prior written notice, with or without cause, by either Party at any time, including the initial term. In the event of termination of this Agreement for any reason, the Parties shall be obligated to complete performance of any work in progress in accordance with the terms of this Agreement. Page Seven Carrier initials

11 K. SEVERANCE: SURVIVAL: In the event any of the terms of this Agreement are determined to be invalid or unenforceable, no other terms shall be affected and the unaffected terms shall remain valid and enforceable as written. The representations, rights and obligations of the parties hereunder shall survive termination of this Agreement for any reason. L. COUNTERPARTS: This Agreement may be executed in any number of counterparts each of which shall be deemed to be a duplicate original hereof. M. FAX CONSENT: The Parties to this Agreement are authorized to fax to each other at the numbers shown herein, (or otherwise modified in writing from time to time) shipment availabilities, equipment and rate promotions, or any advertisements of new services. N. ENTIRE AGREEMENT: Except for Exhibit A and its amendments, and unless otherwise agreed in writing, this Agreement contains the entire understanding of the Parties and supersedes all verbal or written prior agreements, arrangements, and understandings of the Parties relating to the subject matter stated herein. The Parties further intend that this Agreement constitutes the complete and exclusive statement of its terms, and that no extrinsic evidence may be introduced to reform this Agreement in any judicial or arbitration proceeding involving this Agreement. O. BROKER CONFIRMATION: The parties agree that as to each load accepted by CARRIER the parties shall execute a written instrument entitled Broker Confirmation and when executed by the parties, shall be considered as an Addendum to this Agreement. Each Broker Confirmation shall be issued by BROKER and signed by the parties prior to the handling of the particular loading(s) described therein. P. UTILIZATION OF SMALL BUSINESS CONCERNS i. It is the policy of BROKER that small business concerns, veteran-owned small business concerns, service-disabled veteran-owned small business concerns, HUBZone small business concerns, small disadvantaged business concerns, and women-owned small business concerns shall have the maximum practicable opportunity to participate in performing contracts let by any Federal agency to BROKER. ii. BROKER has further agreed that its policies and procedures shall ensure the timely payment of amounts due to those same entities as above, pursuant to the terms of this Master Carrier Agreement. iii. BROKER agrees to carry out this policy in the awarding of subcontracts to the fullest extent consistent with efficient contract performance. iv. BROKER further agrees to cooperate in any studies or surveys as may be conducted by the United States Small Business Administration or the awarding agency of the United States as may be necessary to determine the extent of BROKER s compliance with its utilization of small business concerns. IN WITNESS WHEREOF, we have signed this Agreement the date and year first shown above. FAK, Inc. (BROKER) (CARRIER) Authorized Signature: Authorized Signature: Bobette L. Marcove Printed Name: Printed Name: Title: Bobette L. Marcove Title: CEO Date:, 20 Company Address: Phone: Fax #: Page Eight

12 W-9 FORM F.A.K. INC. P.O. Box 5187 Denver, CO Phone: Fax: Name : D/B/A : Mailing Address : : (City) (State) (Zip) Physical Address : (if different from Mailing address) : (City) (State) (Zip) Toll Free Number : Phone Number : Fax Number : Address : Taxpayer Identification Number : 1. Corporation 2. Partnership 3. LLC 4. Individual (Social Security #) : 5. Individual (Federal I.D. #) : Signature Title Date

13 FAK INC. CARRIER INFORMATION AND EQUIPMENT FORM (rev ) COMPANY NAME: DATE: TYPE AND NUMBER OF EQUIPMENT OWNED: REEFERS : (Are they all CARB compliant?) DRYVANS : FLATBEDS : DROPDECK : STEPDECK : POWER ONLY : TRUCK/TERMINAL LOCATIONS CITY: STATE: PHONE: CITY: STATE: PHONE: CITY: STATE: PHONE: ZIP CODE: ZIP CODE: ZIP CODE: /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////// Business Size (please check all that apply) O Small Business O Nor for Profit Organization O HUBZone Small Business O Large Business/Other than Small Business O 8(a) Firm O Veteran-Owned Small Business O Small Disadvantaged Business O Woman Owned Large Business O Woman Owned Small Business O Joint Venture O Service-Disabled Veteran-Owned Small Business

14 FAK s Carrier Payment policy, & our Advance and Quickpay fee schedule Effective October 6, 2011 FAK s Carrier Payment policy Carriers have two choices on being paid for the loads they do for FAK: Regular pay: Via FAK check, via US Mail: Carriers are paid on the 30 th day following receipt of original satisfactory paperwork. OR Quickpay: // If a carrier wants a Quickpay, please note it on the outside of the envelope, and on your freight bill! If you overnight your bills to us, they must go to our street address: FAK, E. 51 st Avenue, Denver, CO // Via comcheck: Carriers are paid by the close of the next business day following FAK s receipt of original satisfactory paperwork. See fees below. Via FAK check: Same as above, but the check will be mailed via US mail. No comcheck fees apply. // If the carrier wants the FAK check FedEx d, we either need the carrier s FedEx account number, or the carrier will be charged FAK s FedEx fee (deducted from the carrier s check). // FAK s Advance Fee Structure Category 1: advance less than or equal to 40% of the linehaul to the truck - no advance fee (the comcheck fee still applies) Category 2: advance >40% but less than or equal to 50% - truck to be charged advance fee of 1% of the advance amount (plus the comcheck fee) Category 3: advance >50% but less than or equal to 60% - truck to be charged advance fee of 2% of the advance amount (plus the comcheck fee) Category 4: advance >60% but less than or equal to 70% - truck to be charged advance fee of 4% of the advance amount (plus the comcheck fee) Category 5: advance >70% - truck to be charged advance fee of 6% of the advance amount (plus the comcheck fee) Note 1: The advance fee % will be calculated on the linehaul only excludes all accessorials including FSC, lumpers, detention, etc. Note 2: The advance fee will based on the total of all advances given. (IE, if the truck takes $1,000 on the first advance, and that is under 40%, but then takes another $1,000 (advances now total $2,000, and fall in the category of 50-60% of the linehaul for this load), then the fee charged will be 2% of the total of the advances given, which in this example would be based on $2,000 the advance fee would be $40. There would also be two comcheck fees for this load.) Note 3: The current comcheck fee of $18.50 per $1,000 (or portion thereof) is unchanged. Note 4: Advances greater than 50% are rarely given, and will be approved only in extenuating circumstances at the discretion of FAK.

15 FAK s Carrier Payment policy, & our Advance and Quickpay fee schedule (continued) Effective October 6, 2011 FAK s Quickpay Fee Structure A Quickpay has two fees associated with it. The first is a flat $20 fee charged, regardless of the amount of the Quickpay. However, if the paperwork (must include the signed original BOL/POD) is received by FAK Denver no later than ten days after the date of delivery, FAK will waive the $20 Quickpay fee. If the paperwork is received on the eleventh day after delivery, but no later than the fifteenth day, a Quickpay will still be given, but the $20 Quickpay fee will be charged to the carrier. (Regardless of whether the $20 Quickpay fee above is charged or waived, the current comcheck fee of $18.50 per $1,000 (or portion thereof) is unchanged, and still applies to all Quickpays that take payment via comcheck.) The second fee is a flat three percent (3%) fee that will apply on ALL Quickpays given. This 3% fee will be calculated based on the total (linehaul plus FSC) pay to the truck shown on the FAK truck rate confirmation. ******************************************************************************************************************************************

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