TARIFF UPTS 103. UPS GROUND FREIGHT, INC. d/b/a UPS FREIGHT

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1 (FOR TRUCKLOAD BROKERAGE SERVICES) UPS GROUND FREIGHT, INC. d/b/a UPS FREIGHT P.O. BOX 1216 RICHMOND, VA #MC SUB 150 B Phone : RULES AND CHARGES FOR TRUCKLOAD BROKERAGE SERVICE EFFECTIVE: December 30, 2013 APPLIES ON INTERSTATE, INTRASTATE AND FOREIGN COMMERCE IMPORTANT STATEMENT OF GENERAL APPLICATION This publication explains the rules and conditions of service that apply on Shipments that show the Truckload Brokerage Division of UPS Ground Freight, Inc. ( UPS Freight ) as the broker, carrier or originator of a Shipment, and any document that shows the UPS Freight 103 Tariff as a governing publication. When a Shipment is made through the Truckload Brokerage Division of UPS Freight, we are acting as a broker pursuant to our broker authority #MC SUB 150 B. In the event UPS Freight provides transportation services with respect to a Shipment made through the Truckload Brokerage Division of UPS Freight, we are acting pursuant to our separate and distinct motor carrier authority #MC Sub 146 (as to common carrier authority) and #MC (Sub-No. 149-P) (as to contract carrier authority). Exceptions to any of the items in this publication will be noted in agreements that apply for an individual customer. In an effort to provide its customers with quality service at competitive rates, certain commodities may be offered to be shipped at less than full value and UPS Freight encourages shippers to review this publication, as some items may be subject to limitations of liability, released values or other options specific to a Shipment or a commodity. All shippers are further encouraged to evaluate their cargo insurance program so they may tender their goods at the lowest possible overall cost while still being insured for a value consistent with their requirements. ( SEE ITEM 100 )

2 UPS FREIGHT CUMULATIVE LIST OF ITEMS IN UPTS 103 AND SUPPLEMENTS LISTED BELOW ARE ITEMS THAT HAVE BEEN ADDED, AMENDED OR BROUGHT FORWARD IN SUPPLEMENTS AND INCORPORATED INTO THE ORIGINAL TARIFF. UPTS 103 ORIGINAL TARIFF EFFECTIVE : December_30, 2013 EXPLANATION OF ABBREVIATIONS AND REFERENCED MARKS A 1 ST REVISED B 2 ND REVISED * NEW ITEM *c CANCELED 2

3 UPS FREIGHT SUBJECT Advancing or Paying Charges 300 Application General 100 Application of Rates Shipper Pricing 105 Bill of Lading, Letter of Authority and Freight Bill Corrections 361 Border Crossing Detention 487 Border Processing Fee 486 Border Brokerage Fees 135 Claims and Legal Actions: Individual Binding Arbitration of Claims 812 Claims for Unidentified Payment, Overpayment or Duplicate Payment 813 Collect on Delivery Shipments (C.O.D.) 430 Collection of Charges 140 Customs - Inland In-Bond Fee 485 Definitions and Abbreviations 120 Distances Exception to Method of Determining Mileage 510 Dropped Trailer for Consignee Unloading 579 Driver and Tractor Detention 500 Equipment Furnished but not Used 985 Excess Declared Value Coverage Fractions 562 Fuel Surcharge 1 General Application 100 Governing Publications 115 Grocery Warehouse Service 582 Hazardous Materials 565 High Cost Service Area Surcharge 757 Household Goods or Personal Effects 615 Impractical Operations 570 Indemnification 150 Liability for Cargo Loss or Damage 166 Liability for Claims Other Than Freight Claims Offshore Freight Charges 117 Packaging Requirements and Broker Liability 680 Permits 700 Pick-up or Delivery 750 Pick-up or Delivery Limited Access Locations 755 Pick-up or Delivery Private Residences 753 Pick-up or Delivery Saturdays, Sundays, Holidays or non Business Hours 754 Pick-up or Delivery Shipper Load and Count 578 Pick-up or Delivery Special Equipment 725 Prohibited Articles 780 Protective Services 810 Reconsignment or Diversion 820 Reweigh and Weight Verification 990 Sorting and Segregating 751 Special Damages and Liabilities not Assumed 819 Stop-Off for Partial Loading or Unloading 900 Storage 910 Trailer Detention 501 Undelivered Returned Shipment 980 Item 3

4 UPS FREIGHT ITEM 1* FUEL SURCHARGE 1. All charges for line haul truckload transportation services provided or arranged by the Truckload Brokerage Division of UPS Ground Freight, Inc. (for purposes of this tariff, references to Broker herein mean such Truckload Brokerage Division) originating and controlled by a TL Pricing Agreement (as defined in Item 120, Definitions and Abbreviations below) or other contractual form are hereby subject to a fuel surcharge as set forth below, each as in effect as of the date of the Shipment. 2. For ease of use, the fuel surcharge is provided in tabular form for Over the Road and Intermodal services. The fuel price index may be obtained directly from the EIA by calling (202) after 4:00 PM each Monday afternoon; or may be obtained on-line at If Monday falls on a Holiday, the index for the next Business Day that is not a Holiday will be used to determine the applicable fuel surcharge. Table 1A UPS Freight Truckload Brokerage Division Fuel Surcharge Over the Road Transportation Rate per mile At least: But less than: Rate At least: But less than: Rate At least: But less than: Rate $1.20 $1.25 $0.01 $2.65 $2.70 $0.31 $4.10 $4.15 $0.60 $1.25 $1.30 $0.02 $2.70 $2.75 $0.32 $4.15 $4.20 $0.61 $1.30 $1.35 $0.03 $2.75 $2.80 $0.33 $4.20 $4.25 $0.62 $1.35 $1.40 $0.04 $2.80 $2.85 $0.34 $4.25 $4.30 $0.63 $1.40 $1.45 $0.05 $2.85 $2.90 $0.35 $4.30 $4.35 $0.64 $1.45 $1.50 $0.06 $2.90 $2.95 $0.36 $4.35 $4.40 $0.65 $1.50 $1.55 $0.07 $2.95 $3.00 $0.37 $4.40 $4.45 $0.66 $1.55 $1.60 $0.08 $3.00 $3.05 $0.38 $4.45 $4.50 $0.67 $1.60 $1.65 $0.09 $3.05 $3.10 $0.39 $4.50 $4.55 $0.68 $1.65 $1.70 $0.10 $3.10 $3.15 $0.40 $4.55 $4.60 $0.69 $1.70 $1.75 $0.11 $3.15 $3.20 $0.41 $4.60 $4.65 $0.70 $1.75 $1.80 $0.12 $3.20 $3.25 $0.42 $4.65 $4.70 $0.71 $1.80 $1.85 $0.13 $3.25 $3.30 $0.43 $4.70 $4.75 $0.72 $1.85 $1.90 $0.14 $3.30 $3.35 $0.44 $4.75 $4.80 $0.73 $1.90 $1.95 $0.15 $3.35 $3.40 $0.45 $4.80 $4.85 $0.74 $1.95 $2.00 $0.16 $3.40 $3.45 $0.46 $4.85 $4.90 $0.75 $2.00 $2.05 $0.17 $3.45 $3.50 $0.47 $4.90 $4.95 $0.76 $2.05 $2.10 $0.18 $3.50 $3.55 $0.48 $4.95 $5.00 $0.77 $2.10 $2.15 $0.19 $3.55 $3.60 $0.49 $5.00 $5.05 $0.78 $2.15 $2.20 $0.20 $3.60 $3.65 $0.50 $5.05 $5.10 $0.79 $2.20 $2.25 $0.21 $3.65 $3.70 $0.51 $5.10 $5.15 $0.80 $2.25 $2.30 $0.22 $3.70 $3.75 $0.52 $5.15 $5.20 $0.81 $2.30 $2.35 $0.23 $3.75 $3.80 $0.53 $5.20 $5.25 $0.82 $2.35 $2.40 $0.24 $3.80 $3.85 $0.54 $5.25 $5.30 $0.83 $2.40 $2.45 $0.25 $3.85 $3.90 $0.55 $5.30 $5.35 $0.84 $2.45 $2.50 $0.26 $3.90 $3.95 $0.56 $5.35 $5.40 $0.85 $2.50 $2.55 $0.27 $3.95 $4.00 $0.57 $5.40 $5.45 $0.86 $2.55 $2.60 $0.28 $4.00 $4.05 $0.58 $5.45 $5.50 $0.87 $2.60 $2.65 $0.29 $4.05 $4.10 $0.59 $5.50 $5.55 $0.88 The fuel surcharge for over the road transportation shall be $0.01 per mile for every $0.05 increase in fuel costs above $1.20 per gallon, based on the weekly U.S. Energy Information Administration s (EIA) national average retail on-highway diesel fuel price index. For each five cent ($0.05) increase over $5.55 in the DOE Diesel Fuel Price, the fuel surcharge will increase by an additional one cent. The fuel surcharge for over the road transportation will not apply when Diesel Fuel Price Index falls below 120 cents. Table 1B UPS Freight Truckload Brokerage Division Fuel Surcharge Intermodal Transportation At least: But less than: Rate At least: But less than: Rate At least: But less than: Rate $1.90 $ % $3.02 $ % $4.14 $ % $1.94 $ % $3.06 $ % $4.18 $ % $1.98 $ % $3.10 $ % $4.22 $ % $2.02 $ % $3.14 $ % $4.26 $ % $2.06 $ % $3.18 $ % $4.30 $ % $2.10 $ % $3.22 $ % $4.34 $ % $2.14 $ % $3.26 $ % $4.38 $ % $2.18 $ % $3.30 $ % $4.42 $ % $2.22 $ % $3.34 $ % $4.46 $ % $2.26 $ % $3.38 $ % $4.50 $ % $2.30 $ % $3.42 $ % $4.54 $ % $2.34 $ % $3.46 $ % $4.58 $ % $2.38 $ % $3.50 $ % $4.62 $ % $2.42 $ % $3.54 $ % $4.66 $ % $2.46 $ % $3.58 $ % $4.70 $ % 4

5 $2.50 $ % $3.62 $ % $4.74 $ % $2.54 $ % $3.66 $ % $4.78 $ % $2.58 $ % $3.70 $ % $4.82 $ % $2.62 $ % $3.74 $ % $4.86 $ % $2.66 $ % $3.78 $ % $4.90 $ % $2.70 $ % $3.82 $ % $4.94 $ % $2.74 $ % $3.86 $ % $4.98 $ % $2.78 $ % $3.90 $ % $5.02 $ % $2.82 $ % $3.94 $ % $5.06 $ % $2.86 $ % $3.98 $ % $5.10 $ % $2.90 $ % $4.02 $ % $5.14 $ % $2.94 $ % $4.06 $ % $5.18 $ % $2.98 $ % $4.10 $ % $5.22 $ % The fuel surcharge for intermodal transportation shall be 0.5% for each four cent ($0.04) increase in fuel costs above $1.90 per gallon, based on the weekly U.S. Energy Information Administration s (EIA) national average retail on-highway diesel fuel price index. For each four cent ($0.04) increase over $5.26 per gallon, the fuel surcharge will increase by 0.5%. The fuel surcharge for Intermodal transportation will not apply when the Diesel Fuel Price Index falls below 190 cents per gallon. ITEM 100* GENERAL APPLICATION 1. This tariff applies to transportation services provided or arranged by Broker originating and controlled by TL Pricing Agreement. 2. When a Shipment is made through the Truckload Brokerage Division of UPS Freight, it is acting as a broker, pursuant to its broker authority #MC Sub 150-B. In the event UPS Freight provides transportation services with respect to a Shipment made through the Truckload Brokerage Division of UPS Freight, it is acting pursuant to its separate and distinct motor carrier authority #MC Sub 146 (as to common carrier authority) and #MC (Sub-No. 149-P) (as to contract carrier authority). 3. In an effort to provide its customers with quality service and competitive rates, certain commodities are shipped at less than full value. Broker encourages its customers to review this publication as some items may be subject to limitations of liability, released values or other requirements which may relate directly to their Shipment. Therefore, all customers are further encouraged to evaluate their applicable cargo insurance polices so they may ship their goods at the lowest possible rate while still being insured for full value. 4. Unless otherwise provided, when provisions of this tariff are in conflict with those published in individual contracts and / or tariffs, such contracts and / or tariffs, to the extent of their application, will apply. 5. Where a rule published in this tariff covers the same rule published in the National Motor Freight Classification, NMF 100 series, such rule published in this tariff, to the extent of its application, will apply in lieu of the rule published in the NMF 100 Series. 6. Except as otherwise provided, or otherwise stated on the TL Pricing Agreement and unless the Shipper has agreed to accept responsibility, additional charges for international brokerage, ocean and terminal services shall be collected from the party requesting or requiring the service irrespective of whether the line haul charges are prepaid or collect. In the event the party requesting or requiring the service does not pay or is unwilling to pay, Broker reserves the right to assess the charges against the payor of the freight charges. 7. When this tariff is reissued, in its entirety, or when items or parts of items of this tariff are reissued, such reissued provisions will cancel previously issued tariffs, items or parts of items, (as applicable) in the same tariff series. The term tariff series refers to this tariff and previous versions of this tariff. The most current version of this tariff series in effect at time of a Shipment applies to that Shipment. Where an item in this tariff is suffixed with an alphabet letter, the letter A, version of the item cancels the original item not so suffixed, B cancels A, C cancels B. etc. 8. The charges shown in this tariff are NOT subject to any discounts or reductions. 9. All pricing agreements established by Broker for its customers are subject to annual general rate increases, unless specifically stated otherwise in the pricing agreement. 10. This tariff applies to Shipments originating in or destined to points in the continental United States, Alaska, Hawaii, Puerto Rico, the US Virgin Islands, Guam, Canada and The Republic of Mexico. 11. Unless otherwise provided, the rates quoted on a TL Pricing Agreement do not include any customs duties or taxes incurred for international transportation and are only valid for 7 days from effective date provided. 12. Shipper is not required to ship any minimum number of Shipments with Broker and Broker is not required to accept any minimum number of Shipments tendered by Shipper. Shipments tendered to Broker or any Carrier must meet all applicable legal requirements. 13. For international transportation services, the customs broker s name and phone number must appear on the applicable TL Pricing Agreement. Customs documents must be provided to driver at time of pick-up. 14. All rates provided on a TL Pricing Agreement and in this publication are in US Dollars, unless otherwise expressly stated. 15. Broker may disclose information of any nature regarding any agreement to its corporate parent, subsidiaries, affiliates and related entities and may disclose information as specifically required by law or for payment and audit purposes. 16. In the event any item or provision of an item in this tariff is determined to be invalid by a court or administrative agency order or ruling, or by enactment or amendment of law, such action shall not invalidate the entire tariff, but this tariff shall be construed as if not containing the particular item or provision held to be invalid and the rights and obligations of Shippers, Consignees, customers and Broker shall be construed and enforced accordingly. 17. Except as otherwise provided in agreements referring to this tariff, no Shipment will be accepted upon a partially PREPAID or partially COLLECT basis. 18. Except as otherwise provided or otherwise stated on the TL Pricing Agreement and expressly agreed to in writing by Broker, Broker agrees to ensure the acceptance, transportation and delivery of such goods as a customer or Shipper may tender with reasonable dispatch. Broker is not otherwise bound to ensure the transportation of the goods by any particular schedule, by a particular Carrier, by a particular route or in time for any particular event or in any other manner other than with reasonable dispatch. 19. Any additional services rendered beyond normal pick-up, delivery and linehaul, and not specifically provided herein, will be charged for as negotiated between the customer and Broker. 5

6 20. Broker reserves the right not to accept a request covered by a TL Pricing Agreement if it determines that it cannot provide the service requested, and/or further reserves the right to cancel a TL Pricing Agreement if the Shipment covered thereby is not available for pick up at the time agreed, if the Shipment packaging is inadequate, or if the Shipment characteristics, description, or service requirements are different than as indicated when customer booked the Shipment. 21. Broker has the right to (a) substitute alternative Carriers and other means of transportation and (b) select the routing or deviate from any that might have been indicated when customer booked the Shipment. Broker has no duty to notify customer, Shipper, or Consignee of such substitutions, selections, or deviations, nor shall substitutions, selections, or deviations constitute a breach of the applicable TL Pricing Agreement or preclude the application and enforcement of all the terms and conditions set forth therein. ITEM 105* APPLICATION OF RATES SHIPPER PRICING All rates set forth in a TL Pricing Agreement are per Vehicle with a single driver, based on Equipment availability, and, unless specifically stated otherwise in the applicable TL Pricing Agreement, represents line haul charges only. ITEM 115* GOVERNING PUBLICATIONS Transportation of all goods under this tariff, or contracts referring to this tariff, is subject to the following publications. If any term in a governing publication conflicts with the TL Pricing Agreement, the TL Pricing Agreement shall govern as to the Shipment(s) covered thereby: a. Transportation by rail: Intermodal Circulars issued by applicable rail carriers. Customer shall comply and remain in compliance with, all applicable Intermodal Circulars issued by rail carriers. b. For transportation by highway, this tariff is governed, except as otherwise provided herein, by the following described publications and tariffs, and by supplements or loose-leaf page amendments thereto or successive issues thereof : KIND OF TARIFF ISSUING AGENT TARIFF SERIES Canadian Postal Code Directory Canada Post Corporation Direct Service Points Broker Broker website Hazardous Materials Regulations Guide DOT CFR Title 49 Mexican Postal ZIP Code Directory Servicio Postal Mexicano National Motor Freight Classification, NMF 100 Series National Motor Freight Traffic Association Inc STB NMF 100 National Five-Digit ZIP Code Post Office Directory United States Postal Service ITEM 117* OFFSHORE FREIGHT CHARGES Except as otherwise provided, when a Truckload Shipment originates in or is destined to Hawaii, Alaska, Puerto Rico, Guam or the US Virgin Islands the shipment will be rated using a combination of rates. The portion of the movement within the contiguous 48 United States to the port of debarkation to (or entry from) Hawaii, Alaska, Puerto Rico, Guam and the US Virgin Islands will be rated using the provisions of the TL Pricing Agreement, governed by the 103 Tariff in effect on the date of shipment. The portion of the movement between the port of debarkation and the port of entry will be rated using Tariff 105. To the extent Tariff 105 includes accessorial services and charges, Tariff 105 will apply. All other accessorial services and charges will be found in this Tariff effective at the time of the shipment. Shippers and Consignees may refer to Tariff 105 tariff for applicable offshore rates, rules and charges or call international customer Service at (888) A copy of the Tariff 105 tariff is available upon request at no cost. ITEM 120* DEFINITIONS AND ABBREVIATIONS Capitalized terms used and not otherwise defined herein shall have their respective meanings as set forth below: Absolute Minimum Charge is the minimum charge after applying all of the pricing terms and conditions. Broker as used in this publication is the Truckload Brokerage Division of UPS Freight. Business Days is that time during which operations are generally conducted by Broker at the point where the service is performed, normally Monday through Friday, excluding Holidays. Business Hours Broker s normal Business Hours are 7:00 AM to 7:00 PM Eastern time. Carrier as used in this publication is the party hired by Broker to transport a Shipment, and may include UPS Freight, acting as a carrier pursuant to its motor carrier authority, or a company affiliated with UPS Freight. C O D Collect on Delivery. Component is any portion of a Shipment delivered separately by Carrier, regardless of whether it was received separately by Carrier; also a portion of a Shipment received separately by Carrier, regardless of whether it was delivered separately. Consignee is the person or business enterprise shown on the TL Pricing Agreement as the party to whom the goods may lawfully be delivered by Broker. Construction Site is the site of any construction of buildings, roads or bridges or other structures including the entire property upon which the construction is taking place, and delivery to any facility (such as warehouses, depots, supply houses or similar facilities) located on such property. CWT Hundred weight Delivery References: Point a particular city, town, village, community or other area which is treated as a unit for the application of rates Place a particular street address or other designation of a factory, store, warehouse, Private Residence, or address within a Point. Site a particular platform or specific location for loading or unloading at a Place Address a number and street name (not a Box Number), including US or Canadian Postal Service ZIP Code Density unit of measure calculated in pounds per cubic foot Equipment means a Tractor, Trailer, Straight Truck and any other asset used in support of the transportation service, including dollies, an intermodal container and chassis, fork trucks, etc, to meet the needs of a Shipper, Consignor or Consignee for the storage or transportation of property. Export designates Shipments that originate within the 48 contiguous United States and have a subsequent movement to a location outside the contiguous 48 United States FAK Freight, All Kinds 6

7 FMCSA Federal Motor Carrier Safety Administration. HGB Household Goods Bureau Holiday shall have the meaning set forth in Item 754, Pick-Up or Delivery-Saturdays, Sundays, Holidays or Non Business Hours, below. Import designates Shipments that originate outside the 48 contiguous United States that are either (i) consigned to points within the contiguous 48 United States; (ii) consigned from an ocean or air carrier for delivery within the contiguous 48 United States; or (iii) consigned to a warehouse and within twelve months consigned to points within the contiguous 48 United States. Impractical Operations shall mean those types of events set forth in Item 570, Impractical Operations. Interplant Move is a Shipment by a company from one of its facilities to one or more or its other facilities (or the facilities of its divisions or subsidiaries) of any items that are not manufactured or distributed by the company as part of its normal business operations. Facilities of a company include, but are not limited to, its offices, warehouses, distribution centers and manufacturing facilities. Less than Truckload (LTL) Shipments are those Shipments that are picked up, transported, delivered and rated as a Less than Truckload shipment by the UPS Freight Less than Truckload Division. Logistics Provider is any person or business entity holding itself out as a broker, freight forwarder, third party logistics provider or agent of a Shipper. LTL Volume Rates are rates with a stated minimum weight of at least 20,000 pounds or in excess of 28 linear feet, which are carried under a bill of lading issued to the UPS Freight LTL Division. Mine Site is the site of any pit, excavation, shaft or deposit at which coal, ore or minerals is, has been, or will be extracted. Such site or mine shall include the entire property upon which the mine is located, and delivery to any facility (such as mine warehouses, mine deposits, mine supply house, mine tipples or similar receiving facilities) located on such property will be considered as delivery to a mine. On Shipments involving stop offs, charges apply to each portion of the Shipment delivered to a mine site. NMF National Motor Freight Traffic Associations, Inc. NMFC National Motor Freight Classification Oil Field is the site of any pit, excavation, shaft, deposit (including tar/oil sand) or rigging at which crude oil, natural gas or other fossil fuel is, has been, or will be extracted. Such site or Oil Field shall include the entire property upon which the site is located, and delivery to any facility (such as, but not limited to, field warehouses, field deposits, field supply house or similar receiving facilities) located on such property will be considered as delivery to an Oil Field. On Shipments involving stop offs, charges apply to each portion of the Shipment delivered to an Oil Field site. PCF Per cubic foot (density measure) Private Residences means single occupancy dwellings, including home based businesses, condominiums, apartments, camps (other than Military), dormitories, estates, farms, ranches, rectories and other locations where the premises on which a dwelling for living is located is not open to the walk in public during normal Business Hours. Shipment is a quantity of freight received from one Shipper at one place at one time for one Consignee at one destination and covered by one bill of lading, authorized by a TL Pricing Agreement, whose weight includes all packaging, wrapping and pallets used in the Shipment. Shipper is the person or business enterprise shown on the TL Pricing Agreement as the Shipper of the goods received by Carrier for transportation (as arranged by Broker). Shipper Load & Count ( SL&C ) is a Shipment loaded by Shipper without Carrier s driver present to confirm count. Straight Truck is a two or three axle Vehicle used on a highway for transportation with a driver compartment separated from the cargo compartment. Third Party is defined as a person or company designated on the TL Pricing Agreement as the payor of the freight charges, but who is neither the Shipper nor the Consignee indicated on the TL Pricing Agreement (or their affiliates) for the Shipment. TL Pricing Agreement means the UPS Freight Truckload Brokerage Division Rate Quotation and Short Form Pricing Agreement between customer and Broker or such other contract for truckload services between customer and Broker that references and is governed by this tariff. Tractor means any powered unit registered for over-the-road transportation in the United States, Canada or Mexico, which is separate from the cargo carrying Trailer. Trailer is a non-powered container that meets the requirements for storage and transportation on the highways in the transportation of property. Truckload (TL) Shipments for purposes of this publication are those Shipments that are administered, picked up, transported or delivered through the efforts of Broker. Vehicle means any combination of Tractor and any Trailer, or a Straight Truck that moves as one unit, drawn by a power unit and used on the highways in the transportation of property. ITEM 135* BORDER BROKERAGE FEES Shipments moving between Mexico on the one hand and the United States, Puerto Rico, Guam, US Virgin Islands, or Canada on the other hand will be subject to border brokerages fees at the border gateway crossing. Charges incurred for this service shall be shown on Broker s invoice to the party responsible for payment of the freight charges, unless otherwise specified, or if the shipper has indicated on the TL Pricing Agreement that border brokerage service fee is being handled directly with the border broker. ITEM 140* SECTION 1: EXTENSION OF CREDIT COLLECTION OF CHARGES Unless a different credit period has been established in a transportation agreement, the credit period is 15 calendar days which includes Saturdays, Sundays and Holidays. The party responsible for payment of the freight charges must remit payment within 15 days of invoice date. 1. The presentation of the freight charges may be completed by first class mail, electronic data interchange or other method acceptable to Broker and the payor. 2. Payments may be completed by check, a bank draft, money order, electronic funds transfer, automatic clearing house, domestic or international wire transfer or other acceptable method. 3. When a check or similar payment instrument is returned to Broker for non-payment for any reason, a fee of $76.00 (plus any bank fees borne by Broker) for each returned check or similar payment instrument will be applied against the customer s account. Customer may be placed on a cash only basis if not cleared to the satisfaction of Broker. 7

8 SECTION 2: THIRD PARTY PAYEES The Shipper is responsible to show the name and address of the third party or the party identified as the Bill to Party on the TL Pricing Agreement at time of Shipment. 1. A Shipment on which the charges are to be paid by a third party must be prepaid and will only be accepted if the Shipper has established credit with Broker and guarantees to pay the charges if the third party fails to do so. Such Shipment will NOT be accepted if the Shipper executes Section 7 of the bill of lading, or if the Shipment is marked collect. If the Shipment is inadvertently accepted, the signing of Section 7 will NOT be applicable and the Shipper will remain liable for all freight charges. 2. A Shipment on which the invoice is to be sent and paid by a Bill to Party, payment terms will be changed from prepaid to collect or from collect to prepaid, as necessary, to ensure that the Shipment is prepaid, if the consignor and Bill to Party are affiliated, or collect, if the Consignee and Bill to Party are affiliated. SECTION 3: PAYMENT APPLICATION If insufficient information is supplied by the customer to clear the freight bill from Broker s accounts receivable system, then Broker will notify the customer and give them 90 days to provide that information. If a customer response is not received in that timeframe, then the payment will be retained by Broker. If a customer has past due bills, they will be notified that the payment will be applied to the oldest open freight bills. The same process will apply to duplicate payments. If the customer s total account results in a credit balance, the credit balance will be refunded. SECTION 4: COLLECTION FEE FOR NON-PAYMENT OR LATE PAYMENT 1. Payments not made within 30 days of the invoice date shall be considered delinquent. Pursuant to Title 49, subsection and CFR Part , notice shall be given by Broker that failure to pay within the authorized credit period will require Broker, before extending credit again, to determine whether the customer will comply with the credit regulation in the future. The Shipper, Consignee and any Third Party involved in the movement shall remain liable for transportation charges incurred. The Shipper, Consignee and any Third Party shall be jointly and severally liable for said charges, regardless of any agreement between them with respect to the party responsible for the freight charges incurred. 2. In the event payment is not made within 30 days of the invoice date and Broker deems it necessary to retain the services of a collections agency, and or legal counsel to collect any outstanding indebtedness, a collection fee of 35% of the unpaid balance will be assessed. Additionally, a service charge of 1.5% per month (or fraction thereof) will be assessed and due on the unpaid balance. This service charge will begin at the time the receivable is placed with the collections agency and/or legal counsel and will end when payment has been made. 3. Broker may provide trade credit information on its customers to commercial reporting agencies. ITEM 150* INDEMNIFICATION Shipper shall indemnify, defend and hold harmless Broker, including its officers, directors, agents, sub-contractors, employees and those of its parent and affiliated companies from and against any and all claims, demands, losses, damages and expenses (including reasonable attorney s fees, costs and expenses ) connected with or resulting from injury to or death of any person, injury to property or to natural resources arising out of Shipper s (or its employees or agents ) negligent acts or omissions or willful misconduct, or violation of any local, state or federal law or regulation. Broker shall provide Shipper with (i) written notice of any such claim within a reasonable time of its receipt; (ii) authority and control over the defense and/or settlement of such claim; and (iii) reasonable assistance and information for the defense of such claim that is available to Broker at Shipper s cost. IN NO EVENT SHALL BROKER OR CARRIER BE LIABLE FOR INCIDENTAL, CONSEQUENTIAL OR SPECIAL DAMAGES, EVEN IF IT HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. ITEM 166* LIABILITY FOR CARGO LOSS OR DAMAGE SECTION 1 GENERAL LIABILITY 1. Unless otherwise expressly provided in TL Pricing Agreement, Broker liability for loss or damage will not exceed the lesser of (a) the invoice value of the lost or damaged cargo, or (b) $100,000 per truckload where the Shipment moves entirely over the road (or $250,000 for an intermodal rail Shipment), unless Excess Declared Value Coverage is properly requested along with the amount of coverage needed in writing on the TL Pricing Agreement at the time of the Shipment and the applicable additional charges are paid (see Item 166-1). 2. In no event shall Broker be liable to any party to the extent damages represent loss of profit, income, interest, attorney fees or are incidental, consequential, special, punitive or exemplary, whether or not Broker knew or should have known that such damages might be incurred by the Shipper, Consignee or a third party. This liability limitation extends to the delay, misdelivery or nondelivery of information regarding the shipment. (See Item 819) Note 1: Shipper shall perform all necessary blocking and bracing; Broker shall not be liable for any damages resulting from inadequate blocking or bracing. Note 2: Broker shall not be liable for loss, damage or for any delay to a Shipment caused by an act of God, the public enemy, the authority of law, the inherent nature or vice of the goods (including but not limited to natural shrinkage), or resulting from an act or default of the Shipper, Consignee, or owner of the goods. Note 3: Each of Shipper, Consignee, owner of the goods or another property broker shall, at its cost and expense, comply with all applicable federal, state, local and international laws, rules and regulations pertaining to its Shipments; agree to furnish all documents necessary to comply with such laws, and shall be responsible for all costs (including accessorial charges), liabilities, delays, fines, penalties and expenses caused by, resulting from or otherwise associated with any noncompliance with any such laws, rules or regulations or any inaccurate description of a Shipment provided to Carrier. Under no circumstances shall Broker be liable for any failure to comply with any such provisions. Note 4: Shipments of commodities or articles that have an invoice value exceeding the maximum liability limits outlined above will be considered Shipments of extraordinary value, and will not be accepted except under the conditions and charges as provided in Item Excess Declared Value Coverage. Moreover, if inadvertently accepted, such Shipments will be considered released at a value not to exceed the maximum liability limitations provided herein. SECTION 2 FOOD AND RELATED PRODUCTS Provisions Regarding Shipments of food, food-related products, medical supplies, drugs and toiletries for human or animal consumption or use: 1. Broker shall not be liable where loss or damage is limited to the packaging, and no loss or damage to the contents of the package is evident, even if such loss or damage results in Shipper incurring a cost for repackaging and redelivery. 8

9 2. Broker shall not be liable for loss or damage for any concealed damages, contamination, or infestation unless Shipper can demonstrate by clear and convincing evidence that there has been actual damage, contamination or infestation and it was caused by Broker s or Carrier s negligence or willful misconduct. In such event, Broker shall only be liable to the extent provided in this rules tariff for that portion of the Shipment that suffers such actual damage, contamination or infestation. Broker shall not be liable for loss or damage in the event of product expiration. 3. Shipper shall incur all costs for salvage or disposal or destruction of product and packaging where, following Shipper s internal policies and procedures, Shipments shall not be salvaged even where only packaging is damaged. 4. Where Shipper requires Broker to arrange for the disposal of or destruction of a Shipment, Shipper will be charged an administrative fee of $ per Shipment in addition to any applicable fees charged by the facility. SECTION 3 - LOSS OR DAMAGE CLAIM FILING 1. Broker will investigate and dispose of cargo loss and damage claims under common carrier provisions as set forth in Title 49 CFR, Part 370 and STB NMF 100 series, Items through All claims for loss or damage to property transported pursuant to this tariff must be filed with Broker within nine (9) months following delivery and in the case of non-delivery nine (9) months following the date the Shipment would have delivered. Failure to do so shall forever bar recovery of the claim. Any action at law (including, without limitation, arbitration) with respect to such claim must be instituted against Broker within a period of two (2) years and one (1) day from the date of notice from Broker that the claim or any part, or parts, thereof were disallowed. 2. All claims must be accompanied by documents supporting the amount of the claim. This documentation may include original manufacturer invoices, purchase orders, statements of actual expense incurred such as invoices for repair or repackaging, or other documents verifiable to Broker s satisfaction. 3. Delivery receipts without written notice of damage by the recipient are prima facie evidence that the Shipment was delivered in good condition. Visible loss or damage apparent at the time of delivery should be recorded in detail on the delivery receipt. 4. In the case of a claim for concealed loss or damage that could not have been noted at the time of receipt, the claimant must notify Broker no later than two Business Days after the delivery date. Notice of concealed damage must be confirmed in writing. Broker may make an inspection, have its agent inspect, or waive inspection. Where Broker waives inspection, Consignee or claimant must make the inspection and record all information available that is relevant to the concealed loss or damage claim. Where Broker or its agent schedule an inspection, claimant must hold the shipping container, all packaging material and contents in the came conditions as they were in when damage was discovered. 5. Where salvage value will be a substantial element of the claim it is the duty of the Consignee, Shipper or claimant to handle the freight in such a manner as to mitigate the claimed loss through repackaging, repair or salvage proceeds. 6. Claimant shall not file a claim with any Carrier and agrees to assign all rights it might otherwise have against a Carrier to Broker. Freight claims must be filed directly with Broker, using the claim form found on Broker s website: SECTION 4- OFFSETTING OF FREIGHT CHARGES Claims and claim amounts made against Broker (whether filed or unfiled) may not be offset by Shipper, Consignee or payor against freight charges otherwise owed to Broker. SECTION 5 NO LIABILITY FOR MEXICO Broker shall have no liability if loss or damage occurs to a Shipment while within the borders of Mexico. SECTION 6 LIABILITY FOR PROTECTIVE SERVICE SHIPMENTS (See also Item 810) 1. Broker shall have no liability for loss, damage or destruction to any Shipment or part thereof for failure to provide Protective Service (Temperature Controlled or Freezable Protection), (i) if such is the result of a delay in delivery not attributable to the negligence on the part of Carrier, (ii) if the Shipment is refused by the Consignee, (iii) if Shipper fails to indicate TEMPERATURE CONTROLLED SERVICE REQUESTED, or PROTECT FROM FREEZING, as applicable, on the TL Pricing Agreement or other shipment pricing document, (iv) if Shipper fails to comply with the applicable pick up and/or delivery process set forth in the Conditions of Service in Item 810, (including without limitation, in the case of Temperature Controlled Service, if Shipper fails to give Broker 48-hours prior notice of the Shipment or fails to arrange the transportation service through Broker ), or (v) if any of the Exclusions of Service in Item 810 apply. 2. Broker shall have no liability for loss, damage or destruction to any Shipment or part thereof for failure to provide Temperature Controlled Service, if the commodity degrades even though the temperature was maintained within the stated temperature range listed on the TL Pricing Agreement. SECTION 7 LIABILITY OF CARRIER Except as otherwise expressly provided herein, any limitations of liability set forth in this tariff which are available to Broker also apply to and inure to the benefit of the applicable Carrier. ITEM 166-1* EXCESS DECLARED VALUE COVERAGE 1. Shipments of commodities or articles that have an invoice value exceeding the maximum liability limits outlined in Item 166 above will be considered Shipments of extraordinary value, and will not be accepted except under the conditions and charges as provided herein. Moreover, if inadvertently accepted, such Shipments will be considered released at a value not to exceed the maximum liability limitations provided herein. 2. Shipper may request Excess Declared Value Coverage for Shipments that exceed the maximum liability of $100,000 per truckload ($250,000 for intermodal Shipments transported in part by rail). Excess declared value coverage will be deemed to be requested when the TL Pricing Agreement specifically contains a request for excess coverage including the total dollar amount of excess coverage requested. $20, excess declared value coverage requested $20, excess liability requested OR OR Excess declared value coverage requested: $20,000 Excess liability requested: $20, The charge for excess declared value coverage will be $0.70 per $100 over $100,000 per truckload (over $250,000 for rail), up to a maximum total Broker liability of $200,000 per truckload where the Shipment moves entirely over the road (or $500,000 for an intermodal rail Shipment). This charge is in addition to any other freight charges accruing to the Shipment, and is to be paid by the party responsible for payment of the freight charges. This fee is not recoverable in the event of a cargo claim for loss or damages. In no case shall Broker s total liability exceed the actual invoice value of the goods shipped. 9

10 4. A statement of value without an express request for excess liability will not increase Broker s liability, and charges for excess liability coverage will not be assessed. Excess declared value coverage is NOT insurance. A statement on the TL Pricing Agreement to insure for a specific value or a statement of value without an express request for excess liability coverage will not increase Broker s liability, and charges for excess liability coverage will not be assessed. Note 1: Excess declared value coverage requested in excess of the maximums allowed will not increase Broker s liability above the stated maximums. In the event excess liability coverage is requested for an amount greater than the maximums provided, the maximum allowable excess liability coverage shall apply. Note 2: Excess liability coverage requested on the TL Pricing Agreement for shipments originating in Canada will be 3% of the amount of excess liability requested stated in Canadian dollars. ITEM 166-2* LIABILITY FOR CLAIMS OTHER THAN FREIGHT CLAIMS Broker is not liable for any injury (including death) to persons or damage to property, other than freight loss or damage, as set forth in Items 166, Liability for Cargo Loss or Damage and 166-1, Excess Declared Value Coverage that arises out of the negligence, willful misconduct, or other act or omission of Carrier or others in the course of the transportation services that Broker arranges at the request of customer ( Injury or Property Damage ). Broker is only liable for Injury or Property Damage to the extent that it is proved that Broker s negligence or willful misconduct in arranging for the transportation services was the proximate cause of the Injury or Property Damage and then only to the extent, on a comparative basis, that the Injury or Property Damage was caused by Broker s negligence or willful misconduct. Carrier shall only be liable for any Injury or Property Damage to the extent that it is proved that Carrier s negligence or willful misconduct in connection with the performance of the transportation services was the proximate cause of the Injury or Property Damage and then only to the extent, on a comparative basis, that the Injury or Property Damage was caused by Carrier s negligence or willful misconduct. ITEM 300* ADVANCING OR PAYING CHARGES (Exception to NMFC Item 300) 1. Unless otherwise instructed by the Shipper or Consignee, Broker may advance charges for truck entry fees, pier handling fees or for accrued lawful charges of air or water carriers. Such advancements or payments together with the charges accruing under this item will be assessed to the party paying the freight charges. 2. The charge for this service will be 5% of the amount advanced or paid, subject to a minimum charge of $72.00 per Shipment. ITEM 361* BILL OF LADING, LETTER OF AUTHORITY AND FREIGHT BILL CORRECTIONS (Exception to NMFC Item 360) 1. Movement of property will be subject to the terms and conditions of the UPS Freight Truckload bill of lading together with this tariff and released rates or limits of liability set forth in such documents. If a Shipper elects to use a non-authorized bill of lading contract or other form of freight receipt, such non-authorized forms are not contracts of carriage and Broker will not be subject to its terms and conditions. 2. Where a bill of lading issued by Shipper is a non-authorized form, a driver or other Carrier signature will acknowledge receipt of the freight only. Carrier s driver s signature does not constitute acceptance of any terms (including, but not limited to, notations regarding special or consequential damages) which conflict or are inconsistent with the UPS Freight Truckload bill of lading terms and conditions or the terms and conditions set forth in this tariff. Continued use of unauthorized bills of lading by Shipper does not constitute an implied acceptance or ratification by Broker. 3. For transportation of property on a through bill of lading which anticipates movement by another mode of carriage, the Shipper authorizes Broker and/or Carrier to act as its agent to sign any additional bill of lading as Shipper's agent. 4. Once a TL Pricing Agreement is approved by the Shipper and Broker no changes to the origin, destination, type of equipment or mode of transportation will be accepted. 5. Broker will not arrange transportation for Shipments tendered on Order Notify Bills of Lading or Sight Draft Bills of Lading. ITEM 430* COLLECT ON DELIVERY SHIPMENTS (C.O.D.) Collect on Delivery (COD) Shipments will be not be accepted by Broker. If a Shipment is inadvertently accepted by Broker or Carrier and the bill of lading identifies a COD is part of the service, those COD instructions shall be considered null and void. Broker, its agents or subcontractors shall not be liable for the collection of the COD amount or remittance to the payee. 1. Broker will not accept responsibility for instructions from the Shipper other than to remove any provisions on the bill of lading for COD Shipments. 2. If, for any reason, the freight is refused by the Consignee, the freight will be subject to Item 500, Driver and Tractor Detention and Item 910, Storage. Broker shall have no liability whatsoever for failure to collect the specified form of payment and any payment instrument prepared by the Consignee or payee are to be delivered directly to Shipper by the Consignee. Broker shall not be liable upon any such instrument. ITEM 485* CUSTOMS - INLAND IN-BOND FEES All Shipments destined to Canada that fail to clear Customs at the border, through no fault of Broker or Carrier, may be assessed one or more of the following charges: SECTION 1 - IN-BOND FEE 1. All Vehicles destined to Canada that fail to clear Customs at the border and must be held in a Customs Bonded Warehouse until cleared by Customs, will be assessed a charge of $ per day. 2. In Bond fees incurred as a result of a customs delay will be billed to the Importer of Record for the Shipment. SECTION 2 - CUSTOMS EXAM FEE All Shipments called for inspection by the Canada Border Services Agency (CBSA) or other government department (OGD) will be assessed a charge to the importer of record for the shipment, and the border broker will assess that charge to party with whom it has contracted. 10

11 SECTION 3 - STORAGE FEE 1. Storage fees will begin to accrue when the shipment is placed in storage and will end when Carrier is able to deliver or transport the Shipment as a result of action by the Shipper, Consignee, owner, border broker or customs official 2. Broker s responsibility is to report to the Customer that the product is seized by Customs officials, and the location of the freight. 3. All storage fees incurred by or charged to Broker or Carrier will be billed to Customer and are exempt from the provisions of Item 910, Storage. ITEM 486* BORDER PROCESSING FEE The following border processing fee will apply on all cross-border Shipments between Canada and the United States. This fee will be billed to and payable by the party responsible for the line haul freight charges and will be in additional to all other applicable charges. $ per Shipment ITEM 487* BORDER CROSSING DETENTION 1. Shipments delayed at a border crossing between the U.S. and Canada or between the U.S. and Mexico, due to customs inspection or any cause beyond the control of Broker and Carrier will incur a border detention fee. The border detention fee is $ per hour, or fraction thereof 2. If the Shipment fails to clear customs and must be held until cleared, Broker will notify shipper and the cost for the extended delay will be negotiated between the parties, to include layover cost and bob tail mileage. 3. If the vehicle is subject to a security inspection and is required to be unloaded, inspected, audited and reloaded, the customer shall reimburse Broker for all charges incurred for unloading, inspection, audit and reloading. Such charges shall apply in addition to all other charges accruing to the shipment. 4. If the Vehicle and the cargo are physically seized and impounded by United States, Canadian or Mexican Customs authorities, a charge of $ per Vehicle per day shall apply beginning the date of seizure and continuing through to, and including the date that such Vehicles and goods are released by the appropriate authorities. Broker shall have no liability or responsibility for any such goods during and after such seizure and impoundment. This paragraph will take precedence over Item 500, Driver and Tractor Detention. ITEM 500* DRIVER AND TRACTOR DETENTION 1. When a Driver is delayed by Shipper or Consignee on or near the premises of Shipper or Consignee, detention charges of $75.00 per hour or fraction thereof shall begin after the expiration of free time and will end when the Tractors are available for movement. The first 2 hours beyond appointment time are free. 2. Time shall be computed upon notification by the driver to the representative of the Shipper or Consignee that the Vehicle is available for loading or unloading and shall end upon completion of loading or unloading and receipt by driver of signed receipt for delivery. ITEM 501* TRAILER DETENTION 1. This item applies when a Trailer is delayed or detained on the premises of a consignor, Consignee or at a site designated by them. Trailers may be empty awaiting loading by the Shipper or loaded with cargo pending unloading by the Consignee. 2. Broker s responsibility for safeguarding shipments loaded into trailers spotted under the provisions of this item shall begin when loading has been completed and possession is taken by a Carrier. Broker s responsibility for safeguarding shipments loaded into trailers ends when the trailer is spotted at or on the site designated by Consignee. 3. Unless otherwise agreed to, the party responsible for payment of the freight charges will be responsible for any accrued detention charges. 4. Spotted trailers will be allowed twenty-four (24) consecutive hours of free time for loading or unloading. The time commences upon placement of the Trailer at the site designated by consignor, Consignee or its agent. 5. After the expiration of free time, charges for detaining a trailer will be assessed as follows: ITEM 510* $ for each 24-hour period, or fraction thereof. DISTANCES EXCEPTION TO METHOD OF DETERMINING MILEAGE Mileage is calculated from origin postal code to destination postal code using PC Miler version in use by Broker at the time of Shipment, Practical, Open, 53 Trailer. If Shipper or Consignee requests transportation of the Shipment over a particular route longer than the shortest route, the mileage over the longer route will be used. If operation over the shortest or specified route is not feasible because of operating hazards load limitations of the highway or bridges, underpasses or other highway limitations, the mileage computed over the actual route of movement of the Shipment will apply. When Shipments move under special permits, as required by or obtained from a municipal, state or federal regulatory body or commission, which specify the route to be traveled, the mileage to be used will be the miles via the route specified in the special permit. ITEM 562* FRACTIONS Except as otherwise specifically provided in applying the provisions of this tariff or tariffs, contracts, customer specific pricing agreements or statements of agreed pricing governed by this tariff, fractions will be disposed of by rounding to the next cent as follows: If less than.5 reduce to next lower cent. If.5 or more increase to next higher cent ITEM 565* HAZARDOUS MATERIALS 1. Broker may arrange Shipments of hazardous materials subject to all requirements of the U.S. Department of Transportation and the Environmental Protection Agency governing transportation of such commodities. Hazardous materials are those defined in the code of Federal Regulations, Title 49, by the U.S. Department of Transportation. Shipper shall comply with all governmental requirements including but not limited to any special labeling, packaging requirements and bills of lading descriptions and including all governmental requirements governing the export or import of hazardous materials to and from Mexico and Canada. Any fines or penalties imposed as a result of Shipper s failure to meet 11

12 governmental requirements will be charged back to Shipper. Any special permits or certificates that Carrier must purchase to move hazardous materials will be obtained, where possible, will be subject to a service charge and passed along to the payor of the line haul freight charges. 2. Hazardous material Shipments arranged by Broker shall be negotiated on a case-by case basis based on the requirements. Nothing in this rule shall obligate Broker to arrange for a shipment or for Carrier to transport or handle any commodity not packaged properly for transportation. HANDLING RESTRICTED HAZARDOUS MATERIALS 1. In the event a Shipment arranged by Broker is not identified by the Shipper as Hazardous Material on the TL Pricing Agreement and therefore picked up by a Carrier not approved for handling the specific hazardous material, the TL Pricing Agreement must be amended to include the Hazardous Material identification and Broker will then arrange for transportation by a certified Carrier. Shipper will be responsible for any costs or expenses incurred due to the misidentification of the freight. 2. If the Shipment is inadvertently picked up because of improper declaration by Shipper, the Shipper will remain liable for any fines or accessorial charges incurred whether the Shipment is stopped at origin or is placed into line haul transportation. Broker will arrange to return the Shipment to the origin point, at a service fee to be determined at the time based upon the circumstances. Note 1 Any notation on any shipping documents limiting full access to a Vehicle or any delays caused by a regulatory agency (or any party to the transportation), will be subject to Item 910, Storage terms and conditions. Note 2 If the Shipment is refused by the Consignee or, for any reason not the fault of Broker or Carrier, or cannot be delivered to the Consignee, Broker will provide notice to the Shipper that the freight is undelivered and subject to Item 500, Driver and Tractor Detention and Item 910, Storage. If, within 10 days of such notice, Shipper does not provide written disposition instructions to Broker, Broker, at its sole discretion, shall be entitled, but not obligated, to dispose of the Shipment. Shipper shall be responsible for all disposal costs and for all storage charges up to the time of disposal or other disposition of the Shipment. ITEM 570* IMPRACTICAL OPERATIONS Pickup or delivery service may not be performed at any site from or to which it is impractical to operate Vehicles, including but not limited to: 1. The conditions of roads, driveways, alleys or approaches thereto 2. Inadequate loading or unloading facilities 3. Riots, acts of God, the public enemy, acts of terrorism, the authority of law (including customs inspections), the existence of violence or such possible disturbances as tending to create reasonable apprehension of danger to persons or property, industry disruptions, fires, strikes or labor disputes (including those of third parties), disruption in communication, an information systems failure, inclement weather. 4. Ferryboat ITEM 578* PICK-UP OR DELIVERY - SHIPPER LOAD AND COUNT Rates and charges originally quoted in a TL Pricing Agreement are for live load by Shipper and unload by Consignee. If Shipper requires a trailer to be dropped for loading by Shipper, additional charges shall apply and will be adjusted once the operational conditions are known. Charges vary based on whether or not the driver must layover and on bob tail distances. Payor agrees to pay the additional charges. Shipper Load & Count ( SL&C ) Shipments are subject to the following terms and conditions: 1. All shipments are Shipper Load and Count unless arranged for in advance with Broker. 2. Shipper will load, block and brace each Shipment securely, in such a manner so as to withstand the normal rigors of transportation to the Consignee destination, including any stop offs included on the TL Pricing Agreement. 3. Consignee will count and verify the piece count, defined as cartons, rolls, pails, or similar units of each SL&C Shipment and note any exceptions - over, short, or damaged (referred to herein as O/S/D exceptions ) when the Shipment is actually unloaded. 4. Shipper will be notified of any O/S/D exception(s) or a clear delivery within two business days of the unloading of the Shipment. Failure of Broker to notify Shipper of any O/S/D exceptions as provided herein does not relieve the Shipper of its obligations. 5. Shipper shall be liable for any damages to or loss or theft of the Trailer (or any contents thereof) or any other Equipment while it is in the custody or control of Shipper. These shall be deemed in the custody and control of Shipper from the time it is dropped at the designated location until it is picked up. Shipper should inspect the Equipment dropped for loading and take note of any existing conditions to the Equipment so that responsibility for damage to the Equipment may be clarified. 6. Item 500, Driver and Tractor Detention and Item 910, Storage apply beyond the free time allowed. ITEM 579* DROPPED TRAILER FOR CONSIGNEE UNLOADING Rates and charges originally quoted in a TL Pricing Agreement are for live load by Shipper and unload by Consignee. Additional charges shall apply and will be adjusted once the operational conditions are known, if, for instance the driver must layover and on bob tail distances. Payor agrees to pay the additional charges. Neither Broker nor Carrier may have a representative present during the unloading of the Trailer. When Shipments are delivered to the Consignee s location for subsequent unloading at a later time by Consignee, such delivery will be subject to the following terms and conditions: 1. Upon delivery of a Trailer hereunder, Carrier or its agent or sub-contractor will present to Consignee: a. the Trailer with its door seal intact; b. a bill of lading identifying the shipper and contents. 2. Upon delivery of each Trailer by Carrier hereunder, Consignee will: a. ensure the Trailer door seal is intact and matches with the seal number printed on the manifest; b. ensure a bill of lading is provided and received c. sign the bill of lading acknowledging receipt of the sealed Trailer. 3. Upon unloading the Shipments from the Trailer, Consignee will: a. note all exceptions to the condition of the Shipments (shortages, overages, and/or damages) on each individual delivery receipt for the applicable shipment; b. ensure that all delivery exceptions reference product numbers or some other specific identifier of the specific freight for which an exception is being taken; c. sign and date each delivery receipt, and note the condition of the shrink wrap for that Shipment; 12

13 d. contact Broker to advise that the Trailer and delivery receipts are available for pick up. A Trailer is considered returned for purposes of this agreement, and calculating detention charges, only if all applicable delivery receipts have been returned with the Trailer. 4. Exception Notification a. Consignee will advise Broker of any delivery exceptions (over, short or damaged) within 24 hours of the time the Trailer was delivered to Consignee s location. Notification must reference the individual freight bill number and corresponding exception. b. Consignee s failure to report delivery exceptions within 48 hours will mean there were NO delivery exceptions and Consignee agrees that all claims for which a delivery exception is not presented within such 48 hour period are hereby waived. 5. Item 500, Driver and Tractor Detention and Item 910, Storage apply beyond the free time allowed. 6. Consignee shall be liable for any damages to or loss or theft of the Trailer (or any contents thereof) or any other Equipment while the Equipment is in the custody or control of Consignee or its agent or subcontractor. Such Equipment shall be deemed in the custody and control of Consignee from the time it is dropped at the designated location until it is picked up by Carrier. Consignee should inspect the Equipment dropped for unloading and take note of any existing conditions to the Equipment so that responsibility for damage to the Equipment may be clarified. ITEM 582* GROCERY WAREHOUSE SERVICE 1. In the event the Carrier is required to perform or complete additional services as a condition of the delivery to a grocery warehouse, the payor of the freight charges shall be charged for the additional cost incurred, unless payment has been guaranteed to the satisfaction of Broker by another party. Additional services required to be provided or resulting from these services, may include, but are not limited to, such services as Item 750, Pick-up or Delivery, Item 751, Sorting and Segregating of Shipments, and Item 500, Driver and Tractor Detention, among others. 2. Where the grocery warehouse requires the use of a service provider for specific unloading services, Broker will be reimbursed by the payor of the freight charges for the cost of the required service charged by the provider, any resulting cost for delay incurred for detention or delivery completed after normal Business Hours, plus a processing fee of 10% of the charges incurred by the Carrier. ITEM 615* HOUSEHOLD GOODS OR PERSONAL EFFECTS Broker does not arrange for movement of household goods. ITEM 680* PACKAGING REQUIREMENTS AND BROKER LIABILITY (Exception to NMFC Item 680) It is the responsibility of Shipper to ensure that proper packaging is used and that contents of packages are adequately and securely packed, wrapped and cushioned for transportation. Where customer pricing is dependent on packing requirements those rates or ratings will apply only when the commodities are packed in accordance with such packing requirements. Where packing requirements are not provided in tariffs governed hereby, the packing requirements of NMFC will apply. Where packing requirements are provided in tariffs governed hereby, rates or ratings provided in connection therewith will apply only when the article or articles are packed in accordance with such packing requirements. Broker will not be liable for, nor shall any adjustment, refund or credit of any kind be made to Shipper, Consignee or any Third Party with an interest in the Shipment as a result of any loss, damage, destruction or misdelivery (including misinformation accompanying the Shipment) caused by any of the following: 1. Insufficient packing, securing, marking or labeling of Shipment 2. Damage or loss of articles packaged and sealed by Shipper or a third party acting on Shipper s instructions, where the seal is unbroken at the time of delivery, the Shipment retains its basic integrity and the Consignee accepts the Shipment without noting the damage on the delivery record. 3. Allegation of damages indicated solely by reliance on any instrument attached to or shipped with the commodities that measure and record vibration, temperature, impact or other physical characteristic. 4. Shipper s failure to ship goods in packaging approved by Broker prior to Shipment where such prior approval is recommended or required. 5. Damage to general shipping containers whose outer finish might be damaged by adhesive labels, soiling or marking incidental to transportation. 6. For Shipments of food, food-related products, medical supplies, toiletries or drugs for human or animal consumption or use, Shipper is responsible for ensuring that packaging is sufficient to protect such goods from damage due to prolonged exposure to sunlight, heat, cold or precipitation or co-loading with Shipments of chemicals, food or other products in the normal course of Shipment handling and transportation. ITEM 700* PERMITS When Broker or Carrier is required or requested to obtain a special permit, the payor of the freight charges will reimburse Broker for the cost of the permit plus an administrative fee of 10% of the fee charged to the Carrier. ITEM 725* PICK-UP OR DELIVERY SPECIAL EQUIPMENT Broker will not provide Equipment or supplies for palletizing, loading, blocking, bracing or as dunnage for freight. If required by the Shipper or Consignee to provide Equipment or supplies, additional charges will apply, including the actual cost of the Equipment and supplies and a service charge of 10% to cover administrative costs. ITEM 750* PICK-UP OR DELIVERY 1. Unless otherwise specifically indicated, rates in a TL Pricing Agreement are based on Shipper Load/Consignee Unload (SLCU). Additional charges apply for driver loading and unloading, extra labor or additional Equipment provided by Broker for loading or unloading. Additional charges shall apply and will be adjusted once the operational conditions are known. 2. Broker will not arrange any pick-up or delivery service where the Shipment or portion of the Shipment must be moved from or to positions beyond the immediate adjacent loading or unloading positions defined in section 1, unless the terms and conditions of Item 755, Pick-up or Delivery Limited Access Locations apply. 13

14 DRIVER LOAD / UNLOAD Additional charges apply for driver loading and unloading, extra labor or additional Equipment provided by Carrier for loading or unloading. In addition, the following charge shall apply: $1.00 per cwt, subject to a $ minimum charge. ITEM 751* SORTING AND SEGREGATING OF SHIPMENTS OR TRANSFER OF SHIPMENTS LOADED ON PALLET(S), PLATFORM(S), RACK(S), SKID(S) OR OTHER SIMILAR DEVICES ON DELIVERY 1. Where the driver is required to perform services that sort or segregate a shipment under the following conditions, additional charges will be added to the charges incurred to the payor of the freight charges. In all cases, the responsibility for payment of these charges will be irrespective of whether the shipment is prepaid or collect. a. Sort or Segregate shipments by size, brand, flavor or other distinguishing characteristics. b. Assembling freight in such a manner to create a shipment. c. Inspecting, dismantling, packing, unpacking of any freight. d. When the product terms of sale requires a shipment be sorted or segregated in any manner, but the Shipper fails to tender the shipment in that manner. 2. Any request for such service shall be subject to a charge that is to be determined based on the circumstances;, charges for these services shall be the responsibility of the party requesting the service, and if uncollectible, Broker reserves the right to assess the charges against the payor of the freight charges. In all cases, the responsibility for payment of these charges will be irrespective of whether the shipment is prepaid or collect. 3. No sorting or segregating charge will apply when : a. The only service performed is a count necessary to determine the extent and identity of shortages or overages as may have been ascertained. b. The Shipment is tendered to Carrier on pallet(s) and delivery is in the same palletized manner in which the freight was tendered to Carrier. ITEM 753* PICK-UP OR DELIVERY - PRIVATE RESIDENCES Broker will not arrange for delivery to addresses that represent a Private Residence as defined in Item 120. ITEM 754* PICK-UP OR DELIVERY SATURDAYS, SUNDAYS, HOLIDAYS OR NON BUSINESS HOURS 1. When Shipper or Consignee requests pick up or delivery on a Saturday, Sunday, Holiday or during non-business Hours, the service will be subject to a charge of an additional 35% of contracted linehaul rate charged when Saturday/Sunday/Holiday pickup or delivery is requested or performed. Such charges shall be in addition to all other applicable charges. 2. Shipper or Consignee may request Broker to place or pick up empty Trailer(s) on Saturdays, Sundays, Holidays or during non-business Hours even though the actual pickup and/or delivery of freight may occur on a day other than Saturday, Sunday, Holiday or occurs during normal Business Hours. The charges for this service will be as indicated in paragraph 1 above. 3. A request for pickup or delivery service on a Saturday, Sunday, Holiday or during non-business Hours must agreed to in the applicable TL Pricing Agreement. Broker will accommodate the request where possible, but is not obligated to perform such services during non-business Hours even if requested on the TL Pricing Agreement. 4. Charges must be either paid by the party requesting the service or guaranteed to the satisfaction of Broker before pickup or delivery will be made Note 1 Note 2 The term Holiday shall mean: UPS or UPS Freight Holiday as identified on their respective websites. When the Holiday falls on Sunday, the following Monday will be considered as a Holiday. If a delivery date is specified on the TL Pricing Agreement and it is a Saturday, Sunday, or a Holiday, delivery will be completed on the next business day unless the TL Pricing Agreement indicates the Consignee in fact requires delivery on a Saturday, Sunday or Holiday. When pick up or delivery is in Mexico, the following Mexican Holidays shall also be included under the term Holiday : Benito Juarez Day, Holy Thursday, Mexican Constitution Day, Good Friday, Mexican Labor Day, Mexican Independence Day, All Saints Day, Revolution Day, and Cinco de Mayo. Note 3 When pick up or delivery is in Canada, holidays generally recognized in the Province will be included under the term Holiday. ITEM 755* PICK-UP OR DELIVERY - LIMITED ACCESS LOCATIONS An additional charge will be assessed for pickup and/or delivery to a limited access site. Charges vary based on the individual circumstances. Contact Broker at (888) , to determine the applicable charge. The original quoted charges will be adjusted once the operational conditions are known. Payor agrees to pay the additional charges. Limited access sites include those where there is no loading or unloading dock, and the following: a. Churches b. Commercial establishments not open to the walk in public during normal Business Hours c. Construction Sites (see Definitions) d. Fairs, Carnivals e. Individual (Mini) storage units f. Military Bases / Installations g. Mine Sites (see Definitions) h. Prisons or other correctional facilities I. Schools with no loading dock j. Oil Fields (see Definitions) k. Other similar locations where pick up or delivery is restricted or limited 14

15 ITEM 757* HIGH COST SERVICE AREA SURCHARGE Shipments picked up or destined to the following service areas will be subject to a per Shipment surcharge. This surcharge will be in addition to all other applicable rates and charges, and will be added to the freight bill as a separate line item. The surcharge will be billed to and shall be the responsibility of the party who is responsible for payment of the line haul freight charges. NY Manhattan area having ZIP codes: through and through $ per load for loads picked up, with a stop off or delivered. ITEM 780* PROHIBITED ARTICLES 1. Shipper shall not tender any items for Shipment the transportation of which is prohibited by applicable local, state or federal law, rules, regulations, or ordinances. 2. Shipper agrees to indemnify Broker for any cost, fees and expenses incurred by Broker as a result of Shipper s violation of any local, state or federal law, rule, regulation or ordinance or resulting from the tendering of any item not properly described in the applicable TL Pricing Agreement. 3. Shipper is responsible for properly identifying in the applicable TL Pricing Agreement any special handling or transportation considerations required, including restrictions that could prevent Carrier from using the most direct route from origin to destination. 4. In the event any additional services are provided or arranged by Broker not identified on the applicable TL Pricing Agreement, additional charges shall apply and will be adjusted on the invoice to the freight bill payor once the operational conditions are known. ITEM 810* PROTECTIVE SERVICES Broker will arrange Temperature Controlled or Freezable Protection services, but these requirements must be identified on the applicable TL Pricing Agreement. Additional services arranged by Broker not identified on the applicable TL Pricing Agreement will result in additional charges, which shall be adjusted on the invoice to the freight bill payor once the operational conditions are known. SECTION 1: TEMPERATURE CONTROLLED SERVICE 1. Service under this item shall be subject to the Conditions of Service and Exclusions from Service shown below. 2. All requests for Temperature Controlled Service must be arranged through as provided in this Section. Regardless of whether the Shipper has marked the bill of lading with TEMPERATURE CONTROLLED SERVICE REQUESTED or has arranged for the transportation service via a means other than as set forth in this Section, in the event that the Shipper or customer fails to specify the requirement for Temperature Controlled Service (or fails to comply with any of the other Conditions of Service set forth below) on the TL Pricing Agreement, then Broker shall have no liability for any loss, damage or destruction to all or any part of a Shipment due to the failure of Broker to provide Temperature Controlled Service for such Shipment. 3. The charge for Temperature Controlled Service shall be based on the agreed upon pricing negotiated between the Broker and customer and documented on the applicable TL Pricing Agreement. In the event there is no specific Temperature Controlled Service pricing negotiated between the parties and a request for Temperature Controlled Service is made on the bill of lading, Broker is not liable for loss or damage to the commodities or degradation of the product due to failure to maintain temperature control. 4. If refrigerated Trailers are used to perform the Services, Customer shall specify on the TL Pricing Agreement the necessary Trailer temperature; provided, however, that such temperature may vary by five degrees (5 ) F on the thermometer gauge of the refrigeration unit. If refrigerator unit is allowed to run out of fuel while in the Customer s responsibility, Customer is responsible for all charges to repair and/or replace, plus an administrative surcharge of 10% of the repair cost. Conditions of Service: a. Customer or Shipper must contact Broker at least 48 hours in advance to define the service requested the commodities to be shipped and the origin and destination. b. Broker s published service standards, including time-in-transit do not apply. c. Expedited, weekend and Holiday services are available only upon request and where suitable Equipment is available. d. Broker liability for loss, damage or destruction to any Shipment or part thereof is limited; see Item 166, Liability for Cargo Loss or Damage, Section 6. e. The applicable TL Pricing Agreement must clearly state that Temperature Controlled Service will be provided and Shipper must make the following notation prominently on the bill of lading: TEMPERATURE CONTROLLED SERVICE REQUESTED. Exclusions from Service: Temperature Controlled Services will not be offered on Shipments with the following requirements or conditions: a. Shipments involving pickups or deliveries at Private Residences b. Shipments involving pickups or deliveries at U.S. domestic islands SECTION 2: FREEZABLE PROTECTION SERVICE 1. Broker will arrange transportation that provides Freezable Protection Service for commodities that have a freeze point of 32 degrees Fahrenheit or lower and require protection from freezing. Service under this rule will be provided only for Shipments handled by Broker in the 48 contiguous United States and Canada. Service shall be subject to the Conditions of Service and Exclusions from Service shown below. 2. All requests for Freezable Protection Service must be arranged through as provided in this Section. Regardless of whether the Shipper has marked the bill of lading with FREEZABLE PROTECTION SERVICE REQUESTED or has arranged for the transportation service via a means other than as set forth in this Section, in the event that the Shipper or customer fails to specify the requirement for freezable protection (or fails to comply with any of the other Conditions of Service set forth below) on the TL Pricing Agreement, then Broker shall have no liability for any loss, damage, degradation or destruction to all or any part of a Shipment due to the failure of Broker to arrange for Temperature Controlled Service for such Shipment. 3. The service shall be subject to the following Conditions of Service and Exclusions from Service: Conditions of Service: a. Applicable only where suitable Equipment is available. 15

16 b. The applicable TL Pricing Agreement must clearly state that Protect from Freezing Service will be provided Shipper must specifically and prominently note PROTECT FROM FREEZING on the bill of lading. c. Freezable Protection service does not apply for commodities with a freeze point higher than 32 degrees Fahrenheit. d. Broker liability for loss, damage or destruction to any Shipment or part thereof is limited; see Item 166, Liability for Cargo Loss or Damage, Section 6. Exclusions from Service: Freezable Protection Service will not be offered on Shipments with the following requirements or conditions: a. Shipments involving deliveries at Private Residences b. Shipments involving pickups or deliveries at U.S. Domestic Islands. ITEM 812* CLAIMS AND LEGAL ACTIONS: INDIVIDUAL BINDING ARBITRATION OF CLAIMS Section 1 - Time Limits and Pleading Requirements for Claims/No Right to Set Off 1. Claims against Broker must be made within strict time limits, including as set forth in Item 813, Claims for Unidentified Payment, Overpayment or Duplicate Payment regarding invoice adjustments or billing disputes; and Item 166, Liability for Cargo Loss or Damage regarding claims for loss or damage to property. 2. Claimant is the person asserting the claim or seeking recourse arising out of or related to the provision of services by Broker or Carrier. 3. All claims against Broker arising out of or related to the provision of services by Broker or Carrier, including, but not limited to, demands for damages, refunds, credits, and any legal or equitable relief whatsoever, shall be extinguished unless the Claimant (1) timely and completely complies with all applicable notice and claims periods set forth in this Tariff and any applicable contract, including as to claims for loss or damage to property under Item 166, claims for invoice adjustments under Item 813, or claims for breach of contract or any other cause of action; and (2) pleads on the face of any complaint filed in court against Broker or states in its submission of its claim in arbitration against Broker, as the case may be, satisfaction and compliance with those notice and claims periods as a contractual condition precedent to recovery. 4. Claimants may not deduct the amounts of pending claims from any charges owed to Broker, and the shipper waives any and all rights, including any statutory or common law rights, to set off the amount of any claim against charges owed to Broker. Section 2 - Agreement to Arbitrate Claims 1. Claimant and Broker agree that, except for disputes that qualify for state courts of limited jurisdiction (such as small claims, justice of the peace, magistrate court, and similar courts with monetary limits on their jurisdictions over civil disputes), any controversy or claim, whether at law or equity, arising out of or related to the provision of services by Broker or Carrier, regardless of the date of accrual of such dispute, shall be resolved in its entirety by individual (not class-wide nor collective) binding arbitration. 2. Arbitration is the submission of a dispute to a neutral arbitrator, instead of a judge or jury, for a final and binding decision, known as an award. Arbitration provides for more limited discovery than in court, and is subject to limited review by courts. Each party has an opportunity to present evidence to the arbitrator in writing or through witnesses. An arbitrator can only award the same damages and relief that a court can award under the law and must honor the terms and conditions in this Tariff. 3. Claimant and Broker agree that their sole relationship is a contractual one governed by this Tariff and any applicable contract. Any controversy or claim arising out of or related to the provision of services by Broker or Carrier shall be resolved solely based on the agreements set forth in this Tariff and any applicable contract. Section 3 - Institutional Arbitration 1. The arbitration shall be conducted by the American Arbitration Association (AAA) in accordance with its Commercial Arbitration Rules and the Supplementary Procedures for Consumer-Related Disputes (the Rules ), and judgment on the award may be entered in any court of competent jurisdiction. The Rules, including instructions for how to initiate arbitration, are available at or by calling the AAA at The arbitrator shall decide all issues of the case on the basis of the applicable law, not equity. If you initiate arbitration, you must serve Broker s registered agent for service of process, Corporation Service Company, which has locations in every state. Information also can be found on the website of your local Secretary of State. 2. Any arbitration under this Agreement will take place on an individual basis; class, mass, consolidated or combined actions or arbitrations or proceeding as a private attorney general are not permitted. Claimant and Broker are each waiving the right to trial by jury. Claimants and Broker are further giving up the ability to participate in a class, mass, consolidated or combined action or arbitration. Section 4 - Place of Arbitration/Number of Arbitrators/Costs of Arbitration/Governing Law/Survival 1. Any arbitration will take place in the county where Claimant resides and will be determined by a single arbitrator. 2. Any filing fee or administrative fee required of Claimant by the AAA Rules shall be paid by Claimant to the extent such fee does not exceed the amount of the fee required to commence a similar action in a court that otherwise would have jurisdiction. For all non frivolous complaints, Broker will pay the amount of such fee in excess of that amount. The arbitrator will allocate the administrative costs and arbitral fees consistent with the applicable rules of the American Arbitration Association. Reasonable attorney s fees and expenses will be allocated or awarded only to the extent such allocation or award is available under applicable law. 3. All issues are for the arbitrator to decide, except that issues relating to the scope, application, and enforceability of the arbitration provision are for a court to decide. The Federal Arbitration Act governs the interpretation and enforcement of this provision. This agreement to arbitrate shall survive termination of this Tariff and/or any applicable contract. Section 5 - Severability Notwithstanding anything to the contrary in the AAA Rules, if any part of this arbitration provision is deemed invalid or ineffective for any reason, this shall not affect the validity or enforceability of the remainder of this arbitration provision, and the arbitrator shall have the authority to amend any provisions deemed invalid or ineffective to make the same valid and enforceable. Section 6 - Desk Arbitration For all disputes concerning an amount less than fifteen thousand dollars ($15,000.00), the parties shall submit their arguments and evidence to the arbitrator in writing and the arbitrator shall make an award based only on the documents; no hearing will be held unless the arbitrator in his or her discretion, and upon request of a party, decides it is a necessity to require an in-person hearing. For a dispute governed by the AAA Consumer- Related Disputes Supplementary Procedures, and concerning an award between fifteen thousand dollars ($15,000.00) and fifty thousand dollars ($50,000.00), inclusive, Broker shall pay Claimant s filing fee under the AAA Rules, provided that Claimant agrees that both parties shall submit their arguments and evidence to the arbitrator in writing and that the arbitrator shall make an award based only on the documents, without a hearing being held. Notwithstanding this provision, the parties may agree to proceed with desk arbitration at any time. 16

17 Section 7 - Access to Small Claims Courts All parties shall retain the right to seek adjudication in a state court of limited jurisdiction, such as small claims, justice of the peace, magistrate court, and similar courts with monetary limits on their jurisdiction over civil disputes, for individual disputes within the scope of such court s jurisdiction. Section 8 - Acknowledgements Claimant and Broker acknowledge and agree that pursuant to this Tarff: 1. CLAIMANT AND BROKER AGREE THAT WE ARE WAIVING THE RIGHT TO HAVE A TRIAL BY JURY TO RESOLVE ANY DISPUTE ALLEGED AGAINST CLAIMANT, BROKER, CARRIER OR RELATED THIRD PARTIES; 2. CLAIMANT AND BROKER AGREE THAT WE ARE WAIVING THE RIGHT TO HAVE A COURT, OTHER THAN A STATE COURT OF LIMITED JURISDICTION AS DEFINED ABOVE, RESOLVE ANY DISPUTE ALLEGED AGAINST CLAIMANT, BROKER OR RELATED THIRD PARTIES; 3. CLAIMANT AND BROKER AGREE THAT WE ARE WAIVING THE RIGHT TO HAVE A COURT REVIEW ANY DECISION OR AWARD OF AN ARBITRATOR, WHETHER INTERIM OR FINAL, EXCEPT FOR APPEALS BASED ON THOSE GROUNDS FOR VACATUR EXPRESSLY SET FORTH IN SECTION 10 OF THE FEDERAL ARBITRATION ACT. 4. CLAIMANT AND BROKER AGREE THAT WE ARE WAIVING THE RIGHT TO SERVE AS A REPRESENTATIVE, AS A PRIVATE ATTORNEY GENERAL, OR IN ANY OTHER REPRESENTATIVE CAPACITY, JOIN AS A CLASS MEMBER, AND/OR TO PARTICIPATE AS A MEMBER OF A CLASS OF CLAIMANTS IN ANY CLASS, MASS, CONSOLIDATED OR COMBINED ACTION OR ARBITRATION FILED AGAINST CLAIMANT, BROKER AND/OR RELATED THIRD PARTIES. Section 9 - Award The arbitrator may award money or equitable relief in favor of only the individual party seeking relief and only to the extent necessary to provide relief warranted by that party s individual claim. Similarly, an arbitration award and any judgment confirming it apply only to that specific case; it cannot be used in any other case except to enforce the award itself. To reduce the time and expense of the arbitration, the arbitrator will not provide a statement of reasons for his or her award unless a brief explanation of the reasons is requested by one of the parties. Unless both Claimant and Broker agree otherwise, the arbitrator may not consolidate more than one person s claims, and may not otherwise preside over any form of a representative, private attorney general or class proceeding. Section 10 - Confidentiality of Arbitration Notwithstanding anything to the contrary in the AAA Rules, Broker and Claimant agree that the filing of arbitration, the arbitration proceeding, any documents exchanged or produced during the arbitration proceeding, any briefs or other documents prepared for the arbitration, and the arbitral award shall all be kept fully confidential and shall not be disclosed to any other party, except to the extent necessary to enforce this arbitration provision, arbitral award or other rights of the parties, or as required by law or court order. This confidentiality provision does not foreclose the American Arbitration Association from reporting certain consumer arbitration case information as required by state law. ITEM 813* CLAIMS FOR UNIDENTIFIED PAYMENT, OVERPAYMENT OR DUPLICATE PAYMENT A claim for overcharge, unidentified, over collection, or duplicate payment shall not be paid unless filed in writing with Broker within 180 days of receipt of Broker s invoice. For the purposes of applying this rule, receipt shall mean 10 days after the Shipment has been tendered to Carrier by the Shipper. Except as otherwise provided, claims will be handled in accordance with procedures governing the processing, investigation and disposition of such claims as found in NMFC series Items through and 49 CFR Part 370. ITEM 819* SPECIAL DAMAGES AND LIABILITIES NOT ASSUMED 1. In no instance shall Broker, including its agents, contractors, employees and affiliates be liable for any indirect, incidental, consequential, loss of profit, loss of income, special, exemplary or punitive damages, whether or not Broker had knowledge that such damages might be incurred, without Broker s prior agreement in writing. 2. Broker will not be liable for any damages in excess of the limitations contained within Item 166, Liability for Cargo Loss or Damage of this Rules Tariff, whether Broker knew or should have known that such damages might be incurred, without Broker s prior agreement in writing. 3. Broker will not be liable for, nor shall it make any refund or any credit as a result of any loss, damage, delay, misdelivery, nondelivery or failure to provide information about a Shipment caused by or resulting in whole or in part from any of the following: a. An act, default or omission of any person or entity other than Broker, its parent or affiliates b. A defect or inherent nature of a commodity c. Shipper s violation of any of the terms and conditions in this tariff in effect at the time of the Shipment d. Loss of data stored on magnetic tapes, files or other storage media or erasure or damage or photographic images, sound tracks or motion pictures on any media e. Shipments where Broker records do not identify that the commodities were tendered to Carrier by the Shipper. f. Delay or incomplete delivery due to an act or omission of a customs agent, regulatory authority or police agency g. Damage indicated solely by any shock watch, tilt meter, temperature recorder or other device attached to the freight while in transit h. Superficial damage to outer or general shipping containers, including damage to the finish by adhesive labels, soil or damage incidental to the transportation service i. Broker s or Carrier s employees compliance with verbal instructions from Shipper, Consignee or parties claiming to represent Shipper or Consignee j. An incomplete or inaccurate address of the Shipper or Consignee, or incomplete, inaccurate or missing documentation required for the lawful transportation including customs clearance of the goods 17

18 ITEM 820* RECONSIGNMENT OR DIVERSION A request for reconsignment or diversion of a Shipment will be subject to the following definitions, conditions and charges: 1. DEFINITIONS OF RECONSIGNMENT OR DIVERSION: a. A change in the name of the Shipper or Consignee, or a change in the place of delivery or destination point b. Relinquishment (return) to Shipper or owner of the goods at point of origin c. Relinquishment to another carrier designated by Shipper 2. CONDITIONS: a. Requests for Reconsignment must be made in writing or confirmed in writing via fax or to the Broker. Instructions printed on the bill of lading, shipping order, shipping label or container will not be recognized as authority to reship, return reconsign or divert a Shipment. Broker must be satisfied that the party making the request has the authority to do so. Conditional or qualified requests will not be accepted. b. Broker will make a diligent effort to execute a request for Reconsignment, but will not be responsible if such service is not affected. c. All charges applicable to the Shipment whether accrued or accruing must be paid or guaranteed before reconsignment will be made. d. Only entire Shipments, not portions of Shipments, may be reconsigned or diverted. e. An order for Reconsignment of a Shipment moving under Order Bills of Lading will not be considered valid. f. Reconsignment will not be permitted on Shipments In Bond. 3. SERVICE CHARGE: $ per occurrence plus $1.50 per mile. Mileage is calculated from point of Reconsignment to new destination point. ITEM 900* STOP-OFF FOR PARTIAL LOADING OR UNLOADING A single Shipment, subject to a TL Pricing Agreement, may be stopped for partial loading or partial unloading subject to the following provisions: 1. GENERAL PROVISIONS: a. After initial pickup stop at origin and prior to final delivery stop at destination, Shipment may be stopped for the purpose of picking up or delivering component parts of a single Shipment at origin, at points enroute to destination or at destination. b. Pickup or delivery service may be performed at additional loading or unloading sites at origin, destination or at intermediate stop off points within continuous private property at the place of the party receiving the service. Continuous private property may be intersected by no more than one public street or thoroughfare. c. The greatest mileage between any point of loading and any point of unloading will determine the point of origin and the point of destination for the application of this rule. All mileages shall be computed by use of PC Miler version in use by Broker at the time of Shipment, Practical, Open, 53 Trailer. 2. CHARGES: $ per stop for 1 st three stops, $ for each stop thereafter, excluding origin and destination. Linehaul charges will be assessed on the actual mileage incurred. Charges will be billed to the party identified as the payor on the TL Pricing Agreement. ITEM 910* STORAGE Freight held in Broker s or Carrier s possession (or its agents and connecting carriers) by reason of an act or an omission of the Shipper, Consignee, or owner, at the shipping or receiving location, and through no fault of Broker or Carrier, will be considered stored immediately and will be subject to the following provisions: 1. Storage will accrue at 7:00 a.m. local time on the day following the delivery of the freight. 2. Storage will be charged on a pass through basis to the Shipper, Consignee or payor of the freight bill based on the actual cost incurred by Broker, plus an administrative fee of 15% of the costs incurred. 3. Once in storage, Broker will notify the Shipper, Consignee or owner of the goods that the goods are undelivered. Broker s liability immediately shall be that of a warehouseman. The procedures that Broker agrees to take as a warehouseman shall be the use of ordinary care to keep the Shipment in a safe and suitable place or to store the Shipment properly. 4. If Broker does not receive disposition instructions within two Business Days of Broker s first notification, Broker will issue a second notification. 5. If Broker does not receive disposition instructions within ten (10) Business Days of the second notification, Broker will arrange to (i) return the goods at Shipper s expense to the original shipping location identified on applicable TL Pricing Agreement or (ii) offer the Shipment for sale at a public auction. If offered for sale at public auction, the amount of the sale will be applied to the transportation, storage and handling charges already accrued. 6. If the undelivered Shipments consists of hazardous materials or perishable goods and Shipper does not promptly provide disposition instructions to Broker, Broker at its sole discretion shall be entitled to dispose of the Shipment to best protect its interests. ITEM 980* UNDELIVERED RETURNED SHIPMENTS 1. If freight cannot be delivered or becomes abandoned at the border, or cannot be transported further because of an error or omission on the part of the Shipper, Consignee or owner, then Broker will make a diligent effort to notify the Shipper promptly that the freight is in storage and the reason thereof. 2. Undelivered Shipments will be subject to applicable storage or detention charges. 3. Freight stored on a loaded Trailer will be assessed charges actually incurred. If the Consignee or Shipper requests the freight be unloaded at a public warehouse, the assessment will include the charges incurred for loading, unloading, handling, and storage. Redelivery charges may also apply. ITEM 985* EQUIPMENT FURNISHED BUT NOT USED When powered Equipment is requested and a Carrier dispatched, but through no fault or negligence of Broker or Carrier, the Equipment is not used, Broker will charge a fee to the party identified on the TL Pricing Agreement as the Shipper or the party otherwise ordering the Equipment, a fee of $

19 ITEM 990* REWEIGH AND WEIGHT VERIFICATION 1. Carrier may have Shipments reweighed at the first public weigh scale, or may weigh a Vehicle while in transit. 2. If the gross weight (GVW) exceeds weight limits and a Trailer is impounded, Broker will notify Shipper and Consignee that the freight has been delayed and is undelivered. Shipper will be responsible to provide additional Equipment to off load the excess weight into approved Trailers, or Broker may make arrangements for additional Equipment upon Shipper s written authorization. A revised TL Pricing Agreement will be prepared for the revised weight of the original Shipment and the weight of the second Shipment, if applicable. 3. The Shipper or payor of the freight bill will be responsible for the following: a. any assessments imposed by state or municipal authorities for the reweight and impoundment of the freight and Equipment b. any assessment imposed by state or municipal authorities for freight that is over-dimension c. any penalties, assessments or fees charged for additional permits or documentation required d. any assessments for actual costs incurred for the procurement and use of unloading labor and Equipment e. any assessment for actual costs incurred for layover or bob tail mileage f. an administrative fee of 15% of the actual costs incurred by Broker g. any other assessments, penalties, fines or fees imposed due to the overweight or over dimension of the freight tendered to Broker END OF TARIFF 19