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B-221663 1 (1986-10-10)

handle is hein.gao/gaobadmnb0001 and id is 1 raw text is: 


The Comptroller General
of the United States
Washington, D.C. 20548
Decision




Matterof-   Yellow Freight System, Inc.

File:       B-221663

Date:       October 10, 1986



DIGEST

Where there is persuasive evidence showing that the billing/
delivering carrier advised the government to call another
carrier to pick up a shipment as its agent, and the Govern-
ment Bill of Lading, which was issued to the billing/deliver-
ing carrier, was receipted by the other carrier as its agent,
the General Services '.dministration.'13 (GSA) audit determina-.
tion that charges based .n the billing/delivering carrier's
single-line rates were applicable (rather that the charges
based on higher joint-line rates the carrier collected) was
correct. Therefore, GSA's recovery of the difference as
overcharges is sustained.


DECISION

This decision results from our review of deduction action
taken by the General Services Administration (GSA) to recover
overcharges collected by Yellow Freight System, Inc.
(Yellow). We sustain GSA's action.

BACKGROUND

The record indicates that Merchants Fast Motor Lines, Inc.
(Merchants), picked up a shipment from the U.S. Army Reserve
Center, 327th Chemical Company, at Bay City, Texas, on Decem-
ber 17, 1982, and transferred it to yellow at Houston for
delivery to Bloomington, Illinois. Yellow collected freight
charges for the through transportation based on joint-line
rates. The GSA determined that lower single-line rates,
which were offered in Yellow's Tender No. ICC 2094, were
applicable, on the theory that Merchants was merely Yellow's
pick-up agent, rather than an interline carrier. GSA then
recovered the difference between the charges collected and
charges derived from Tender No. 2094 as overcharges.


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