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B-270725 1 (1996-06-26)

handle is hein.gao/gaocrptaeas0001 and id is 1 raw text is: 


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

Decision




Matter of: American Van Services, Inc.

File:       B-270725

Date:       June 26, 1996

DIGEST

Carrier's submission of check in payment of damages to shipment of household
goods with conditional endorsement releasing carrier of any future liability for
shipment is without effect as to liability for damaged items subsequently reported to
carrier, where the subsequent report is provided to the carrier within 75 days of
delivery in accordance with Military-Industrial Memorandum of Understanding. This
memorandum specifies the responsibilities and duties of carriers, and a carrier may
not unilaterally alter the basis for determining its liability for loss and damage under
the Memorandum.

DECISION

American Van Services, Inc., appeals Claim Settlement No. Z-2862118(69), dated
December 7, 1995, which denied American's refund request for monies set off for
damage or loss to the household goods shipment of Douglas Clark, an Air Force
member. For the reasons which follow, we sustain the settlement.

American picked up the member's household goods on October 27, 1993, in
Niceville, Florida, and delivered the goods to Henderson, Nevada, on February 17,
1994. The member and the carrier completed DD Form 1840 (Joint Notice of Loss
or Damage at Delivery) on February 17, 1994, which listed damage to a coffee table
and a broken mirror. Subsequently, the member completed DD Form 1840R (Notice
of Loss or Damage) on February 24, 1994, listing later-discovered damage to other
items in the shipment.

On May 11, 1994, the Air Force paid the member $553.58 in partial payment for the
claimed losses but denied other items claimed because of lack of documentation or
estimates. The Air Force requested that American pay $227.95 for the damages, and
American, by check dated May 24, 1994, paid the claim. The check contained the
following notation on the reverse: Proper endorsement of this check hereby
releases American Van Services, Inc., of any further liability for Bill of Lading
Number 20495. On the front of the check the government bill of lading number


757624

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