[Z06] What would you do? Problems w/ FedEx


Most freight companies will include a "declared value" charge in their terms. I just sent wheels thru FEDEX Ground and they were insured for $100 a piece.
If you are shipping items with a high declared value, you must state it up front regardless if the clerk asks you or not. As the value goes higher, so does the optional cost of declared value coverage. It may cost you an additional 3 or 5 dollars to increase that $100 declared value coverage to $500 per item. Some items you cannot declare higher values simply due to the nature of possible theft or damage like jewelry or paintings or antiques. There are limits stated as to what you may claim as declared value of items.
The shipper was smart to declare $700 in this case. If he fights hard enough and long enough I'm sure he can get compensation and if he's not satisfied there are other avenues.
FedEx damaged an antique wooden spice crate I owned that came over on one of the earliest ships from England. It had been in my family for years. Someone ran the forks from a forklift right through it shattering some of the boards on the side of the crate. I filed a claim, and was told to have the crate repaired and submit a bill.
Fedex decided the crate was worth $500 since it is an antique and it ended up being a total loss even though I valued it much higher.
So I'm not here to defend FEDEX, just to alert readers, anytime you ship something with anyone, even your car with a transporter, be ready because things do happen. A car transporter wrecked my 69 Camaro getting it off his car hauler. I was videotaping him just in case! The car was just freshly painted too. The claim was settled with the hauler but it's a reminder that things can and will happen.
Sometimes we just can't get the justice we feel we deserve. Been there, done that, and even bought the tee shirt saying that!

Carriers are gen. entitled to limit liability and in certain instances the law permits them to limit liability to US $500 per package or customary freight unit.
You should read all the cases upholding the $500 limitation where yatchs or locomotives fall of the crane while being lifted over the rail of the vessel. We had one involving a helicopter and settled it for $500.
As far as the legal recourse... I learned that, in dealing with insurance companies from accidents, that it's worthwhile to threaten to file in small claims court. Most of the bigger companies don't want to pay to send a representative to dispute a $500 discrepency. If I were the shipper, I would have certainly explored that option.
Of course, small claims courts have a limit in Missouri of $2500 (I think).
As far as the legal recourse... I learned that, in dealing with insurance companies from accidents, that it's worthwhile to threaten to file in small claims court. Most of the bigger companies don't want to pay to send a representative to dispute a $500 discrepency. If I were the shipper, I would have certainly explored that option.
Of course, small claims courts have a limit in Missouri of $2500 (I think).

My son worked for UPS for several years, handling many of these kinds of problems.
I am not sure how to put it in words, but here goes:
1. If carrier loses 2 of 4 tires (some being diff sizes), carrier might try to settle with 2 tires. The example someone used (losing 2 out of 4 diff shoes resulting in 2 non-matching shoes) is a good one.
2. If local agent does not buy into that, then customer should escalate the call to a higher level until customer reaches a level that satisfies customer. (Use pictures of var tires; brochures from various vettes, etc.)
3. As long as customer is CIVIL with mgmt at Fed Ex, customer is likely to come out on good end.
4. Fed Ex loss people see all kinds of rip-offs. They also see legitimate requests like this one.
5. This is a tough situation to explain to Fed Ex, but someone there might just understand the intricacies of high perf cars and specialized tires.
6. Fed Ex mgmt people are highly paid; their job is tough (like many other jobs). Important thing to note. Many of the Fed Ex mgrs have expensive sports cars. Finding THAT person and being civil is the key to it.
7. Small claims court would be a final option.
8. Then you need to decide if you want to be on Judge Judy, Judge Alex, Marilyn, etc. Need to look at that one closely too.
See you on TV.
In my limited experience (late 20s), the squeaky wheel ALWAYS gets the oil. It's just a matter of how long you can squeak.


As far as the legal recourse... I learned that, in dealing with insurance companies from accidents, that it's worthwhile to threaten to file in small claims court. Most of the bigger companies don't want to pay to send a representative to dispute a $500 discrepency. If I were the shipper, I would have certainly explored that option.
Of course, small claims courts have a limit in Missouri of $2500 (I think).

That's why my clients are sophisticated enough to have forum selction clauses in their contracts, many specifying foreign forums or federal courts. It prevents being railroaded by a know-nothing small claims judge/arbitrator.
However, I have defended cases in thoses courts and my clients have paid my full fee to defend their. They take these things seriously and do not want to be in default. Waht ends up happening is that a motion is made to get the case dismissed for being brought in the wrong forum. Not sure if fed ex uses such a clause.
Yes, by filing there you will waste fed ex's money, but their is no guarantee that they may settle for "economic reasons." Many clients have policies of fighting things like this on principle.
Sad to say is that a carrier is not an insurer of your goods--that's why people sell cargo insurance.
Now speaking as a human, I'm very glad everything was found!
However, I have defended cases in thoses courts and my clients have paid my full fee to defend their. They take these things seriously and do not want to be in default. Waht ends up happening is that a motion is made to get the case dismissed for being brought in the wrong forum. Not sure if fed ex uses such a clause.
Yes, by filing there you will waste fed ex's money, but their is no guarantee that they may settle for "economic reasons." Many clients have policies of fighting things like this on principle.
Sad to say is that a carrier is not an insurer of your goods--that's why people sell cargo insurance.
Now speaking as a human, I'm very glad everything was found!
Suing the insured in small claims court looks very badly on the insurance company. It's my understanding that the insured must be present in court (or at least gets legal documents with their name all over them). It's far more beneficial for them to find a better resolution with the plaintiff.
Again.. I'm talking about an amount of under $2500. While several claims add up... the biggest pain in the neck will get the check before the kind/courteous.


Suing the insured in small claims court looks very badly on the insurance company. It's my understanding that the insured must be present in court (or at least gets legal documents with their name all over them). It's far more beneficial for them to find a better resolution with the plaintiff.
Again.. I'm talking about an amount of under $2500. While several claims add up... the biggest pain in the neck will get the check before the kind/courteous.

While companies like fed ex may have insurers, their policies have very very high deductibles.
For instance, a typical motor truck policy may have a deductible of 100,000. Thus, if the carrier is sued for 2k they do not get their insurance company involved.
However, they still have to get a lawyer or risk being in default since corporations gen. cannot appear pro se (with the exceptions of defending in certain small claims courts, but that depends on the court).
Now a company may have an internal policy of trying to reslove things with its customers before retaining counsel, but in my experience, and only speaking to the carriers that I represent, which are some very well-known and large ones, they fight everything once litigation ensues. I think their crazy for doing it, but they feel that if they become push overs, people will hit them like money pinatas. Prelitigation, they resolve claims in house, but stick to their guns about their limitatiosn, etc.
PS--my intent is not to be argumentative or get the final word, just to explain. And while you are right in the sense that if I were you I would also be a squeaky wheel, but knowing what I know, it may not always help.
Last edited by fallen; Jun 22, 2007 at 11:40 PM.
I know that you can wear out a limited slip differential if you run two different diameter tires on the rear. The tires I purchased have about 2-3k miles on them. Should I be concerned with running a new tire on one side of the car (front and rear) and the 'used' tire on the other side?
What would you do?
Heck, you vary the diameter more than that by just air pressure.I had to replace a rear tire when I had 6,000 miles on the car, and it was never a problem.
Last edited by TEXHAWK0; Jun 22, 2007 at 07:28 PM.
The Best of Corvette for Corvette Enthusiasts
However, I have defended cases in thoses courts and my clients have paid my full fee to defend their. They take these things seriously and do not want to be in default. Waht ends up happening is that a motion is made to get the case dismissed for being brought in the wrong forum. Not sure if fed ex uses such a clause.
Yes, by filing there you will waste fed ex's money, but their is no guarantee that they may settle for "economic reasons." Many clients have policies of fighting things like this on principle.
Sad to say is that a carrier is not an insurer of your goods--that's why people sell cargo insurance.
Now speaking as a human, I'm very glad everything was found!
Good post. I have a rhetorical question about your last sentence in your post. "speaking as a human." What were you speaking as when you typed the earlier sentences??????
LOL
Suing the insured in small claims court looks very badly on the insurance company. It's my understanding that the insured must be present in court (or at least gets legal documents with their name all over them). It's far more beneficial for them to find a better resolution with the plaintiff.
Again.. I'm talking about an amount of under $2500. While several claims add up... the biggest pain in the neck will get the check before the kind/courteous.

Kind of like which oil is the best.
At any rate, I am glad that they found his tires.


I was thinking (for some reason) that all 4 tires were lost or considered useless....


WHOAA. I am in big trouble now.
LOL






