Rules Tariff

(ACCESSORIAL SUMMARY)

Effective Date: November 1, 2011. This Rules Tariff replaces all prior Rules Tariffs, and those issued previously are null and void. This Rules Tariff may be changed from time to time, and Container Systems will endeavor to provide 30 days advance notice of such changes. The current version of the Rules Tariff is always available for download at http://containersystemsinc.com/.

The shipper or consignee is responsible for load count and legal loading or unloading, including proper blocking and bracing. Driver will verify that the seal is intact and if not, will so annotate on shippers Bill of Lading or Trailer Interchange.

Trailer detention charges are Consignees responsibility if Container Systems is not notified 12 working hours before detention starts. Consignee must notify empty by e-mail or fax.

Item 1 – Free Time: One hour free time allowed for load/unload in the drop zone. Two hours free time allowed for load/unload outside the drop zone. Time in excess billed at $65.00 per hour. Driver assist on loading or unloading will be at $65.00 per hour in ¼ hour increments with no free time allowed.

Item 2 – Stop in Transit: A stop charge of $75.00 plus FSC per stop, plus off route mileage of $1.50 per mile, will be assessed on making additional pickups or deliveries after the first pickup or delivery.

Item 3 – Scale Weights: A charge of $30.00 per weigh either light or heavy plus scale operators fee will be charged for this service.

Item 4 – Chassis Pickup: If container is not mounted and Container Systems is required to pickup chassis at a different location the charge will be as follows:

Seattle pickup – Seattle return: $45.00 INC FSC
Seattle pickup – Tacoma return: $75.00 INC FSC

Item 5 – Cash Advances: Cost plus $25.00. Fees are due whenever Container Systems is required to make upfront payment for customer.

Item 6 – Layover charge: Add $300 for overnight delay of 12 hours when incurred to provide requested service.

Item 7 – Diversion Charge: Reconsignment or diversion changes after the driver has been dispatched will be charged $25.00 plus any change in drayage rate and FSC.

Item 8 – Pull Charge: To prevent detention or make after hours appointment, $75.00 plus FSC. Plus $20 per day yard storage fee.

Item 9 – Flip Charge: $75.00 Plus tax if applicable.

Item 10 – Tarping: $100.00

Item 11 – Cleaning of Container or Placard Removal: $60.00

Item 12 – Hazmat Fee: $100.00 plus dray*

Item 13 – Lumper Service: Actual Lumper fee plus $35.00

Item 14 – COD Fee: $75.00

Item 15 – Pier/Ramp Refusal: $75.00 plus FSC charged when driver is turned away due to improper documentation or lack of rail billing.

Item 16 – Toll or Ferry Charges: Actual fee plus 20%.

Item 17 – Fuel Surcharge: Due to the unpredictable nature of fuel costs, it may be necessary to implement a fuel surcharge in addition to the regular rate. Should this become necessary, an effective date will be announced. The surcharge scale is enclosed and will be based upon the Department of Transportation West Coast index posted every Monday. This surcharge will be effective from 12am Tuesday until the following Monday.

Item 18 – Hourly Rate: At the request of the Customer, Container Systems will provide a driver and tractor for a fee of $70.00 per hour plus FSC.

Item 19 – Residential Deliver charge: $50

Item 20 – In-Bond Shipments: Add 25% to regular rate for all trailers and/or containers moving in-bond.

Item 21 – Chassis Rental: Standard chassis at $30.00 per calendar day. Tri-axle 20 foot chassis at $60.00 per calendar day. Please contact the terminal for specific information.

GENERAL PROVISIONS

Effective Date: November 1, 2011. This Rules Tariff replaces all prior Rules Tariffs, and those issued previously are null and void. This Rules Tariff may be changed from time to time, and Container Systems will endeavor to provide 30 days advance notice of such changes. The current version of the Rules Tariff is always available for download at http://containersystemsinc.com/.

Application of Charges: The term “Customer” refers to the person or entity contracting to engage Container System’s services with respect to a shipment, as well as any other person or entity having an interest in the cargo, including but not limited to a shipper, consignee, consignor, beneficial owner, ocean carrier, broker, third-party logistics provider (3PL), or intermodal marketing company. Charges for accessorial and other miscellaneous services included in the Premier Transport Rules Tariff and Accessorial Summary are in addition to rates in the Intermodal Rate Tariff System. Such charges are generally the responsibility of the Customer paying the intermodal trucking charges, except in certain circumstances. To be valid and enforceable, an authorized Container Systems Company Representative must confirm, in writing, any mutually agreed upon exceptions to the terms, conditions, accessorial or other charges described in the Container Systems Rules Tariff and/or Accessorial Summary. Written contracts, special rate quotes (“SRQs”), and other authorized written agreements will prevail over the Container Systems Rules Tariff and/or Accessorial Summary if any conflict exists.

Payment Terms: Container Systems may elect at their sole discretion to extend credit to Customer. All invoices are due and payable within fourteen (14) days of the invoice date. A finance and collection charge of 5.0% will be added to any invoice not paid within fourteen (14) days of the invoice date. An additional fee equal to one-third of total amount due will be added to any invoices that must be turned over to a collection agency, attorney, or other outside party for recovery. Customer may not “short pay” freight charges or deduct charges from freight bills, unless authorized to do so in writing prior to the deduction. Customer waives its rights to any contested cargo claim that is improperly setoff against freight charges.

Intermediaries: Freight forwarders, intermodal marketing companies, property brokers, third-party logistics companies, and other intermediaries are considered to be agents of the beneficial owner of cargo transported. Premier Transport will bill such intermediaries as a convenience to the shipper, and retain recourse to the shipper and/or consignee for nonpayment fees. Any intermediary that bills or collects on behalf of another third party freight charges that are due to Container Systems shall receive such payment in constructive trust, to the extent such charges are due and owing to Premier Transport.

Pre-Notification: All valid prenotes must state the linehaul rate and fuel surcharge. Prenotes must also include any accessorial services requested, as well as any pre-approved charges that may differ from this Rules Tariff. Premier Transport reserves the right to decline any shipment for any reason.

Shipment Documents: All shipments tendered on shipping orders. Memorandums, delivery orders or receipts, Broker notice of arrival, electronic date interchange or any other written or electronic medium, whether received in original form or by facsimile, shall be considered as a Bill of Lading, subject to the rules and regulations of the Uniform Straight Bill of Lading as published in the National Motor Freight Classification ICC NMFC 100 Series.

Substituted Service: For their operating convenience, Container Systems reserves the right to hire other qualified carriers as subcontractors to provide all or part of a given movement. Container Systems agrees to protect the rates set forth when substituted services are provided, and warrants that all terms, conditions, duties and obligations owed to the shipper by the Rules Tariff, bill of lading, and/or contract will be provided.

Overweight Liability: Container Systems will not knowingly violate weight restrictions under federal, state or municipal laws. Customer must provide advance notification of overweight shipments. Container Systems will take whatever actions are necessary to bring equipment into compliance. Customer must reimburse Container Systems for any expenses required to bring equipment into compliance, and must pay any fines or expenses resulting from overweight violations. In states that issue permits for overweight shipments, Customers must reimburse Container Systems for the actual cost of the permit.

Released Value: Unless otherwise specifically provided in individual transportation contracts, signed by an officer of the carrier to shipment, the party engaging carrier accepts that all shipments are received with an agreed limitation of liability, under all circumstances, (except as otherwise provided) for Premier Transport, or the party in possession of the property, for a maximum value of $100,000 per shipment. The party engaging carrier agrees to a released value of the cargo tendered equal to its actual cost, not to exceed $100,000 per shipment. Shipments with a declared value in excess of $100,000 will be accepted to subject to an additional charge of 50 cents per $100.00 of declared value in excess of $100,000, in addition to all other applicable charges. The party tendering the cargo to the carrier is deemed to have agreed to the release value set forth herein, for it and for all other parties under which the transportation service is undertaken.

Cargo Claim Filing Requirements: Container Systems’ liability for any claims, for loss, damage or delay to any shipment moving on a motor carrier bill of lading between points in the United States shall be governed and determined exclusively by the provisions of 49 U.S.C. §14706 and the claim filing regulations of the Federal Motor Carrier Safety Administration at 49 C.F.R. Part 370, which regulations are incorporated herein by reference. Liability on such shipments will commence from the time of Premier Container Systems’ receipt of a shipment until delivery has been made or, if refused, when the shipment is placed on-hand or in storage. Container Systems’ liability shall immediately convert to that of a warehouseman if the consignee of a shipment fails to take delivery of a shipment upon tender of delivery. Under no circumstances may a shipper offset any amount claimed for loss, damage or delay against any freight or transportation charges due to Container Systems. Shipment must file any claim for loss, damage or delay in writing within nine (9) months from the date of delivery of a shipment or, in the case of non-delivery, then within nine (9) months from the time the shipment should have been delivered. The provisions of 49 C.F.R. §370, shall govern the parties’ respective rights, duties and obligations as to the filing and processing of freight loss, damage and delay claims. Cargo claims must include all relevant supporting documents, including but not limited to the claim letter, documentation of damages, original bill of lading, shipper’s invoice, shipper’s packing list, delivery receipt with driver count and seal numbers, paid customs entry form, reconditioning invoice, salvage documentation and consignee’s invoice. Shipper shall have two (2) years and one day from the date a claim is denied in which to file suit against Premier Transport to recover damages for freight loss, damage or delay. Where claims are not filed or suits are not instituted thereon in accordance with the foregoing provisions Premier Transport shall not be liable, and such claims will not be paid.

Drop Yards: In order to reduce or eliminate storage charges at a rail ramp or ocean pier, Container Systems may shuttle a loaded intermodal unit to an offsite drop yard. Additional Charges are usually billed for such moves. If such a shuttle is done for the Customer’s convenience or benefit, Container Systems will accept no liability for per diem charges that may accrue while the intermodal unit is at the drop yard.

Storage Liability: Certain shipments may be temporarily stored on Container Systems’ premises, either for the convenience of Customer or for that of Container Systems. After twenty-four (24) hours, Container Systems’ legal liability for such shipments will be that of a warehouseman, and will comply with the standard of care applicable to warehouseman in the state where such service is provided. Saturdays, Sundays, and Holidays do not extend this twenty-four (24) hour period. Container Systems’ legal liability is also that of a warehouseman in the event Customer refuses delivery of tendered cargo, instructs Container Systems to stop movement of cargo and hold it for later delivery, or otherwise prevents proper disposition of the cargo. Container Systems’ liability generally will not exceed $100,000 per occurrence, although Customer may request an increase in legal liability by submitting a written request for a higher Released Value and paying an additional charge.

Transportation Delays: Container Systems will provide transportation with reasonable dispatch, and will use commercially reasonable efforts to meet all reasonable pickup and delivery appointments. However, Container Systems does not guarantee adherence to any particular transit or appointment schedule, and are not liable for delay, interruption, or other failure to transport any shipment by any particular appointment time. Container Systems is not liable for alternative transportation costs, or other direct expenses or consequential, special, indirect, or exemplary damages arising out of any delay to shipments, unless Customer has provided a prior written description of the nature and type of such potential delay-rated damages, and Premier Transport has agreed in writing to accept responsibility for such damages. Customer notations on a Bill of lading signed by a driver do not constitute adequate notification and/or acceptance of special damages.

Hazardous Materials: Customer must comply with applicable federal regulations, including 49 CFR Parts 100 to 185, when tendering hazardous materials. Among other requirements, Customer must provide a legible bill of lading with proper Hazmat information, including the shipper’s certificate containing all required information such as emergency response number and information, and affix any required placards before or at the time that the shipment is tendered. Failure to comply with these requirements will relieve Container Systems of any and all liability for loss or damage directly or indirectly caused to or by the hazardous materials. Any misdeclared hazardous materials may be warehoused at Customer’s risk and expense, or destroyed without compensation.

Indemnification – Resolution of Disputes: The party tendering the cargo agrees to indemnity the carrier and hold the carrier harmless for any claims for cargo loss or damage, delays or lost sales, equipment repairs, per diem, detention or other tortuous actions brought on by any other party claiming a beneficial interest in the cargo tendered, or relating to the transportation equipment or terminal facilities utilized, and the dost of any claims, suits, actions or causes of action, including reasonable attorney’s fees incurred by parties connected with the shipment, equipment or terminal facilities utilized. All transactions covered by these Terms and Conditions, and/or other contracts with Container Systems, shall be governed by the laws of the State of Washington and all disputes will be resolved by either law suit or binding arbitration in Yakima, Washington. In the event of any suit, action, claim or proceeding arising under this contract commenced by any party hereto in any court of competent jurisdiction, or any arbitration proceeding, the prevailing party shall be entitled to receive from the other party, in addition to any other relief granted, reasonable attorney’s fees and court costs incurred. In the event of any collections endeavors for any charges pertaining to this shipment, all costs incurred by the carrier, including but not limited to collections agents, court costs and reasonable attorney’s fees, will be paid to the carrier by the party engaging the carrier’s services.

Detention Billed to Container Systems: Container Systems will pass through to Customer the equipment owner’s actual or anticipated Detention Charges, less any portion for which Container Systems is solely liable. An additional 8% administrative charge will be added to the charge per load. Customer will be invoiced immediately upon return of the equipment to its rightful owner.

Detention Billed Directly to Third-Parties: Detention Charges are often billed directly to the Customer or third party instead of Container Systems. This includes, but is not limited to, store-door Detention Charges for international moves, and EMPU, EMHU, NACS, CSX, and Pacer Stacktrain trailers for domestic moves. Customer may then invoice Container Systems for the portion of the Detention Charges for which it is liable. Customer may not invoice Container Systems for Detention Charges for any amount that is higher than Customer’s obligation to the equipment owner. Customer may not “short pay” freight charges or deduct charges from freight bills, unless authorized to do so, in writing, prior to the deduction. Container Systems will not accept invoices without proper backup documentation, or invoices that are received more than 30 days after equipment termination. Container Systems reserves the right to dispute the charges within 30 days of receipt of the proper documentation and invoice. If Customer response to any such dispute is not received within 30 days, it will be presumed that the dispute has been accepted and the invoice voided.

Store Door Delivery: Shipments moving on through intermodal Bills of Lading issued by maritime carriers or other third parties. Commonly known as Store Door Delivery, may only have a portion of the actual charges incurred covered by the through intermodal rates offered by such carriers or intermediaries. The shipper or consignee or other party requiring the transportation services of Container Systems, will be responsible for all charges incurred on the Store Door movements that have not been compensated to Container Systems by the maritime carriers or other through Bill of Lading intermediaries involved. Such uncompensated Store Door charges that shippers or consignees will be responsible for may include (but are not limited to) trucking rate differentials, waiting time, driver unloading or loading, stop off charges, chassis returns, yard storage, trip permits, placard removal or other ancillary charges.

Notice to Customers: The party engaging the carrier (or the “shipper” “consignee” or “broker” “Intermodal Marketing Company” or “Forwarder”) is advised that you are receiving a use controlled container or trailer with limited “free time”. You must accept delivery within 48 hours and release back to the carrier within 48 hours if you are to avoid additional charges. Where trucking companies are required to incur liability for rail and steamship charges on your behalf, the carrier is permitted to recover these charges from you pursuant to Washington State law. You may request carrier’s dispatch operations to have the driver stay with the load and will have to pay for any time in excess of the allotted amount. If you request that our driver unload, you have no free time and will be billed for the driver’s services from the time of arrival until departure. Signature of your company representative on this receipt verifies: the time and date of the trailer/container receipt; its good condition and seal intact; driver’s time of arrival and departure and acknowledges liability for all trucking associated charges and your responsibility to protect the trailer/container from loss or damage and to return it to us upon demand, reasonable wear and tear excepted. Failure to pay billed charges will result in a lien on shipments including the costs of storage and appropriate security pursuant to Washington State Law.