Legal Question in Business Law in Minnesota
We sell large items on line and these are shipped out of our warehouse by a trucking company. When there is damage on anything that is shipped we fill a claim. Sometimes the claim is paid, sometime it isn't. Sometimes the company cites Item 170, Rules Tariff RLCA 100 and says their liability is limited. What rights do we have as far as getting paid for items that are damaged when in their possession?
2 Answers from Attorneys
To a large extent, this depends on what your contract says. There could be an argument known as bailment, but your contract will likely decide the issue. So, without looking at your contract, it is impossible to answer your question.
Your contract would control who bears the risk of loss and to what extent. It appears your carrier contends that the Rules of Tariff have become part of your agreement, rule 170 limits liability for items of extraordinary value based on category and weight.
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