[Federal Register Volume 61, Number 214 (Monday, November 4, 1996)]
[Proposed Rules]
[Pages 56656-56658]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-28090]


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DEPARTMENT OF TRANSPORTATION
Surface Transportation Board

49 CFR Part 1310

[STB Ex Parte No. 555]


Household Goods Tariffs

AGENCY: Surface Transportation Board.

ACTION: Notice of Proposed Rulemaking.

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SUMMARY: The Board proposes to establish regulations governing the 
tariffs that motor carriers and freight forwarders are required to 
maintain, under 49 U.S.C. 13702, for the transportation of household 
goods. The Board also proposes to establish notice requirements that 
household goods carriers must comply with in order to be entitled to 
enforce the provisions of their tariffs against individuals whose 
shipments are subject to such tariffs.

DATES: Comments are due on December 4, 1996.

ADDRESSES: Send comments (an original and 10 copies) referring to STB 
Ex Parte No. 555 to: Surface Transportation Board, Office of the 
Secretary, Case Control Branch, 1201 Constitution Avenue, NW., 
Washington, DC 20423-0001.

FOR FURTHER INFORMATION CONTACT: Beryl Gordon, (202) 927-5660. [TDD for 
the hearing impaired: (202) 927-5721.]

SUPPLEMENTARY INFORMATION: The ICC Termination Act of 1995, Pub. L. No. 
104-88, 109 Stat. 803 (1995) (ICCTA), abolished the Interstate Commerce 
Commission (ICC) and transferred to the Surface Transportation Board 
(Board) various regulatory responsibilities, including certain 
responsibilities regarding the rates charged by motor carriers and 
freight forwarders for transportation of household goods. As pertinent 
here, the ICCTA retained the requirement that these carriers maintain 
tariffs containing their common carriage rates (and related rules and 
practices) for household goods transportation (except when providing 
such transportation for charitable purposes without charge). However, 
the ICCTA eliminated the requirement that household goods tariffs be 
filed with a regulatory body. Rather, the carriers are required to make 
such tariffs available to the Board for inspection, and available for 
inspection by shippers upon reasonable request. The Board may 
invalidate a tariff that violates section 13702 of the statute or a 
regulation of the Board carrying out that section.
    Because household goods tariffs are no longer required to be filed, 
they are no longer governed by the tariff regulations at 49 CFR Part 
1312 (see 49 CFR 1312.1(c)(i)). Accordingly, the Board is proposing a 
new Part 1310 and regulations to govern the household goods tariffs 
that motor carriers and freight forwarders are required to maintain. 
Our proposed regulations are designed to ensure that the required 
information is included in and easily determinable from the tariffs, 
and that they are made available as required by the ICCTA. We do not 
propose to prescribe the particular formats that must be employed; 
rather, we propose to give carriers the flexibility to devise 
publications that will best fulfill the needs of the carriers and their 
customers.
    Additionally, at the request of the Household Goods Carriers' 
Bureau Committee (HGCBC), the proposed regulations address the notice 
requirements that carriers must comply with in order to enforce tariff 
terms incorporated by reference into their bills of lading or other 
documents embodying the contract of carriage.1 HGCBC notes that 
the ICCTA specifically allows household goods carriers to incorporate 
tariff provisions into their bills of lading or other documents 
embodying the contract of carriage, subject to a notice requirement. 
HGCBC expresses concern that, without uniform rules specifying what is 
required, the issue of what constitutes adequate notice of incorporated 
tariff provisions would be litigated in various state and Federal 
courts, with potentially differing results.
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    \1\  HGCBC's petition requesting that we promulgate regulations 
for this purpose was filed on September 20, 1996, and was initially 
docketed as Ex Parte No. 554, but we will consider it in this 
proceeding instead.
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    We believe that there is merit to establishing uniform notice 
requirements for the incorporation of tariff terms and conditions into 
contracts of carriage for the transportation of household goods, and we 
are proposing regulations for that purpose. Because most of the 
movements subject to the proposed regulations will involve individual 
consumers who typically deal with commercial carriers on a relatively 
infrequent basis, the proposed rules are designed to highlight 
important terms and conditions that are likely to be incorporated, and 
to require that shippers be provided with a brief summary of the 
principal features of such terms. In this way, the information should 
be disclosed in a way that will be meaningful to individual consumers.

Request for Comments

    We invite comments on all aspects of the proposed regulations. We 
encourage any commenter that has the necessary

[[Page 56657]]

technical wherewithal to submit its comments as computer data on a 3.5-
inch floppy diskette formatted for WordPerfect 5.1, or formatted so 
that it can be readily converted into WordPerfect 5.1. Any such 
diskette submission (one diskette will be sufficient) should be in 
addition to the written submission (an original and 10 copies).

Small Entities

    The Board preliminarily concludes that these rules, if adopted, 
would not have a significant economic effect on a substantial number of 
small entities. Nonetheless, the Board seeks comment on whether there 
would be effects on small entities that should be considered. If 
comments provide information that there would be significant effects on 
small entities, the Board will prepare a regulatory flexibility 
analysis at the final rule stage.

Environment

    This action will not significantly affect either the quality of the 
human environment or the conservation of energy resources.

List of Subjects in 49 CFR Part 1310

    Household goods carriers, Tariffs.

    Decided: October 23, 1996.

    By the Board, Chairman Morgan, Vice Chairman Simmons and 
Commissioner Owen.
Vernon A. Williams,
Secretary.

    For the reasons set forth in the preamble, the Board proposes to 
add a new part 1310 to title 49, Chapter X, of the Code of Federal 
Regulations to read as follows:

PART 1310--TARIFF REQUIREMENTS FOR HOUSEHOLD GOODS CARRIERS

Sec.
1310.1  Scope; Definitions.
1310.2  Requirement to maintain tariffs.
1310.3  Contents of Tariffs.
1310.4  Incorporation of tariff provisions by reference.

    Authority: 49 U.S.C. 721(a), 13702(a)(2), 13702(c) and 13702(d).


Sec. 1310.1  Scope; Definitions.

    (a) The provisions of this part address the tariff requirements 
imposed by 49 U.S.C. 13702 on motor carriers and freight forwarders for 
the transportation of household goods, and the notice requirements that 
such carriers must comply with in order to be entitled to enforce the 
provisions of their tariffs against individuals whose shipments are 
subject to such tariffs.
    (b) The provisions of this part apply to all movements of household 
goods defined in paragraph (c)(1) of this section, and to those 
movements of household goods defined in paragraph (c)(2) of this 
section that are not provided under contracts entered into pursuant to 
49 U.S.C. 14101(b) or former 49 U.S.C. 10702.
    (c) For the purposes of this part, the term household goods means 
personal effects and property used or to be used in a dwelling, when a 
part of the equipment or supply of such dwelling, and similar property 
if the transportation of such effects or property is:
    (1) Arranged and paid for by the householder, including 
transportation of property from a factory or store when the property is 
purchased by the householder with intent to use in his or her dwelling; 
or
    (2) Arranged and paid for by another party.
    (d) For the purposes of this part service terms means all 
classifications, rules and practices that affect the rates, charges, or 
level of service for movements of household goods.


Sec. 1310.2  Requirement to maintain tariffs.

    (a) Except when providing transportation for charitable purposes 
without charge, carriers subject to the Board's jurisdiction under 
Chapter 135 of Title 49 of the United States Code may provide 
transportation or service for movements of household goods only if the 
rates, and related rules and practices, for such transportation or 
service are contained in a published tariff that is in effect under 
this section. The carrier may not charge or receive a different 
compensation for the transportation or service than the rate specified 
in the tariff, whether by returning a part of that rate to a person, 
giving a person a privilege, allowing the use of a facility that 
affects the value of that transportation or service, or another device. 
A rate contained in a tariff shall be stated in money of the United 
States.
    (b) Tariffs maintained pursuant to this part must be available for 
inspection by the Board and must be made available for inspection by 
shippers upon reasonable request.
    (c) A carrier that maintains a tariff pursuant to this part may not 
enforce the provisions of the tariff unless the carrier has given 
notice that the tariff is available for inspection in its bill of 
lading or by other actual notice to individuals whose shipments are 
subject to the tariff, as provided in Sec. 1310.4 of this part.
    (d) The Board may invalidate a tariff prepared by or on behalf of a 
carrier under this part if that tariff violates 49 U.S.C. 13702 or the 
regulations contained in this part.


Sec. 1310.3  Contents of tariffs.

    (a) Tariffs prepared under this part must include an accurate 
description of the services offered to the public; must provide the 
specific applicable rates, charges and service terms; and must be 
arranged in a way that allows for the determination of the exact rate, 
charges and service terms applicable to any given shipment. Increases, 
reductions and other changes must be symbolized or highlighted in some 
way to facilitate ready identification of the changes and their 
effective dates.
    (b) All information necessary to determine applicable rates, 
charges and service terms for a given shipment need not be contained in 
a single tariff, but if multiple tariffs are used to convey that 
information, the tariff containing the rates must make specific 
reference to all other tariffs required to determine applicable rates, 
charges and service terms. The carrier(s) party to the rate(s) must 
participate in all of the tariffs so linked and all such tariffs must 
be made available to shippers upon reasonable request.


Sec. 1310.4  Incorporation of tariff provisions by reference.

    (a) Carriers that maintain tariffs pursuant to this part may 
incorporate the terms of such tariffs by reference (i.e., without 
stating their full text) into the bill of lading or other document 
embodying the contract of carriage for the transportation of household 
goods, provided that:
    (1) The bill of lading or other document must contain a conspicuous 
notice that the contract of carriage incorporates the terms of the 
carrier's tariffs; the carrier must give notice that its tariffs are 
available for inspection in its bill of lading or by other actual 
notice to individuals whose shipments are subject to such tariffs; and 
the carrier must make the full text of incorporated terms readily 
available for inspection by the shipper, free of charge, upon request. 
If such terms cannot be made available immediately, they must be made 
available promptly by mail or other delivery service.
    (2) If the incorporated terms include any of the terms set forth in 
paragraphs (a)(2)(i) through (a)(2)(iii) of this section, the notice on 
the bill of lading or other document must indicate that such terms are 
included; the shipper must be provided with a brief summary of the 
principal features of such terms on or with the document; and the 
notice or summary must indicate that the shipper

[[Page 56658]]

will be able to obtain a more complete explanation of such terms upon 
request.
    (i) Limits on the carrier's liability for loss, damage, or delay of 
goods, including fragile or valuable goods.
    (ii) Claim restrictions, including time periods within which 
shippers or consignees must file a claim or bring an action against the 
carrier for its acts or omissions or those of its agents.
    (iii) Rights of the carrier to impose monetary penalties on 
shippers or consignees, increase the price of the transportation, or 
change any terms of the contract.
    (b) A carrier may not claim the benefit as against a shipper or 
consignee of, and a shipper or consignee shall not be bound by, any 
tariff term that is incorporated by reference under this section unless 
the carrier has complied with the requirements of paragraph (a) of this 
section.
    (c) The disclosure requirements established by this section preempt 
any State requirements on the same subject, for tariff terms that are 
incorporated by reference into the bill of lading or other document 
embodying the contract of carriage for the transportation of household 
goods.

[FR Doc. 96-28090 Filed 11-1-96; 8:45 am]
BILLING CODE 4915-00-P