RULE: 7 - PAYMENT OF FREIGHT CHARGES Eff: 27JAN2014

Effective 27JAN2014
Filed 27JAN2014
Filing Codes C

Freight charges, assessorial charges, surcharges or other charges
named in this Tariff, and in Tariff Rate Secitons governed by this
Tariff, including advanced charges may be prepaid or collect (when
prior arrangements have been made with Carrier) at origin or
destination, SBJ to the provisions named herein.  However,
regardless of whether B/L payment status is prepaid or collect,
the Shipper, his duly authorized Freight Forwarder, the Consignee
and the Beneficial Cargo Owner shall be, and will remain, jointly
and severally liable for all unpaid charges and freight,
including but not limited to, any sums advanced or disbursed by
the Carrier for the account of the cargo.
     
a. All freight and additional charges named in this Tariff, and in
   Tariff Rate Sections Governed by this Tariff, are due and
   considered earned upon receipt of the cargo by the originating
   Carrier, or his agent, and shall be paid to the Carrier without
   discount or deduction, whether the ship and/or cargo is lost or
   not lost, transportation is interrupted or abandoned, whether the
   cargo is damaged or ruined, or whether packages or containers are
   delivered empty or partly empty at destination.
     
b. Rates and charges named in this Tariff, and in Tariff Rate
   Sections governed by this Tariff, are quoted in U.S. Currency and
   have been determined with due consideration to the relationship
   of U.S Currency to the other currencies involved,  In the event
   of any material deterioration in the exchange value of U.S.
   Currency, Carrier reserves the right, upon publication herein, to
   adjust the rates and charges named in this Tariff to remove any
   adverse effect in conformity with the U.S. Shipping Act of 1984,
   as amended, and the regulations of the Federal Maritime
   Commission issued pursuant thereto.
	
c. Except as otherwise provided, freight and charges shall
   be prepaid in the United States in U.S. Dollars unless
   Carrier agrees to accept shipments on a collect basis
   (see paragraph f.) and unless Carrier agrees to accept
   payment in foreign currency (see paragraph d).  Payment
   for freight and/or other charges due must be paid in
   legal tender or, at Carrier's option, by check or bank
   draft provided it is acceptable by Carrier's bank for
   immediate credit without bank charge.
     
d. Carrier will accept payment of freight and other charges
   in U.S. Currency or in a foreign currency provided it is
   unblocked, freely convertible and freely remittable free
   of tax when converted into U.S. Dollars.  When payment
   is effected in a currency other than U.S. Currency,
   conversion shall be calculated on the basis of the rate
   of exchange as published in the Wall Street Journal, or
   other comparable foreign publications.  Rates of
   exchange as so determined apply with respect to date of
   cargo receipt in the case of prepaid freight, or to date
   of vessel arrival at port of discharge in the case of
   collect freight.  In the case of non-publication, for
   whatever reason, the rate of exchange shall be as
   published on the next available working day.
	
e. Prepaid Freight and Charges:  When freight and charges
   are prepaid, such payment must be made prior to the
   release of any original Ocean Bill of Lading by the
   Carrier to the Shipper or its duly authorized licensed
   freight forwarder or agent acting on his behalf.
 	
   When release of original Bill of Lading has not been
   made by the Carrier to the Shipper or its agent prior to
   the cargo's arrival at the bill of lading destination,
   cargo will be held by the Carrier at the bill of lading
   destination until all freight and charges are paid or
   the original bill of lading has been released to a
   Shipper after credit approval from the Carrier.
	
f. Collect Freight and Charges:  When Carrier has agreed to
   accept shipments on a collect basis, all freight and
   charges which are billed on a freight collect basis must
   be paid in full in U.S. Dollars, or at the option of the
   Carrier, paid in a currency acceptable to the Carrier
   SBJ to paragraph d., prior to release of the complete
   originally issued B/L quantity or any portion thereof.  
	
g. Bills of Lading for Partial Collect and Prepaid
   Shipments:  When prior arrangements have been made and
   accepted by Carrier, Carrier may issue Bills of Lading
   with a portion of total freight and charges prepaid, and
   the balance of the freight and charges collect. Carrier
   provides this procedure as a service and shall be held
   harmless in any disputes that may arise between Shippers
   and Consignee, relative to the apportionment of freight
   and charges in accordance with Shipper's instructions.
   On Bills of Lading which are apportioned between Shipper
   and Consignee, the portion prepaid shall be subject to
   the provisions of paragraph e. herein, and the collect
   portion shall be subject to the provisions of paragraph
   f. herein.  The release of the Bill of Lading by the
   Carrier under its credit provisions or after payment of
   the prepaid portion of freight and charges due does not
   obligate the Carrier to deliver the cargo to the
   consignee until the collect portion has been paid or
   credit granted under appropriate provisions.                                             
	
h. The payment status of a B/L may NOT be changed once
   transportation service of cargo has commenced (i.e.
   "prepaid" shipments cannot be changed to "collect"
   shipments and likewise "collect" shipments cannot be
   changed to "prepaid" shipments) without the express
   approval of the Carrier.
     
i. Carrier or its duly authorized agent, will, upon request
   of the Shipper, Freight Forwarder, Consignee or
   Beneficial Cargo Owner, extend credit to the party
   listed in the B/L as responsible for the payment of
   freight and charges, in amounts not to exceed freight,
   assessorial, terminal and/or advanced charges.  The
   credit period shall be 90 (ninety) days from the date of
   delivery of cargo in the case of collect shipments or
   from the date of originating Carrier's cargo receipt in
   the case of prepaid shipments.
     
   If freight or other charges are NOT paid within the credit
   period specified above, the Carrier will cancel the delinquent
   party's credit privileges after which time ALL freight and
   assessorial charges applying on shipments moving for the
   account of such party MUST be paid in cash, cashier's check,
   money order, or wire transfer at the time, or prior to the
   time, cargo is tendered to originating Carrier for
   transportation in the case where the Shipper/Freight
   Forwarder/Beneficial Cargo Owner is the payor, or prior to
   delivery in the case where the Consignee/Freight
   Forwarder/Beneficial Cargo Owner is the payor.
     
   If any party responsible for the payment of charges fails
   or refuses to pay lawful freight and/or other charges due
   as specified above, Carrier shall be entitled to recover
   all collection costs incurred, including but not limited
   to, reasonable collection agency fees, attorney's fees
   and court costs.

Previous Rule

Table Of Contents