PENALTY FOR NON-PAYMENT OF FREIGHT CHARGES NOTICE TO SHIPPERS, RECEIVERS, AND OTHER PERSONS RESPONSIBLE FOR PAYMENT OF FREIGHT CHARGES

Carrier's credit policies and practices are adopted in compliance with the requirements of the Interstate Commerce Commission as set forth at 49 C. F. R. 377.203 et. seq. Carrier's election to extend credit is limited to persons deemed credit-worthy, and in no case shall carrier's election or the provisions of this tariff be construed to change carrier's obligation to collect all freight charges lawfully due carrier within the credit period established in Item 720.

Penalty

1. Shipments rated under discount or allowance provisions, or commodity rates or exceptions rates will be subject to the following penalty provisions:
• Service Charge: Commencing on the 61st day from the date of freight bill presentation (see Item 720 (b), any freight bills remaining unpaid will have an additional interest penalty fee due of 10% of the net revenue. The purpose of this charge is to prevent free use of funds due the carrier.
• Collection expense charge: Commencing on or after the 61st date from freight bill presentation (see Item 720 (b), if freight bills remain unpaid in full or in part, and are submitted to a collection agency for assistance, an additional collection expense fee of 25% of the net revenue will apply. The purpose of this charge is for additional costs incurred in the collection of overdue freight charges.