On July 8, 2009 I turned over to Con-Way Freight a piece of equipment (Roland Rotary Engraver) valued at $4550 plus shipping costs. We inquired of their representative in Lexington, KY as to the need for insurance and were informed that "shipments were automatically covered up to $25 per pound". Since the item weighted 290 pounds, $25 per pound was deemed more than sufficient to cover any damages. The engraver was completely crated and secured, however, when it arrived at it's destination, the top of the crate, which was 3/4" thick wood, had either been removed or broken off in transit. Nail heads were still exposed on the sides of the crate where it had been ripped away. As a result, the engraver was damaged beyond repair. A claim was filed with Con-Way for the value of the engraver, yet they paid only $210, claiming that since it was used, they would only pay .10 per pound. No distinction of used vs. new was made when I made arrangements to ship with them. Further, Con-Way claims that because the Bill of Lading does not have the value in the blank provided in the fine print, they are not liable. However, their employee at the Lexington terminal wrote the figure $275.01 in that blank. This was the amount of freight charges we were charged and paid at the time the shipment was presented to Con-Way.
In phone conversations representatives from their claims department have admitted that "misunderstandings of this type are a problem", yet claim they have no responsibility for products shipped in their care.
If you are reading this and are in business, if your customer entrusts an item to you which is destroyed in your possession, how would they take it if you claimed it wasn't your responsibility?