C.F.R. » Title 49 » CHAPTER X—SURFACE TRANSPORTATION BOARD › SUBCHAPTER A—GENERAL RULES AND REGULATIONS › PART 1005—PRINCIPLES AND PRACTICES FOR THE INVESTIGATION AND VOLUNTARY DISPOSITION OF LOSS AND DAMAGE CLAIMS AND PROCESSING SALVAGE

49 C.F.R. § 1005.5

Disposition of claims

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Each carrier subject to the Interstate Commerce Act which receives a written or electronically transmitted claim for loss or damage to baggage or for loss, damage, injury, or delay to property transported shall pay, decline, or make a firm compromise settlement offer in writing or electronically to the claimant within 120 days after receipt of the claim by the carrier; provided, however, that, if the claim cannot be processed and disposed of within 120 days after the receipt thereof, the carrier shall at that time and at the expiration of each succeeding 60-day period while the claim remains pending, advise the claimant in writing or electronically of the status of the claim and the reason for the delay in making the final disposition thereof, and it shall retain a copy of such advice to the claimant in its claim file thereon.

[81 FR 8850, Feb. 23, 2016]
Notes of Decisions
Cited in 8 cases, 1980–2005 · leading case: Thomas K. Reed, Jr. Cross-Appellee v. Aaacon Auto Transp., Inc., a New York Corp., Cross-Appellant, 637 F.2d 1302 (10th Cir. 1981).
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Thomas K. Reed, Jr. Cross-Appellee v. Aaacon Auto Transp., Inc., a New York Corp., Cross-Appellant, 637 F.2d 1302 (10th Cir. 1981). · cites it 2× “49 C.F.R. § 1005.5 (1979) provides in pertinent part: “Each carrier subject to the Interstate Commerce Act which receives a written claim for .”
Konst v. Florida East Coast Ry. Co., 71 F.3d 850 (11th Cir. 1996). “4 (a); (6) the duty to “pay, decline or make a firm compromise settlement offer in writing or electronically to the claimant within 120 days after receipt of the claim,” 49 C.F.R. § 1005.5 (a); and (7) the duty to record the amount of money and other details relevant to…”
R.T.A. Corp. v. Consol. Rail Corp., 594 F. Supp. 205 (S.D.N.Y. 1984). “Defendant cites 49 C.F.R. § 1005.5 in support of its argument that a carrier may not decline a claim orally: (a) Each carrier subject to the Interstate Commerce Act which receives a written or electronically transmitted claim for loss or damage to baggage or for loss, damage,…”
Gen. Elec. Co. v. Brown Transp. Corp., 597 F. Supp. 1258 (E.D. Va. 1984). “49 C.F.R. § 1005.5 . It is, therefore, essential for the carrier to know the dollar amount of the claim in order to meet its obligation under the regulations.”
Calpro Co. v. Consol. Eng'g Co. of Georgia, Inc., 502 F. Supp. 707 (N.D. Ga. 1980). “A carrier could use this procedure to settle claims of preferred shippers and routinely decline to pay others under 49 C.F.R. § 1005.5 , thus forcing other claimants to litigate.”
Molloy v. Allied Van Lines, Inc., 267 F. Supp. 2d 1246 (M.D. Fla. 2003). “9 (b); 49 C.F.R. § 1005.5 (b). 10 .(d) Claims filed for uncertain amounts.”
Taylor v. Mayflower Transit, Inc., 161 F. Supp. 2d 651 (W.D.N.C. 2000). “49 C.F.R. § 1005.5 . Again using September 2, 1997 as the filing date, the defendant’s response was due in writing by December 31,1997.”
Alstom Power, Inc. v. Norfolk S. Ry. Co., 154 F. App'x 365 (4th Cir. 2005). “4 (2004) (requiring carriers to investigate claims promptly); 49 C.F.R. § 1005.5 (2004) (directing carriers to “pay, decline, or make a firm compromise settlement offer” within 120 days after receiving the claim).”
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