49 U.S.C. § 14708 — Dispute settlement program for house-

Page 528 TITLE 49—TRANSPORTATION § 14708 Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective Jan. 1, 1996, except as otherwise pro- vided in Pub. L. 104–88, see section 2 of Pub. L. 104–88, set out as a note under section 1301 of this title. § 14708. Dispute settlement program for house- hold goods carriers (a) OFFERING SHIPPERS ARBITRATION.—As a condition of registration under section 13902 or 13903, a carrier providing transportation of household goods subject to jurisdiction under subchapter I or III of chapter 135 must agree to offer in accordance with this section to shippers of household goods arbitration as a means of settling disputes between such carriers and ship- pers of household goods concerning damage or loss to the household goods transported and to determine whether carrier charges, in addition to those collected at delivery, must be paid by shippers for transportation and services related to transportation of household goods. (b) ARBITRATION REQUIREMENTS.— (1) PREVENTION OF SPECIAL ADVANTAGE.—The arbitration that is offered must be designed to prevent a carrier from having any special ad- vantage in any case in which the claimant re- sides or does business at a place distant from the carrier’s principal or other place of busi- ness. (2) NOTICE OF ARBITRATION PROCEDURE.—The carrier must provide the shipper an adequate notice of the availability of neutral arbitra- tion, including a concise easy-to-read, accu- rate summary of the arbitration procedure, any applicable costs, and disclosure of the legal effects of election to utilize arbitration. Such notice must be given to persons for whom household goods are to be transported by the carrier before such goods are tendered to the carrier for transportation. (3) PROVISION OF FORMS.—Upon request of a shipper, the carrier must promptly provide such forms and other information as are nec- essary for initiating an action to resolve a dis- pute under arbitration. (4) INDEPENDENCE OF ARBITRATOR.—Each per- son authorized to arbitrate or otherwise settle disputes must be independent of the parties to the dispute and must be capable, as deter- mined under such regulations as the Secretary may issue, to resolve such disputes fairly and expeditiously. The carrier must ensure that each person chosen to settle the disputes is au- thorized and able to obtain from the shipper or carrier any material and relevant information to the extent necessary to carry out a fair and expeditious decisionmaking process. (5) APPORTIONMENT OF COSTS.—No shipper may be charged more than half of the cost for instituting an arbitration proceeding that is brought under this section. In the decision, the arbitrator may determine which party shall pay the cost or a portion of the cost of the arbitration proceeding, including the cost of instituting the proceeding. (6) REQUESTS.—The carrier must not require the shipper to agree to utilize arbitration prior to the time that a dispute arises. If the dispute involves a claim for $10,000 or less and the shipper requests arbitration, such arbitra- tion shall be binding on the parties. If the dis- pute involves a claim for more than $10,000 and the shipper requests arbitration, such arbitra- tion shall be binding on the parties only if the carrier agrees to arbitration. (7) ORAL PRESENTATION OF EVIDENCE.—The arbitrator may provide for an oral presen- tation of a dispute concerning transportation of household goods by a party to the dispute (or a party’s representative), but such oral presentation may be made only if all parties to the dispute expressly agree to such presen- tation and the date, time, and location of such presentation. (8) DEADLINE FOR DECISION.—The arbitrator must, as expeditiously as possible but at least within 60 days of receipt of written notifica- tion of the dispute, render a decision based on the information gathered; except that, in any case in which a party to the dispute fails to provide in a timely manner any information concerning such dispute which the person set- tling the dispute may reasonably require to resolve the dispute, the arbitrator may extend such 60-day period for a reasonable period of time. A decision resolving a dispute may in- clude any remedies appropriate under the cir- cumstances, including repair, replacement, re- fund, reimbursement for expenses, compensa- tion for damages, and an order requiring the payment of additional carrier charges. (c) LIMITATION ON USE OF MATERIALS.—Mate- rials and information obtained in the course of a decision making process to settle a dispute by arbitration under this section may not be used to bring an action under section 14905. (d) ATTORNEY’S FEES TO SHIPPERS.—In any court action to resolve a dispute between a ship- per of household goods and a carrier providing transportation or service subject to jurisdiction under subchapter I or III of chapter 135 con- cerning the transportation of household goods by such carrier, the shipper shall be awarded reasonable attorney’s fees if— (1) the shipper submits a claim to the carrier within 120 days after the date the shipment is delivered or the date the delivery is scheduled, whichever is later; (2) the shipper prevails in such court action; and (3)(A) the shipper was not advised by the car- rier during the claim settlement process that a dispute settlement program was available to resolve the dispute; (B) a decision resolving the dispute was not rendered through arbitration under this sec- tion within the period provided under sub- section (b)(8) of this section or an extension of such period under such subsection; or (C) the court proceeding is to enforce a deci- sion rendered through arbitration under this section and is instituted after the period for performance under such decision has elapsed. (e) ATTORNEY’S FEES TO CARRIERS.—In any court action to resolve a dispute between a ship- per of household goods and a carrier providing transportation, or service subject to jurisdiction under subchapter I or III of chapter 135 con- cerning the transportation of household goods Page 529 TITLE 49—TRANSPORTATION § 14710 by such carrier, such carrier may be awarded reasonable attorney’s fees by the court only if the shipper brought such action in bad faith— (1) after resolution of such dispute through arbitration under this section; or (2) after institution of an arbitration pro- ceeding by the shipper to resolve such dispute under this section but before— (A) the period provided under subsection (b)(8) for resolution of such dispute (includ- ing, if applicable, an extension of such pe- riod under such subsection) ends; and (B) a decision resolving such dispute is rendered. (f) LIMITATION OF APPLICABILITY TO COLLECT- ON-DELIVERY TRANSPORTATION.—The provisions of this section shall apply only in the case of collect-on-delivery transportation of household goods. (g) REVIEW BY SECRETARY.—Not later than 18 months after January 1, 1996, the Secretary shall complete a review of the dispute settle- ment program established under this section. If, after notice and opportunity for comment, the Secretary determines that changes are nec- essary to such program to ensure the fair and equitable resolution of disputes under this sec- tion, the Secretary shall implement such changes and transmit a report to Congress on such changes. (Added Pub. L. 104–88, title I, § 103, Dec. 29, 1995, 109 Stat. 910; amended Pub. L. 104–287, § 5(38), Oct. 11, 1996, 110 Stat. 3392; Pub. L. 106–159, title II, § 209(b), Dec. 9, 1999, 113 Stat. 1764; Pub. L. 109–59, title IV, § 4208, Aug. 10, 2005, 119 Stat. 1757.) Editorial Notes PRIOR PROVISIONS Provisions similar to those in this section were con- tained in section 11711 of this title prior to the general amendment of this subtitle by Pub. L. 104–88, § 102(a). AMENDMENTS 2005—Subsec. (a). Pub. L. 109–59, § 4208(a), inserted ‘‘and to determine whether carrier charges, in addition to those collected at delivery, must be paid by shippers for transportation and services related to transpor- tation of household goods’’ before period at end. Subsec. (b)(6). Pub. L. 109–59, § 4208(b), substituted ‘‘$10,000’’ for ‘‘$5,000’’ in two places. Subsec. (b)(8). Pub. L. 109–59, § 4208(c), substituted ‘‘compensation for damages, and an order requiring the payment of additional carrier charges’’ for ‘‘and com- pensation for damages’’. Subsec. (d)(3). Pub. L. 109–59, § 4208(d), added subpar. (A) and redesignated former subpars. (A) and (B) as (B) and (C), respectively. 1999—Subsec. (b)(6). Pub. L. 106–159 substituted ‘‘$5000’’ for ‘‘$1000’’ in two places. 1996—Subsec. (g). Pub. L. 104–287 substituted ‘‘Janu- ary 1, 1996’’ for ‘‘the effective date of this section’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective Jan. 1, 1996, except as otherwise pro- vided in Pub. L. 104–88, see section 2 of Pub. L. 104–88, set out as a note under section 1301 of this title. § 14709. Tariff reconciliation rules for motor car- riers of property Subject to review and approval by the Board, motor carriers subject to jurisdiction under sub- chapter I of chapter 135 (other than motor car- riers providing transportation of household goods) and shippers may resolve, by mutual con- sent, overcharge and under-charge claims result- ing from incorrect tariff provisions or billing er- rors arising from the inadvertent failure to properly and timely file and maintain agreed upon rates, rules, or classifications in compli- ance with section 13702 or, with respect to trans- portation provided before January 1, 1996, sec- tions 10761 and 10762, as in effect on December 31, 1995. Resolution of such claims among the par- ties shall not subject any party to the penalties for departing from a tariff. (Added Pub. L. 104–88, title I, § 103, Dec. 29, 1995, 109 Stat. 912; amended Pub. L. 104–287, § 5(39), Oct. 11, 1996, 110 Stat. 3392.) HISTORICAL AND REVISION NOTES PUB. L. 104–287 This amends 49:14709 by setting out the effective date of 49:14709 and for clarity and consistency. Editorial Notes REFERENCES IN TEXT Sections 10761 and 10762, referred to in text, were omitted in the general amendment of this subtitle by Pub. L. 104–88, title I, § 102(a), Dec. 29, 1995, 109 Stat. 804, effective Jan. 1, 1996. PRIOR PROVISIONS Provisions similar to those in this section were con- tained in section 11712 of this title prior to the general amendment of this subtitle by Pub. L. 104–88, § 102(a). AMENDMENTS 1996—Pub. L. 104–287 substituted ‘‘January 1, 1996’’ for ‘‘the effective date of this section’’ and ‘‘December 31, 1995’’ for ‘‘the day before the effective date of this sec- tion’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective Jan. 1, 1996, except as otherwise pro- vided in Pub. L. 104–88, see section 2 of Pub. L. 104–88, set out as a note under section 1301 of this title. § 14710. Enforcement of Federal laws and regula- tions with respect to transportation of house- hold goods (a) ENFORCEMENT BY STATES.—Notwith- standing any other provision of this title, a State authority may enforce the consumer pro- tection provisions of this title that apply to in- dividual shippers, as determined by the Sec- retary, and are related to the delivery and trans- portation of household goods in interstate com- merce. Any fine or penalty imposed on a carrier in a proceeding under this subsection shall be paid, notwithstanding any other provision of law, to and retained by the State. (b) NOTICE.—The State shall serve written no- tice to the Secretary or the Board, as the case may be, of any civil action under subsection (a) prior to initiating such civil action. The notice shall include a copy of the complaint to be filed to initiate such civil action, except that if it is not feasible for the State to provide such prior notice, the State shall provide the notice imme- diately upon instituting such civil action.