posted on July 28, 2004 01:33:39 PM
I have just had a very heated fight with fedex,with whom I have shipped with for 11 years.the women told me,unless I can prove I had paid 100.00 I will be re inbursed that amount of money in the event anything was lost or stolen.if I sold the item for 500.00 then I would have to pay the seller the difference.I told her,I am a wholesale business selling retail,you dont go into walmart and tell them you want to pay their wholesale cost!!!.she said we are talking about YOU not walmart,she said we're not here to make YOU money,she also said fedex is not an insurance company..I told her some of the things I sell are worth a lot more than I have sold them for,she told me then get them appraised prior to shipping,as if I can do that every time I ship!!or have the time.so I ended up hanging up on her.so shippers beware.I dont know what to do now,if I post to my customer I will only ship if an item is under 100.00 I'll be out of business tomorrow.any help anyone??
posted on July 28, 2004 02:37:13 PM
the lady has a point here-they are not here to make you money.
if you sell wholesale to retailers,your cost is 100 .
If the item is damaged or lost,fed exp reimburse you at cost(100) and you replace the item at cost.
If they give you 500,it looks like you have just received another order.
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also,why are you selling items worth a lot more ??
-sig file -------we eat to live,not live to eat.
Benjamin Franklin
posted on July 28, 2004 02:44:02 PM
The most I can tell from your stream of consciousness post is that you are trying to get Fedex to give you more than you paid for an item. Why on earth would they do that? Why should they care what you sold it for?
posted on July 28, 2004 02:49:05 PM
my point was,if I buy something for wholesale,and I am a retail store,I dont sell for wholesale prices,I sell the same as any other store,retail prices,if walmart sold their goods for what they paid for it wholesale,there wouldnt be a walmart or any other stores
the"$500.00" was just a figure of speech.I am not trying to make money from fedex,in all the years I have been with fedex I have never had any damages,or have they lost any packages,I was responding to the guy that HAD lost money on his shipment that fedex had lost,and he had to pay back the seller out of his own pocket.
posted on July 28, 2004 03:24:33 PM
Oops ... After reading the below post, I am totally shocked that FedEx is charging customers for extra insurance and then not paying out on the total claim. Is that legal?
Diane
[ edited by bizzycrocheting on Jul 28, 2004 03:38 PM ]
posted on July 28, 2004 04:13:22 PM
The customer gets nothing from FedEx. The claim is filed by the shipper, and FedEx settles directly with the shipper for what the shipper paid for the item. They don't care if the shipper paid wholesale for it or bought it retail. They want to see the evidence of the shippers cost and they base their settlement on that figure. This is the same proceedure followed by virtually every general commodities carrier in the country. It's not unique to FedEx.
A $75.00 solid state device will always blow first to protect a 25 cent fuse ~ Murphy's Law
posted on July 28, 2004 04:24:33 PM
I don't send with Fed X but isn't it the same with the USPS insurance. When you insure something you insure it for the price the person paid for the item not the price you paid right? Then why isn't insurance with Fed X the same. I thought, but I might be wrong, you insure for the selling price? That is what insurance is all about. To insure that the seller receives the money they paid for the item.
posted on July 28, 2004 04:34:26 PM
libra,you said.
To insure that the seller receives the money they paid for the item.
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The seller paid 100 for the item,so fed exp gave her 100.
now,she can take that 100 and replace the item lost or damaged to her customer.
-sig file -------we eat to live,not live to eat.
Benjamin Franklin
posted on July 28, 2004 04:55:03 PM
But who in the end is paying for the insurance? Is is the customer to guarantee and insure their purchase. So any claim amount has to be the selling price. The wholesale price is irrevelent.
Their rules are their rules. The key to these 2 discussions (IMHO) is that they are collecting money for insurance and only paying $100.00, no matter what it was insured for and the amount of money paid for that insurance.
As someone said in the previous posts, this is really grounds for a class action suit. I'll bet there are attorneys chomping at the bit, to get their teeth into something like this. Louise
posted on July 28, 2004 05:00:53 PM
I was under the understanding that with the USPS If I send someone a DVD that they paid $6.00 for that even if I insured it for $10.00 I can only get what I can prove on paper that the person paid for it. With FED-EX I would say the same applies,you have to supply prove of what was paid and that is what they will give you up to $100.
posted on July 28, 2004 06:32:42 PM
With USPS, a claim can be started by either the consignor or consignee and there is a place on the original claim form to specify who will receive the settlement. Both parties will eventually have to complete and sign the claim form. Not so with FedEx. Only the shipper can file a claim. FedEx will not settle with the customer. The shipper has to do that. And once again, there is no insurance involved, so insurance company practices and claims settlement proceedures are out the window. The carrier's tariff will govern how they choose to determine a realistic value and settle a claim. The provisions of the tariff concerning liability are the result of formal and informal decisions of the Interstate Commerce Comission and the Federal courts dating back to 1935 with the passage of the Interstate Commerce Act. They have been tested over time and are iron clad. A shipper has no chance in hell of challenging any portion of those tariff provisions in court. Concerning the fact that they are collecting fees for assuming a greater liability when in fact they are limiting their liability to $100.00 and not providing the service they were paid for, they are VERY vulnerable, and as I stated in the other thread, some time, when they least expect it, a sharp hotshot attorney from Beverly Hills or San Francisco is going to blindside them with a class action suit and bring them to their knees.
A $75.00 solid state device will always blow first to protect a 25 cent fuse ~ Murphy's Law
posted on July 28, 2004 10:13:23 PM
Stopwhining- Sorry I should have said buyer. I have been gone all day, just got back and I just realized what I said. I would never buy insurance for what I paid, I would buy insurance for what the auction sold for.
[ edited by Libra63 on Jul 28, 2004 10:14 PM ]
