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ITEM 680 in Your LTL Tariff - Heard of the 65% Rule? It's time...

Posted by Marc Wojnowich on May 1, 2018 7:05:16 AM
Marc Wojnowich
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See the pallet in the picture below? If it is not clear to you what's wrong with it, you should consider exploring the details of LTL Carrier Packaging Rules as described in Item 680 of most Carrier Rules Tariffs. 

Item 680 rule image

 
Continuing our theme of better understanding LTL Carrier processes, specifically related to their utilization of technology to better cost freight, we bring you Item 680.
 
As LTL Carriers implement laser technology to measure freight in more and more terminals, they are better able to enforce rules that previously required manual processes. Item 680 provides details of the rules related to Packaging including what we want to share today... governing how your commodity resides on top of a pallet. 
 
The rule states, "Unless otherwise provided, commodities unitized or secured on lift truck skids, pallets or platforms shall be deemed to be in compliance when occupying not less than 65 percent of the full surface area (deck) of the lift truck skid, pallet or platform." 
 
The rule continues, "When less than 65 percent of the surface area of the lift truck skid, pallet or platform is occupied, the gross weight of the lift truck skid, pallet or platform and the commodity(ies) unitized or secured thereon will be subject to the class applicable to either the lift truck skid, pallet or platform or the commodity(ies), whichever is higher."
 
One particular carrier uses the following Density Scale to determine class on shipments that occupy less than 65% of the surface area of a pallet:
 
If Density is: Apply Class for rating purposes:
Less than 1 pcf 400
1 pcf but less than 2 pcf 300
2 pcf but less than 4 pcf 250
4 pcf but less than 6 pcf 150
6 pcf but less than 8 pcf 125
8 pcf but less than 10 pcf 100
10 pcf but less than 12 pcf 92.5
12 pcf but less than 15 pcf 85
15 pcf but less than 22.5 pcf 70
22.5 pcf but less than 30 pcf 65
30 pcf but less than 35 pcf 60
35 pcf but less than 50 pcf 55
50 pcf or greater 50

It goes without saying, we highly recommend taking a few minutes to familiarize yourself with the rather lengthy and detailed Item 680 Rule on Packaging to avoid an unpleasant surprise in the form of a significant rate increase on your shipment. 

The complete rule can be downloaded via the link below. The section we've shared in this post is highlighted.
 
 Download Item 680 Packaging Rules Details
 

Tags: LTL Pricing, Accessorials, Freight Tariffs, Item 680, Freight Rates, Freight Management, Freight Class, Rules Tariff

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