8 Factors Your Interstate Moving Company Must Know About the Arbitration Program DOT
An HHG company that conducts interstate moves must offer a program to all customers. That specific program’s known as an arbitration program. What is it? Its purpose is to resolve issues about the following three entities.
- Damage claims.
- Charges billed to an interstate moving company. This is beyond the charges that get collected at the delivery.
Your company may not have to take part in the HHG Arbitration Program. If you do not want your company to get involved, there is an action you must take. Contact your local government for judicial help. When you do, reference 49 USC 14706. But let’s say your company does take part in a program. Here are the 8 key factors that your company should know about Arbitration Programs:
1) Recognize where the shipper lives and works.
A deal can get worked out that will benefit both parties. For example, your company can ship the goods to the customer’s workplace instead of house. Of course, most people live near where they work. But you never know until you ask.
2) Keep neutral arbitration in mind.
HHG movers have to tell shippers about their neutral arbitration. This needs to occur before preparing a shipper’s HHGs to get transported. Include the following three items when you mention neutral arbitration.
- Full disclosure of all legal effects about arbitration.
- A synopsis of your procedures about the arbitration.
- A compete list of the estimated costs.
3) Provide all required forms.
Say the shipper requests information. The HHG mover’s required under US law to provide all the information. It must also provide all required forms. The forms serve a great purpose. They can help resolve disputes when arbitration takes place.
4) Make sure your arbitrator has authorization.
Arbitrators must be independent. This is so bias will not occur. Arbitrators have to resolve disputes in a fair manner. Otherwise, lawsuits can occur. They must also make resolutions in a fast manner as well. The HHG mover has a responsibility. It has to make sure the arbitrator has proper authorization.
5) Understand the amount that shippers pay.
It’s the arbitrator’s responsibility to determine the percentage paid for each party. But keep the next sentence is mind when it comes to arbitration costs. The shipper’s forbidden from paying more than half of the arbitration total.
6) Understand the terms of disputes.
HHG movers are not allowed to take one key action. They can’t force shippers to agree to arbitration before disputes take place.
7) The $10,000 rule.
Say a shipper puts in a request for arbitration to take place. That means the HHG mover’s responsible for claims of less than $10,000.
8) The more-than $10,000 rule.
Say the claims exceed $10,000. That means the HHG mover is bound to take part in arbitration. But keep the following in mind.
- The shipper has to request arbitration.
- The HHG mover has to agree to take part in that arbitration.