
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 49USC10743]

 
                        TITLE 49--TRANSPORTATION
 
                 SUBTITLE IV--INTERSTATE TRANSPORTATION
 
                              PART A--RAIL
 
                           CHAPTER 107--RATES
 
                       SUBCHAPTER III--LIMITATIONS
 
Sec. 10743. Liability for payment of rates

    (a)(1) Liability for payment of rates for transportation for a 
shipment of property by a shipper or consignor to a consignee other than 
the shipper or consignor, is determined under this subsection when the 
transportation is provided by a rail carrier under this part. When the 
shipper or consignor instructs the rail carrier transporting the 
property to deliver it to a consignee that is an agent only, not having 
beneficial title to the property, the consignee is liable for rates 
billed at the time of delivery for which the consignee is otherwise 
liable, but not for additional rates that may be found to be due after 
delivery if the consignee gives written notice to the delivering carrier 
before delivery of the property--
        (A) of the agency and absence of beneficial title; and
        (B) of the name and address of the beneficial owner of the 
    property if it is reconsigned or diverted to a place other than the 
    place specified in the original bill of lading.

    (2) When the consignee is liable only for rates billed at the time 
of delivery under paragraph (1) of this subsection, the shipper or 
consignor, or, if the property is reconsigned or diverted, the 
beneficial owner, is liable for those additional rates regardless of the 
bill of lading or contract under which the property was transported. The 
beneficial owner is liable for all rates when the property is 
reconsigned or diverted by an agent but is refused or abandoned at its 
ultimate destination if the agent gave the rail carrier in the 
reconsignment or diversion order a notice of agency and the name and 
address of the beneficial owner. A consignee giving the rail carrier, 
and a reconsignor or diverter giving a rail carrier, erroneous 
information about the identity of the beneficial owner of the property 
is liable for the additional rates.
    (b) Liability for payment of rates for transportation for a shipment 
of property by a shipper or consignor, named in the bill of lading as 
consignee, is determined under this subsection when the transportation 
is provided by a rail carrier under this part. When the shipper or 
consignor gives written notice, before delivery of the property, to the 
line-haul rail carrier that is to make ultimate delivery--
        (1) to deliver the property to another party identified by the 
    shipper or consignor as the beneficial owner of the property; and
        (2) that delivery is to be made to that party on payment of all 
    applicable transportation rates;

that party is liable for the rates billed at the time of delivery and 
for additional rates that may be found to be due after delivery if that 
party does not pay the rates required to be paid under paragraph (2) of 
this subsection on delivery. However, if the party gives written notice 
to the delivering rail carrier before delivery that the party is not the 
beneficial owner of the property and gives the rail carrier the name and 
address of the beneficial owner, then the party is not liable for those 
additional rates. A shipper, consignor, or party to whom delivery is 
made that gives the delivering rail carrier erroneous information about 
the identity of the beneficial owner, is liable for the additional rates 
regardless of the bill of lading or contract under which the property 
was transported. This subsection does not apply to a prepaid shipment of 
property.
    (c)(1) A rail carrier may bring an action to enforce liability under 
subsection (a) of this section. That rail carrier must bring the action 
during the period provided in section 11705(a) of this title or by the 
end of the 6th month after final judgment against it in an action 
against the consignee, or the beneficial owner named by the consignee or 
agent, under that section.
    (2) A rail carrier may bring an action to enforce liability under 
subsection (b) of this section. That carrier must bring the action 
during the period provided in section 11705(a) of this title or by the 
end of the 6th month after final judgment against it in an action 
against the shipper, consignor, or other party under that section.

(Added Pub. L. 104-88, title I, Sec. 102(a), Dec. 29, 1995, 109 Stat. 
819.)


                            Prior Provisions

    Provisions similar to those in this section were contained in 
section 10744 of this title prior to the general amendment of this 
subtitle by Pub. L. 104-88, Sec. 102(a).
    A prior section 10743, Pub. L. 95-473, Oct. 17, 1978, 92 Stat. 1391; 
Pub. L. 99-521, Sec. 7(i), Oct. 22, 1986, 100 Stat. 2995, related to 
payment of rates, prior to the general amendment of this subtitle by 
Pub. L. 104-88, Sec. 102(a). See section 13707 of this title.
