DECLARED VALUE AND LIMITS OF LIABILITY

A. The declared value of any shipment represents our maximum liability in connection with a shipment, including, but limited to any loss, damage, delay, misdelivery, nondelivery, misinformation, any failure to provide information, or misdelivery of information.

B. The transportation charges described in Paragraph 2 of Service Agreement together with the provisions in this Paragraph B for Limitation of CMF Delivery liability as well as additional charges for increased assumption of liability by CMF Delivery reflect the agreement of the parties concerning the allocation of risk with respect to shipment covered by your contract. Specifically, the charges for services in this contract are based upon the express agreement of the parties concerning the allocation of risk as set forth in this Paragraph B.

C. CMF Delivery shall be liable for loss or damage to a shipment (except checks in the process of collection) which is directly attributable to the negligence or willful act of any CMF Delivery employee in the amount of the intrinsic value of the shipment, not to exceed $100.00 per shipment. Exposure to and risk of any loss in excess of the declared value is either assumed by the shipper or transferred by the shipper to an insurance carrier through the purchase of an insurance policy. You should contact an insurance agent or broker if insurance coverage is desired. WE DO NOT PROVIDE INSURANCE COVERAGE OF ANY KIND. When a higher value is declared (not to exceed $5,000.00) and higher charge is paid in accordance with the terms of a CMF Delivery bill of lading (waybill) must accompany the shipment. For purposes of this Agreement, “loss” is defined as the inability to locate undelivered shipment. Damage shall mean physical injury, harm or destruction. Mere delay, whether inadvertent or negligent, shall not be considered a loss and, as stated, CMF Delivery assumes no liability for delay. It is agreed that CMF Delivery shall not be liable for consequential damages of any kind, such as loss of interest, loss of income or loss of business opportunity.

D. Packages (including freight shipment) containing the following items of extraordinary value are limited to a maximum declared value of $100.00:

1. Artwork, including any work created or developed by the application of skill, taste or creative talent for sale, display or collection. This includes, but is not limited to items (and their parts) such as paintings, drawings, vases, tapestries, limited-edition prints, fine art, statuary, sculpture, collector’s items, photographic images, including photographic chromes, photographic slides, and any other commodity that by its inherent nature is particularly susceptible to damage, or the market value of which is particularly variable or difficult to ascertain.
2. Antiques, any commodity which exhibits the style or fashion of a past era and whose history, age or rarity contributes to its value. These items include, but are not limited to, furniture, tableware, glassware and collector’s items such as coins, stamps, sports cards, souvenirs and memorabilia.
3. Glassware, including, but not limited to, signs, mirrors, ceramics, porcelains, china, crystal, glass, framed glass, and any other commodity with similarly fragile qualities.
4. Jewelry, including, but not limited to, watches, and their parts, precious and semiprecious gems or stones, whether cut or uncut industrial diamonds and costume jewelry.
5. Furs, including, but not limited to, fur clothing, fur trimmed clothing and fur pelts.
6. Precious metals including, but not limited to, gold and silver bullion, dust, precipitates or platinum (except as an integral part of electronic machinery).
7. Stocks, bonds, cash letters or cash equivalents, including but not limited to, food stamps, postage stamps (not collectible), traveler’s checks, lottery tickets, money orders, prepaid calling cards, bond coupons and bearer bonds.
8. Ostrich and emu eggs.

E. The MAXIMUM declared value for any CMF letter, CMF Packet (availability may be limited) or CMF Pak is $100.00. Goods with a value (actual or declared) exceeding $100.00 should NOT be shipped in a CMF Letter or CMF Packet or CMF Pak.

F. Notwithstanding anything else in the Service Guide, CMF Delivery is not liable for any loss of, damage to, or delay, misdelivery or nondelivery of prohibited shipments, including, but not limited to cash or currency.

G. Notwithstanding anything else in the Service Guide, CMF Delivery is not liable for any loss of, damage to or delay to any package that is not adequately packaged, addressed or labeled by the shipper.

H. When the shipper sends more than one package on an airbill, the total declared value for all the packages moving on the airbill must be written in the appropriate section of the airbill. Our liability will be limited to the total declared value (not to exceed the per-package limit of $100). The declared value for each package will be determined by dividing the total declared value by the number of packages on the airbill unless you provide evidence verifiable to our satisfaction supporting a different allocation. Claimant is responsible for providing the actual value for any package in a shipment exceeding the value of the declared entire shipment. If a shipment is sent pursuant to an airline interline agreement, additional restrictions may apply.

ANY EFFORT TO DECLARE A VALUE IN EXCESS OF THE MAXIMUMS ALLOWED IN THIS SERVICE GUIDE IS NULL AND VOID AND THE ACCEPTANCE FOR CARRIAGE OF ANY SHIPMENT BEARING A DECLARED VALUE IN EXCESS OF THE ALLOWED MAXIMUMS DOES NOT CONSTITUTE A WAIVER OF ANY PROVISION OF THE SERVICE GUIDE AS TO SUCH SHIPMENT. EVEN IF A HIGHER VALUE IS DECLARED, OUR LIABILITY FOR LOSS, DAMAGE OR DELAY WILL NOT EXCEED A SHIPMENT’S REPAIR COST, ITS DEPRECIATED VALUE OR ITS REPLACEMENT COST, WHICHEVER IS LESS.

CLAIMS

A. CMF must receive notice of claim due to damage within 15 days after delivery of the shipment.

B. CMF must receive written notice of all other claims, including but not limited to, nondelivery, misdelivery within 90 days after we accept the shipment.

C. Your written notice of claim must include complete shipper and recipient information, as well as the airbill or package tracking number, date of shipment, number of pieces, and shipment weight.

D. A claim must be reported to Customer Service by telephone, but written notice must still be given within the time limits stated above.

E. Written documentation of all claims must be delivered to CMF within 90 days after we receive written notice in accordance with paragraphs (A) or (B) above. Such documentation must include original purchase invoices, estimates or invoices for repair copies of airbills, or other records. These documents must be verifiable to our satisfaction. We are not obligated to act on any claim until all transportation charges have been paid.

F. All of the original shipping cartons, packing, and contents must be made available for our inspection and retained until the claim is concluded.

G. Except as provided in the paragraph below, receipt of the shipment by the recipient without written notice of damage on the delivery manifest is prima facie evidence that the shipment was delivered in good condition. As a condition to our considering any claim, the original shipping cartons, packing and contents must be made available for our inspection.

H. In the case of a claim for concealed damage which is not discovered at the time of delivery, the sender or recipient must notify CMF in writing as promptly as possible after the discovery of the damage, and in any event not later then 15 days after the date of delivery. In any event, the original shipping cartons packing and contents must be made available for our inspection.

I. CMF does not consider shockwatch, tiltmeter, or temperature meter gauge results in evaluating damage claims.

J. The right to damages against CMF under any cause of action arising from the transportation of packages pursuant to this Guide shall be extinguished unless an action is brought within two years from the date of delivery of the shipment or from the date on which the shipment should have been delivered. However, you and CMF agree that in the event of disputes or controversies as to adequacy of packing or cause of physical damage to a shipment, such as disputes or controversies shall be submitted to the arbitration of three disinterested and competent persons, one to be appointed by each party and the third to be appointed by the other two, whose award shall be conclusive and binding on both parties. The rules and procedures for any such arbitration may be set by agreement of the parties, but in the event the parties are unable to agree, the arbitrators shall have authority to establish reasonable rules and procedures. Said arbitrators shall not have the authority or power to modify or alter any express condition or provision of the agreement (including those pertaining to limits of liability) or to render an award that by its terms has the effect of altering or modifying any express conditions or provision of the agreement. No suit at law or in equity based on any dispute controversy subject to arbitration under this agreement shall be instituted by either party, except to enforce the award of the arbitration. Failure by CMF to invoke this section in any case is not a waiver of the terms of this section. Each party shall bear its own arbitration costs.

K. You agree that you will not sue as a class plaintiff or class representative, join a class as a member, or participate as an adverse party in any way in a class action lawsuit against. However, noting in this paragraph limits your rights to bring a lawsuit as an individual plaintiff.

L. FAILURE TO COMPLY WITH ANY OF THE ABOVE CONDITIONS MAY RESULT IN THE DENIAL OF A CLAIM.

M. Only one claim can be filed in connection with a shipment. Payment of a claim shall extinguish any right to recover in connection with a shipment.

N. Written claims must be sent to: Cargo Claims Department CMF – Hesco Delivery Systems P.O. Box 82448 San Diego, CA 92138-2442

O. CMF will not honor any claim for any delivery where the delivery was outside the contracted delivery schedule. (See Service Agreement and subsequent Schedule ‘A’ and or Authorized CMF Workorder.