More woes for the shipping giants after Christmas fiasco…
ATLANTA — UPS was given a late Christmas present Dec. 27, a potential class-action lawsuit.
A complaint was filed against Atlanta-based United Parcel Service Inc., claiming the delivery giant “has for years been systematically overcharging customers.”
The complaint filed in federal court in Michigan is seeking damages for all customers who used UPS to ship a package and paid for additional coverage for loss or damage from UPS.
The complaint alleges that UPS has charged customers for the first $100 of declared value coverage even though UPS already accepts liability for loss or damage for all packages up to $100 as part of its normal service fee. “Despite the clear disclosure by UPS that the first $100 of declared value coverage is free or at no charge, UPS has systematically charged and caused its agent and sales network to charge customers an additional amount for coverage for the first $100 when they purchase additional declared value coverage,” the lawsuit contends.
Click here to read the filing.
via Class action filed against UPS
FedEx sued
It marks one of the last acts by the administration of New York City Mayor Michael Bloomberg, whose more than decade-old campaign to ban smoking in various public and private places has been credited with saving thousands of lives and become a blueprint for other cities.
According to the city, FedEx created a “public nuisance” through its partnership with Shinnecock Smoke Shop, located on the Shinnecock Indian Nation reservation in Southampton, New York, to ship untaxed cigarettes to residential homes.
FedEx allegedly did so despite, and even while negotiating, a February 2006 agreement with then-New York Attorney General Eliot Spitzer to stop such deliveries in New York, an agreement later expanded to cover deliveries throughout the country.
The city said FedEx delivered about 19.5 tons, or 55,000 cartons, of cigarettes to city residents in 9,900 shipments from 2005 to 2012 and deprived it of a $15 excise tax on each carton. A typical carton has 200 cigarettes.
FedEx’s activity violated various federal and state laws, including an anti-racketeering statute, the complaint said.
via New York Sues FedEx Over Illegal Cigarette Shipments