Chapter 17: Freight and Shipping

 

SEC. 1                Freight Sharing

Market America employs a “Freight Sharing” method so that all Independent Distributors will share charges fairly, no matter where they are located, what location the product is being shipped from, or the weight of the product.

(A)     Standard Shipping Rates: All Distributors pay a shipping charge of 7.5 percent on the total Distributor Cost of all product ordered for delivery within the 50 states or to U.S. territories in which Market America is open for business. There is a $7.50 minimum shipping charge for all product orders. For purchases of gift cards totaling less than $100.00 there is a shipping charge of $2.95, and for purchases of gift cards totaling $100.00 or more, there is no shipping charge. These rates apply to standard ground shipping only.

(B)     Non-Standard Shipping Rates:

(1)     Additional charges are required for Next Day and 2nd Day shipments by air in addition to standard shipping. Contact Distributor Services for details and charges prior to air freight orders.

(2)     All Distributors in Canada pay a shipping charge of 9.5 percent of the total Distributor Cost of all product ordered. There is a $10.50 (Canadian currency) minimum shipping charge.

(3)     On certain items the shipping rates may be higher than the usual rates.

(C)     Carrier: Product and literature orders are sent through United Parcel Service (UPS) and U.S. Postal Service Priority Mail.

(D)     Payment: All shipping charges must accompany the order.

SEC. 2                Shipping Time

When an order is received in the morning, it is normally processed the same day. The invoice is generated the next business day.

(A)     Process Time: Once the invoice is generated, products or orders being sent from Market America are normally shipped within 72 hours. Normal shipping time is three to six working days, depending on the destination (this does not include weekends or holidays).

(B)     Shipments Via Vendor: Invoices with items to be sent from the manufacturer’s warehouse are electronically transferred. The manufacturer has 72 hours to ship the order and confirm shipment electronically with a shipping manifest to the company. The company tracks orders being sent from manufacturers’ warehouses in its computer. If an item is shipped via commercial (truck) carrier, delivery of the item may take seven to 10 business days.

(C)     ACH/Auto Bank Draft Transfer Buying: Each week all Bank Draft Transfer Buying orders will be held until the Friday of that week before generating invoices, in an attempt to verify if funds are available. Any Bank Draft Transfer Buying orders that come back from the bank as NSF by Friday of the pull week will result in the following:

(1)     The individual Transfer Buying order will be canceled and the Business Volume (BV) will be removed;

(2)     The Bank Draft Transfer Buying will be permanently canceled (Distributors can reinstate Transfer Buying later by submitting another Transfer Buying Form, but using the credit card option only).

SEC. 3                Problems That Delay Shipment of Orders

Inquiries regarding late orders are usually caused by the following:

  • A 15-business-day hold.
  • Incorrect (short) amount of money to cover order or shipping charges and the company could not reach Distributor by telephone.
  • Mistakes on order in placement, ID number, or order was illegible.
  • Late incoming mail or the order was sent to the company’s physical address rather than the P.O. Box address.
  • Order arrived on Saturday.
  • Orders may have contained products that must be shipped UPS ground (West Coast delivery may take 10 to 14 days).
  • Invalid addresses (Distributors should always ensure that Market America has a current address on file).

SEC. 4                Shipments Outside Opened Countries / Territories

Market America will only ship to those countries and territories in which the company is currently open for business. As Market America expands internationally, Distributors will be notified well in advance of applicable policies and procedures.

SEC. 5                Delivery Procedures

Currently, Market America ships packages via UPS Ground Service and the U.S. Postal Service (USPS) Priority Mail. Our computer system chooses the shipping method based on the zip code and zone to which the package will be shipped. It is extremely important that all Distributors have a valid shipping and mailing address (if the two are different) on file with Market America to ensure that packages are sent to a deliverable address. In very specific cases Market America will ship packages via a commercial (truck) carrier directly from
the manufacturer.

(A)     UPS:

(1)     UPS will make two additional attempts to deliver your order if they were unable to reach you the first time. After two attempts have been made, UPS will send you a card advising you that they have a package for you which they will hold for seven days.

(2)     If you do not make an effort to pick up your package, they will return your merchandise to Market America.

(3)     When a package is returned to Market America, and a request is made by the Distributor for reshipment, a freight charge will be assessed on the second shipment. This also applies when a Distributor does not inform the company of a change of address and the order is returned to the home office.

(4)     UPS will, on some occasions, leave a package with a neighbor if you are not home, although more often they will follow the procedure outlined above. We suggest you leave a note instructing UPS where to leave your package if you will not be home to sign for it.

(B)     USPS: The U.S. Postal Service will deliver your package wherever you normally receive your mail. If unable to deliver, USPS will leave a yellow form for you to fill out instructing the Post Office when to redeliver, or if you request, they will hold the package at your local Post Office for you to pick up at your convenience. Packages returned by the USPS to Market America will be processed following the same procedures as with UPS.

(C)     Truck Shipments: All commercial size items (i.e. all items exceeding five gallons, such as 30 gallon or 55 gallon drums) are shipped via commercial (truck) carrier directly from the manufacturer.

SEC. 6                Shipping Discrepancies

Distributors must notify Market America within 30 days of the ship date to report any shipping problems, including but not limited to late or lost orders, continued back-ordered products still not received, short shipments, damaged items, or wrong product received. If Distributors experience any shipping discrepancy, they should contact Distributor Services with the following information readily available: Distributor identification number, name, date of order, shipping address, product order number, and method of delivery (shipper/carrier). Distributors who fail to notify Market America of any shipping problem within 30 days of the ship date waive any claim for correcting the problem.

(A)     Short Shipments: A short shipment is defined as not receiving all individual items and/or packages that were ordered. Items still on back order or items removed from an order before it is processed by Market America (due to problems with payment, being discontinued, etc.) are not considered short-shipped.

(1)     Individual Items: All orders that are filled and processed at Market America are checked with great care. Since Market America utilizes a computerized weighing system, there is little chance individual items have been left out. Please recheck your order carefully before calling the corporate office. 

(2)     Packages: Carefully count the number of packages delivered. Never sign a delivery receipt for more packages than have actually been delivered. When transport carriers sign for a shipment at Market America, they sign for a given number of pieces of freight and they acknowledge this fact. Market America's control over the shipment ends at that time and it is assumed by the carrier.

(B)     Damages: As you receive your package(s), please check for damage to the outer packaging before signing for them. Never refuse a damaged shipment. Any damages, such as the package being crushed, resealed, or opened, should be noted by the delivery person on the delivery record. Great care is exercised by Market America in packaging, handling and shipping product. Still, unavoidable accidents or careless handling by others will sometimes occur. Be assured that the product was in good condition when it left our warehouse. In the event Distributors do receive damaged product, they may be required, at the sole discretion of Market America, to return the damaged product to Market America at the company's cost before Market America will reship the product.

(1)     UPS/USPS:

(a)     A Distributor should always accept the shipment, but should list damaged items. Have the delivery agent note the damage on the delivery record (if possible).

(b)     The Distributor should immediately notify Distributor Services so that Market America can request an inspection by UPS or the USPS, who will assign a Lost or Damage Investigation (LDI) number.

(c)     Be sure all damaged items, plus the shipping containers, are held, either for pick-up by UPS or USPS, or to be returned to Market America upon request. Go ahead and use undamaged merchandise.

(2)     Commercial (Truck) Shipments:

(a)     Always inspect shipments before signing for them. Call any damages to the attention of the delivery person, request that damages be noted, and sign for the shipment. Be sure to retain a copy of the bill of lading from the driver. Set damaged merchandise aside and immediately call the local office of the carrier and request an inspection of the damages; then notify Distributor Services at Market America. Market America will file the claim with the carrier after receiving proper documentation from the Distributor.

(b)     If damages are found later, call the carrier and ask for a damage inspection; then notify Distributor Services at Market America. Do not ship damaged product back to Market America. After Market America receives the necessary paperwork, the company will replace the product immediately and then wait for reimbursement from the carrier. Hidden damages must be reported to the trucking company within 15 days of delivery.

(C)     Wrong Product: Wrong product is defined as product shipped by mistake in lieu of product that should have been shipped but was not. All orders that are filled and processed at Market America are checked with great care. Since Market America utilizes a computerized weighing system in combination with a computerized picking system, there is little chance that wrong product has been shipped. In the rare event Distributors do receive wrong product, they may be required, at the sole discretion of Market America, to return the wrong product to Market America at the company's cost before Market America will ship the correct product.

(D)     Extra Product: Extra product is different from wrong product, in that the Distributor receives it in addition to the products that were ordered. In the rare event that Distributors receive extra product or an extra package, they should contact Distributor Services. Distributors who receive extra product will be required to return the product to Market America at the company's cost.

(E)     Issued Return Authorizations: In the cases of wrong product, damaged product, or extra product received, once Market America has issued a Return Authorization Number (RA#) to return the product to the corporate office, the product must be returned to Market America within 30 days of the issuance of the RA#. If the product is not returned to Market America within 30 days of the issuance of the RA#, Market America reserves the right to debit the Distributor's Market America account the Distributor Cost of the product, but only in the event that the Distributor has received and failed to return product for which he/she has not paid. If Market America debits the Distributor's Market America account for the unreturned product, any Business Volume for the product will be assigned to the Distributor's personal BDC-001 for the date the Market America account is debited. 

SEC. 7                Freight on Board (FOB) Policy

The shipping terms for all packages shipped by Market America is Freight on Board (FOB). Any Distributor that has lost shipments and/or has excessive shipping claims that exceed $1,000 in orders or two lost orders within a three-month period will receive a letter from the company putting them on notice of FOB and implementing a “signature required” term. The Distributor must sign the acknowledgment line in the letter and mail it or fax it back to the company prior to any more orders being processed or shipped.

 

Last Modified :09/16/2014 5:45:49 PM EDT