Trucklines Rules of Service

1. Coastal Carriers, Inc. is a licensed brokerage operation holding authority pursuant to MC-378809.

2. Governing Publications
    (a) Coastal Carriers, Inc’s Motor Freight Rate Catalogue.
    (b) Coastal Carriers, Inc’s Rules Circular #1.
    (c) Uniform Straight Bill of Lading. Other shipping documents executed by driver as receipt for goods only.
    (d) Mileage rates based on PC Miler Practical Mileage.
    (e) National Motor Freight Classification Rules apply.

3. Insurance Information and Liability Limits
    Coastal Carriers, Inc. maintains a database of carriers as well as proof of insurance on file. By law all carriers we use are required to carry: (a) PI and PD (personal injury and physical damage)
         (i) $1,000,000 per occurrence limit, BMC-91X on file
         (ii) Certificate of insurance available upon request.
    (b) Cargo Liability
         (i) Carmack, subject to $2.50 per pound per article ($100,000 truckload limit) BMC-32 on file.
         (ii) Certificate of insurance available upon request.
         (iii) Carrier liability for cargo over $100,000 by special request.

4. Claims Processing and Statute of Limitation - General principles of Federal commerce law apply. See Elmore v. Stahl, 377 U.S. 134; UBOL and 49 C.F.R. '370. Claims must be filed within 9 months. Customer must file all freight cargo claims in writing directly to the servicing carrier as named on the standard bill of lading.

5. Spotting and Detention - Spotting for shipper's convenience by special arrangement. Free time for pick-up and/or delivery two (2) hours; detention thereafter $55 per hour.

6. Pick-Ups, Deliveries, Appointments - Pick-ups and deliveries made between 7:00 a.m. - 5:00 p.m., local time or by special arrangement. Appointments made at no charge.

7. Payment of Freight Charges - Due 30 days from date of invoice without offset; PODs provided upon request; finance charge is 1.5% per month on delinquent accounts with collection charge of $300.00 or 33% of invoice per shipment, whichever is greater.

8. Pallets - Provided by special arrangement.

9. Stop-Off Service - $50 per stop, excluding original pick-up and final delivery.

10. Third Party Billing - Provided for shipper's/beneficial owner's convenience with recourse.

11. Non-Back Solicitation of Intermediaries - As otherwise agreed.

12. Weight Limitations - 45,000 lbs. per truckload, or as otherwise agreed.

13. Simplified Pricing - Unless otherwise indicated, all common carrier shipments are rated as Freight All Kinds for named customers and are subject to a maximum cargo liability of $2.50 per pound or $100,000 per truckload shipment whichever is less.

14. Alternative Rates Available - Shipper may obtain rates for shipments with higher release values from Coastal Carriers' Director of Pricing by calling 636-528-8988. Any such alternative rate shall be reflected by the insertion of the higher release rate value and appropriate tariff item on the bill of lading at time of pick-up.

15. Inadvertence Clause - If a shipper declares a value exceeding $2.50 per pound or $100,000 per truckload without insertion of the corresponding tariff item, the shipment will not be accepted, but if the shipment is inadvertently accepted, it will be considered as being released to a value of $2.50 per pound or $100,000 per truckload, whichever is less and the shipment will move subject to such limitation of liability.

16. Remedies - Possessory lien rights apply to violation of credit terms.

17. Reconsignment- $400 per occurence.

18. Fuel Surcharge - Rates will be increased by $0.01 per mile for every $0.05 per gallon by which the weekly DOE prices exceeds a fuel peg of $1.16 per gallon (see below).

DOE Fuel Index Range	Fuel Surcharge Cents per Mile
116 - 120	0
121 - 125	1
126 - 130	2
131 - 135	3
136 - 140	4
141 - 145	5
146 - 150	6
151 - 155	7
156 - 160	8
161 - 165	9
166 - 170	10
171 - 175	11

    (a) The U.S. average diesel fuel price issued by the DOE’s Energy Information Administration, National Energy Information Center (202) 586-6966 #1 each Monday will be the weekly fuel cost used. If the fuel index is not issued on Monday, the next index issued will be used.
    (b) The fuel surcharge will be calculated weekly.
    (c) The fuel surcharge will be effective the following seven days after the diesel fuel price referred to in (a) is issued by DOE. Example: For a fuel index issued on Monday, the fuel surcharge will be effective the following Monday.

Effective Date: 10/01/2003