Monday, May 1, 2017

How to win an appeal of the denial of a US Postal Service insurance claim

In the domain of judicial procedure my area of specialty is Indiana child custody and support payment appeals. I have had numerous successes there as well as with Indiana University when I argued that their procedure for qualifying students as in-state residents was arbitrary and not directly related to domicity. So, when the United states Postal Service [USPS] denied an insurance claim I appealed . . . and won.

The denial of a claim and opportunity for appeal I consider a test of one’s resolve. In the child custody arena I have seen parents often give up after an adverse ruling by a trial court. I have also seen one of my clients in court recently and the effect of his propensity to appeal. When he raised a procedural issue to the court the prosecutor responded that she had no objection because “we will be right back here.” The implication being that if the hearing wasn’t continued at that moment to another day then my client would appeal, the appellate court would grant a new hearing and they would be back a year from now doing it again. It pays to get a reputation that you have the tenacity to appeal but just the act itself can often result in success.

I am a collector in the popular categories such as stamps and coins but also the unusual and unique. I continually buy and sell to build and fund my collections. When selling I have been using the USPS and my carrier. Including when I had a worldwide mail-order business I have sent tens of thousands of packages with loss or damage occurring at a rate <1:10,000 Lately though they have been performing poorly and in one incident I filed an insurance claim for a severely damaged package and destroyed contents arriving to a collector in Georgia.

The items were sent by me in a large flat rate Priority Mail box. The following are the tracking details associated with this parcel.

Day 1 - Indianapolis
Acceptance
Mar-14-17, 09:06 AM, LEBANON, IN 46052

Arrived at USPS Origin Facility
Mar-14-17, 17:47 PM, INDIANAPOLIS, IN 46241

Day 2 - Transit
In Transit to Destination
Mar-15-17, 17:47 PM

Day 3 - Las Vegas
Arrived at USPS Facility
Mar-16-17, 00:27 AM, LAS VEGAS, NV 89199

Departed USPS Facility
Mar-16-17, 04:34 AM, LAS VEGAS, NV 89199

Arrived at USPS Facility
Mar-16-17, 19:27 PM, LAS VEGAS, NV 89120

Day 4 - Transit
Departed USPS Facility
Mar-17-17, 04:16 AM, LAS VEGAS, NV 89120

In Transit to Destination
Mar-17-17, 19:27 PM

Day 5 - Nashville, TN
Arrived at USPS Facility
Mar-18-17, 00:06 AM, NASHVILLE, TN 37230

Departed USPS Facility
Mar-18-17, 04:11 AM, NASHVILLE, TN 37230

Day 6 - Miami, FL
PROCESSED THROUGH USPS FACILITY
Mar-19-17, 16:55 PM, MIAMI, FL 33112

Day 7 - Opa Locka, FL
PROCESSED THROUGH USPS FACILITY
Mar-20-17, 15:38 PM, OPA LOCKA, FL 33054

PROCESSED THROUGH USPS FACILITY
Mar-20-17, 15:43 PM, OPA LOCKA, FL 33054

PROCESSED THROUGH USPS FACILITY
Mar-20-17, 15:44 PM, OPA LOCKA, FL 33054

Day 8 - Macon, GA
PROCESSED THROUGH USPS FACILITY
Mar-21-17, 03:06 AM, OPA LOCKA, FL 33054

PROCESSED THROUGH USPS FACILITY
Mar-21-17, 03:07 AM, OPA LOCKA, FL 33054

ARRIVE USPS FACILITY
Mar-21-17, 09:57 AM, ORLANDO, FL 32824

ARRIVE USPS FACILITY
Mar-21-17, 10:00 AM, ORLANDO, FL 32824

DEPART USPS FACILITY
Mar-21-17, 10:07 AM, ORLANDO, FL 32824

DEPART USPS FACILITY
Mar-21-17, 10:14 AM, ORLANDO, FL 32824

ARRIVE USPS FACILITY
Mar-21-17, 17:33 PM, MACON, GA 31213

ARRIVE USPS FACILITY
Mar-21-17, 17:37 PM, MACON, GA 31213

DEPART USPS FACILITY
Mar-21-17, 17:57 PM, MACON, GA 31213

DEPART USPS FACILITY
Mar-21-17, 18:13 PM, MACON, GA 31213

ARRIVE USPS FACILITY
Mar-21-17, 18:25 PM, MACON, GA 31204

ARRIVE USPS FACILITY
Mar-21-17, 18:43 PM, MACON, GA 31204

PROCESSED THROUGH USPS FACILITY
Mar-21-17, 19:15 PM, MACON, GA 31204

Day 9 - Delivered
DEPART USPS FACILITY
Mar-22-17, 02:24 AM, MACON, GA 31204

ARRIVAL AT UNIT
Mar-22-17, 06:09 AM, WARNER ROBINS, GA 31088

SORTING/PROCESSING COMPLETE
Mar-22-17, 08:50 AM, WARNER ROBINS, GA 31088

OUT FOR DELIVERY
Mar-22-17, 09:00 AM, WARNER ROBINS, GA 31088

DELIVERED FRONT DOOR/PORCH
Mar-22-17, 11:03 AM, WARNER ROBINS, GA 31088

After passing through 11 different postal facilities and being scanned 32 times the parcel arrived at the collector’s house. But it was not without some damage a corner had been ripped off the box leaving a breach of about five inches in diameter.

MAKING THE INITIAL CLAIM

As with any good seller of merchandise I refunded her payment and pursued recompense by filing an indemnity claim with the USPS. That was a rather straight forward procedure: 1] I went to the USPS site and completed the online form; 2] attached a photo of the article as it arrived to the collector; and 3] attached a copy of the completed ebay listing which showed a photo of the items prior to shipment.

THE USPS RESPONSE

Within a few days an envelope arrived in my mailbox to my anticipated praises of a job well done in quickly paying the claim. To my chagrin it was a standard denial form which stated as the basis that a sale on eBay is not “proof” of value.

MY APPEAL

In my appeal I made the argument that value was a subjective term which varied by desire, time, and place unlike the price set for a First Class letter which is a fixed price. I explained that eBay was a popular and geographically broad enough venue that the sale prices established there through a competitive bidding process could establish a market value. I also provided a copy of the paypal payment notice which establishes that the winning bidder valued the item enough to pay the bid amount. Subsequently value as to the particular item was established for that time and place.

THE DECISION

Apparently the USPS agreed that an ebay auction listing is proof of value. I promptly received notice of the decision and concurrently, under separate cover, a check. However, I was not recompensed for the postage fees because “Shipping and handling fees are Not refunded.” I have the opportunity to appeal that decision also. I may. Certainly my Senator will hear about this.

The letter closes by stating, “The US Postal Service values your business. We apologize for any inconvenience you may have experienced as a result of this matter.” It is my considered opinion that when a package which you estimate to arrive in two days is instead shuttled around the country for eight days, a hole is punched through the box, and the contents destroyed that you did not perform the service of delivery. They USPS by arguing that they did deliver the parcel and I am therefore not entitled to recover shipping fees does not seem congruent with the statement “The US Postal Service values your business.” But what is a person to do when dealing with a quasi-governmental agency that has a near monopoly? That will be the subject of an upcoming posting.

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