RECEIVING PURCHASES

Deliveries can be made directly to the end user’s office, lab, receiving dock, or any other location specified on the purchase order. All packaging should be carefully examined for any visible evidence of damage, particularly if the purchase is fragile or costly. The person ‘receiving’ the purchase should make a note of the date the order was received, the name of the supplier, the quantity received, and the purchase order number. The receiving and purchase order information can be checked against the invoice to make sure that the quantities received are the same as the quantities being invoiced.

1. Damaged Shipments and Shortages

Under Interstate Commerce Commission regulations, damaged shipments cannot be refused unless totally destroyed or unless the broken contents would cause contamination. If the shipment is refused, the supplier or shipper could dispose of the shipment, making it very difficult for the buyer or end user to initiate a successful claim. Any damage to the package, no matter how slight, should be noted on the carrier’s and receiver’s delivery receipt. If the shipper is unwilling to wait while the contents of the package are inspected, the receiver should note on the delivery receipt that the condition of the contents is unknown. If concealed damage is discovered during unpacking, stop unpacking, notify the shipper, and request an immediate inspection. Save damaged packaging and cartons for the shipper’s claims inspector and, if possible, photograph the damaged shipment.

2. Initiating a Claim

The shipper’s main office should be notified in writing within 15 days of receipt of the damaged merchandise. The formal claim letter should :

• describe the damage

• give the date the shipment was received

• include a copy of the delivery receipt with the shipper’s signature and the receiver’s description of the damage

• provide the name of the supplier

• include a written estimate from the supplier of the costs to replace or repair the damaged items

• provide a copy of the supplier’s original invoice

• provide copies of all correspondence pertaining to the claim

The Interstate Commerce Commission requires the shipper to acknowledge the claim within 30 days and to offer a settlement within 120 days. When terms are F.O.B. Destination, the buyer or end user should notify the supplier immediately so that the supplier can file a claim.

3. Returning Goods to the supplier

Goods should not be returned without first notifying the supplier. Some suppliers require the buyer to obtain a return authorization number and have procedures as to how and when a return shipment should be made. Some suppliers may also charge a restocking fee to offset the cost of returning the item to inventory. The individual returning the goods should keep a record of the name of the individual authorizing the return, the authorization number and date, notes of any conversations with the supplier authorizing the return, the date the shipment was returned, the name of the carrier, and the supplier’s complete address and the name of the individual receiving the returned goods. If the item being returned is expensive or fragile, it should be insured.