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Post by calzephyr on Dec 15, 2015 13:06:37 GMT -8
Cold Train sues BNSF for at least $41 million
Originally published April 7, 2015 at 8:02 pm | Updated April 7, 2015 at 9:52 pm
A $41 million suit accuses BNSF of putting a refrigerated rail company out of business.
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By Seattle Times staff
Times staff and news services
SPOKANE — Two top officials of defunct refrigerated rail service Cold Train are suing BNSF Railway, alleging their company was put out of business as the railroad devoted more trains and track to shipping oil and coal.
The suit was filed Tuesday in federal court in Spokane.
Capital Press reported that the suit contends BNSF reneged on a contract to provide rail service to Cold Train, misrepresented itself in saying it would improve rail service and did so knowing a sale of the company depended on it.
The plaintiffs are Michael Lerner and Steve Lawson, whose company, Cold Train Express Intermodal Service, shut down in August 2014.
The lawsuit seeks an amount to be proved at trial estimated to be in excess of $41 million.
Cold Train operated from 2010 to 2014 and grew to about 700 refrigerated containers per month headed east, carrying apples, other produce and frozen goods.
The plaintiffs say the business was based on a 72-hour guaranteed delivery time for fresh produce, and that the on-time performance plummeted from 90 percent in mid-2013 to under 5 percent in April 2014.
BNSF, in a statement released Tuesday, said the railroad did experience well-documented service issues because of unprecedented demand levels and historic winter weather events in 2013 but worked hard to remedy the situation.
The statement said “any suggestion that BNSF would intentionally seek to cause harm to any customer runs completely contrary to how BNSF conducts business.”
Seattle
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Post by atsfan on Dec 15, 2015 14:06:19 GMT -8
I believe it.
Other than airlines, I can't think of another business which treats its customers worse than do railroads.
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Post by Brakie on Dec 20, 2015 10:07:31 GMT -8
I believe it. Other than airlines, I can't think of another business which treats its customers worse than do railroads. Maybe some of the big boys but,seems the short lines goes out of their way to help their customers.. You do know shippers finds fault with every mode of transportation regardless how good the service might be.. In every day terms most ships today and wants it delivered last week. I worked in a warehouse for several years as a forklift operator and I know our shipping manager "fired" at least 7 trucking companies for "poor service". I know one trucking outfit she fired wasn't all that bad since they picked up their loaded trailers in a timely manner.. |
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Post by antoniofp45 on Dec 23, 2015 16:02:20 GMT -8
I have a relative that works in the logistics department for a technology manufacturer. She tells me that there are moments when whe could her hair out regarding transport companies. Seems that the smaller carriers work hard to provide good service, but unfortunately the small and "3rd party" transport companies are often at the mercy of the larger trucking, rail, and aviation carriers.
But regarding this situation, is this lawsuit justifiable in our free market economy? The documented reports of increased service demand and the severe weather issues, if proven to be accurate, would seem to indicate that BNSF was not out to "crush" Cold Train.
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Post by kentuckysouthernrwy on Dec 23, 2015 20:38:29 GMT -8
I have a relative that works in the logistics department for a technology manufacturer. She tells me that there are moments when whe could her hair out regarding transport companies. Seems that the smaller carriers work hard to provide good service, but unfortunately the small and "3rd party" transport companies are often at the mercy of the larger trucking, rail, and aviation carriers. But regarding this situation, is this lawsuit justifiable in our free market economy? The documented reports of increased service demand and the severe weather issues, if proven to be accurate, would seem to indicate that BNSF was not out to "crush" Cold Train. Most suits aren't justified but that doesn't stop a lawyer searching for deep pockets to tap to try to see if they can negotiate a settlement. The civil system is out of whack but those that regulate and make the rules are all part of the club. |
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Post by Deleted on Dec 25, 2015 9:10:18 GMT -8
Wow. The on time performance dropping to just 5%, that's difficult to even wrap your head around. 19 out of 20 trains were late. I would hope there's some recourse - although if their shipping provider is the reason they went out of business, perhaps there's another issue at hand, too.
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