FAR 47.207-10—Discrepancies incident to shipments.
Plain-English Summary
FAR 47.207-10 defines what counts as a shipment discrepancy when Government supplies move by commercial carrier and arrive in a condition or quantity that does not match the transportation document. It specifically covers overage, shortage, loss, damage, and other mismatches between what was received and what the bill of lading or other shipping document shows. The section also points readers to the controlling reporting and adjustment procedures for Government shipments in 41 CFR parts 102-117 and 118, and notes a separate DoD transportation rule set in DoD 4500.9-R, Defense Transportation Regulation, Part II, Chapter 210. In practice, this provision matters because it tells contracting and logistics personnel what kinds of shipment problems must be treated as discrepancies and where to find the process for documenting, reporting, and resolving them. It is a cross-reference section rather than a full procedure, but it is important for protecting the Government’s interests, preserving carrier claims, and ensuring shipment records and receipt actions are handled correctly.
Key Rules
Discrepancy types defined
Shipment discrepancies include overage, shortage, loss, damage, and any other difference between the quantity or condition received and the quantity or condition shown on the bill of lading or other transportation document. The definition is broad enough to capture both quantity errors and condition problems.
Compare receipt to shipping document
The key comparison is between what the Government actually receives from the commercial carrier and what the covering transportation document states. If the received quantity or condition does not match the document, a discrepancy exists for reporting and follow-up.
Use Government shipment procedures
Reporting and adjusting discrepancies in Government shipments must follow the procedures in 41 CFR parts 102-117 and 118. This section does not supply the full process; it directs users to the applicable property and transportation regulations.
DoD uses separate guidance
For Department of Defense shipments, the applicable reference is DoD 4500.9-R, Defense Transportation Regulation, Part II, Chapter 210. DoD users should apply that guidance in addition to, or instead of, the general civilian agency procedures where applicable.
Transportation document controls the comparison
The bill of lading or other transportation document is the baseline record for determining whether a discrepancy occurred. Accurate shipping documentation is therefore essential to identifying and resolving shipment issues.
Responsibilities
Receiving activity / Government recipient
Inspect incoming shipments, compare the quantity and condition received against the bill of lading or other transportation document, identify any overage, shortage, loss, damage, or other discrepancy, and initiate reporting under the applicable procedures.
Contracting Officer / Property or logistics official
Ensure the correct discrepancy-reporting and adjustment procedures are followed, coordinate with transportation and property personnel as needed, and support any claim, adjustment, or corrective action arising from the discrepancy.
Agency transportation or supply personnel
Apply the reporting and adjustment rules in 41 CFR parts 102-117 and 118, or the DoD transportation regulation where applicable, and process discrepancy documentation and follow-up actions.
Carrier
Deliver supplies in the quantity and condition reflected on the transportation document and respond to discrepancy notices, claims, or investigations as required by transportation law and the shipment documentation.
DoD transportation personnel
For DoD shipments, follow DoD 4500.9-R, Part II, Chapter 210, for reporting, documenting, and resolving shipment discrepancies.
Practical Implications
This section is a trigger point: if the shipment does not match the shipping document, the discrepancy process should start immediately so evidence is preserved and deadlines are not missed.
Common pitfalls include failing to inspect promptly, not documenting damage or shortages clearly, and using the wrong regulatory procedure for civilian agency versus DoD shipments.
Because the section points to other regulations rather than giving the full process, users must look up the applicable reporting and adjustment rules before taking action.
Accurate bills of lading and receiving records are critical; errors in the shipping document can complicate claims and make it harder to prove a discrepancy.
Contracting and logistics staff should coordinate quickly when discrepancies are found, since unresolved shipment issues can affect payment, inventory accountability, and carrier recovery efforts.
Official Regulatory Text
Discrepancies incident to shipment include overage, shortage, loss, damage, and other discrepancies between the quantity and/or condition of supplies received from commercial carrier and the quantity and/or condition of these supplies as shown on the covering bill of lading or other transportation document. Regulations and procedures for reporting and adjusting discrepancies in Government shipments are in 41 CFR parts 102-117 and 118. (For the Department of Defense (DoD), see DoD 4500.9-R, Defense Transportation Regulation, Part II, Chapter 210).