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How Carrier Agreement Compliance (CAC) works

Carrier Agreement Compliance (CAC) evaluates each line item on carrier invoices for rate accuracy. This includes transportation charges, discounts and incentives of all types, and accessorial charges. The intent of this article is to guide you through the CAC workflow.

Carrier Agreement Compliance (CAC) benefits

CAC is fully automated and accounts for all parts of a pricing agreement including earned discounts, rate caps, and minimum charge reductions. The active carrier agreement is compared to the individual charges on carrier invoices. The post-audit can be performed on the last six months of invoices. When discrepancies are identified, disputes are filed before the customer pays their invoice.

Carrier Agreement Compliance (CAC) workflow

1. Request copy of FedEx, DHL and UPS agreements from the customer.
2. Send pdf copy of agreement(s) to your designated agreements email address.
3. Agreement(s) loaded into system
4. Analysis performed
5. Compliance report created
6. Results shared with you
7. Refund credits applied

Why Carrier Agreement Compliance?

Carriers are known to change pricing, not honor discounts and make billing mistakes that contradict what’s penned in the carrier agreement.

Additional resources

Updated on May 21, 2020

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