CNF FILES COMPLAINT AGAINST USPS
CNF Inc., parent company of air freight operator Emery Worldwide, has filed a federal court complaint against the U.S. Postal Service related to the company’s contract to carry Priority Mail.
CNF has asked the Court of Federal Claims in Washington, D.C., to rule that the USPS has violated the payment terms of a four-year contract signed by Emery and the USPS in 1997. Under that $1.7 billion contract, Emery operates 10 mail-sorting facilities in the eastern U.S.
CNF has asked the USPS for more than year to adjust the prices it pays Emery for the Priority Mail services. CNF says its costs are not being met at current pricing levels and that the USPS contract allows for pricing adjustments.
The USPS has said it is reviewing the contract.
CNF “remains hopeful that a business resolution can be obtained and that all efforts continue to reach such a resolution,” the company said.