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Lids Chargeback Guidelines

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Failure to act in accordance with the terms of Lids posted guidelines may result in a charge-back to the Vendor. Lids may re-bill or deduct from a Purchase Order payment any costs related to non-compliance plus a nominal Non-compliance Fee.

  • The Lids Non-compliance Fee is set at $150.00 per occurrence





Shipping without Authorization

$250.00 + Freight

Shipping with an expired Authorization

$150.00 + Freight

Unauthorized changes to shipment (must ship exactly as quoted)

$150.00 + Freight

Shipped to/from wrong destination (as noted on routing request)

$150.00 + Freight

Failure to provide accurate information on routing request

$150.00 + Difference in Freight

Failure to consolidate shipments on the same day

$150.00 + Freight

Ups shipped incorrect service level (ex. freight vs. ground)

$150.00 + Gross Freight

Using Lids 3rd Party UPS Account for other companies

$500.00 + Gross Freight

Using incorrect Lids 3rd Party UPS Accounts

$150.00 + Gross Freight

Failure to add required information to BOL, ie Quote ID #'s,

$150.00 + Difference in Freight

correct pallet sizes, correct NMFC-Sub #'s and correct class number


Failure to fax/email signed copy of BOL within 24 hours of shipping


of the merchandise.


No PO number on documentation


No Authorization Number on documentation


Invoice different from Purchase Order

$150.00 per Violation

(ie: quantity, terms, pricing, PO charges)


Store name and number do not appear in UPS address fields

$150.00 + $5.00 per carton

Case label does not scan

$150.00 + $5.00 per carton

Merchandise shipped without ASN

$150.00 + $5.00 per carton

Incomplete or Inaccurate ASN

$150.00 + $5.00 per carton

UPS Insurance Charged

$150.00 + Insurance

Unapproved pallet use

$150.00 + $25.00 per pallet

Unauthorized accessorial charges

$150.00 + Amt of actual charges

Cartons not marked/labeled according to instructions

$150.00 + $5.00 per carton

Lids reference numbers not used in reference fields

$150.00 + $5.00 per carton

Item barcode does not scan or incorrect data

$150.00 + $1.00 per barcode

Shipment does not match purchase order

$150.00 + $5.00 per carton

Using unauthorized carrier for your shipping point

$150.00 + Freight

Failure to follow POE Procedures

$250.00 per occurrence

Failure to follow Packing Standards

$150.00 + $5.00 per carton

Product not labeled according to instructions

$150.00 + Actual Labor

Tracking numbers not emailed/faxed by the end of next business day


Cost remove incorrect price tickets and reticket

$0.50 per unit

Shipping a Purchase order more than twice to complete the order

$150.00 + $250.00

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