The Postal Service will compensate the Lease Trailer Services supplier for all approved damage repair costs equal to or exceeding the threshold established in the contract per incident, provided that an employee of either the Postal Service or a Postal Service supplier (other than the Lease Trailer Supplier) is at fault or negligently caused the damage. The supplier is responsible for the cost of repairs if less than the agreed upon threshold. Claims cannot be aggregated in order to exceed the per incident threshold.
For example, if the threshold established in the contract is $2,500, and the cost to repair the damage caused by a single incident is $2,500 or greater, the Postal Service will reimburse the supplier for the total cost. If the cost of repairing damage caused by a single incident is less than $2,500, the Postal Service will not provide reimbursement and the supplier is responsible for the cost.
