a white blank gummed label, item 0–27– G, to the package and stamp the impression on it. Each package will be postmarked unless a postage meter stamp is used to pay charges.

(3) Private insurance endorsements or markings may not appear on the address side of mail matter but may appear elsewhere provided they do not resemble official postal endorsements and are not confused with postal endorsements. [35 FR 19471, Dec. 23, 1970, as amended at 39 FR 20971, June 17, 1974]

(a) General provisions. Delivery is made in accordance with the following provisions and those in Part 154. Parcels insured for over $15 are delivered in accordance with the regulations for the delivery of registered mail (see § 161.4 of this chapter), except that when delivery has not been restricted, mail addressed to a person at a hotel, apartment house, or the like, may be delivered to any person in a supervisory or clerical capacity to whom the mail is customarily delivered. The responsibility of the Postal Service ends at this time.

(b) At letter carrier offices. (1) Insured mail is held for the period specified in the sender's return address, but not in excess of 15 consecutive days. If no return period is specified, the mail is held for 15 days. The retention period of 15 days applies also to offices to which the mail may be forwarded.

(2) Insured parcels will be delivered to the addressee's home, or if he receives his mail in a post office box or through general delivery, he will be furnished a notice of the arrival of the parcel. If the parcel is undelivered after 5 days, a second notice will be sent. If addressee does not accept the parcel when it is offered, it will be returned to the post office and held for the length of time directed by the sender, but never more than 15 days. The addressee may go to the post office and obtain the parcel or he may request that it be delivered to his home again. The mailer may also request that it be delivered again.

(c) At offices not having carrier delivery service. The addressee is notified when an insured parcel is on hand for delivery. The notice is placed in the general delivery or in a post office box. A second notice is issued if the article is undelivered after 5 days.

(d) Rural delivery. Rural carriers will deliver insured mail to the residence if

it is not more than one-half mile from the route and if there is a passable road leading to it. Otherwise, the carrier will leave a notice in the box so that the addressee may either meet him at the box on his next trip or call at the post office for the mail. For delivery by rural carriers or at personnel and nonpersonnel rural stations and branches, see Part 156.

(e) On star routes affording delivery service. Star route carriers will deliver insured parcels if required by the contract. Delivery will be made only at the customer's box or along the route.

(f) Damaged packages. Damaged packages will be delivered if possible. When a damaged package is refused by the addressee, the sender will be informed of the damage and of the addressee's refusal. If sender does not reply, a partially damaged package will be returned to him at the end of the retention period. Packages damaged beyond repair will be held a reasonable time awaiting instructions or a request for payment of postal insurance. If not received, the mailing postmaster will be requested to ascertain what disposition will be made of the package.

(g) Spoiled contents. When the contents of a package are spoiled, the postal employee will write on the receipt form the date and hour the package was received, the date and hour it was delivered to the addressee, whether the package was endorsed "Perishable," and any known cause of delay or improper handling.

(h) Examination of mail. The addressee or his representative may read and copy the name and address of the mailer from insured mail while it is in the possession of the postal employee. Examination of the contents may be made only after delivery has been made. § 162.6 Receipts.

(a) Unnumbered packages. Unnumbered packages will be delivered as ordinary mail.

(b) Numbered packages. Postal employees will take signed receipts for the delivery of numbered packages on the following forms:

(1) Form 3849, when delivery is made by carrier, and window delivery at firstand second-class offices.

(2) Form 3850, Form 3849, for window deliveries made at third- and fourthclass offices.

(a) Purpose. Customers may mail an article for which they have not been paid and have the price and the cost of the postage collected from the addressee when the article is delivered. This is collect-on-delivery or COD service. The amount collected is returned to the mailer by a postal money order. The fees for COD service include insurance against loss, rifling, or damage to the article and failure to receive the amount collected from the addressee.

(b) Mail which may be sent COD. First-, third-, and fourth-class matter may be sent as COD mail.

(c) Conditions. (1) The mail must bear the complete names and addresses of sender and addressee.

(2) Amount collected from the addressee will not exceed $200.

(3) The amount to be collected or the amount of insurance coverage desired, whichever is higher, determines the COD fee.

(4) The sender guarantees to pay any return postage unless otherwise specified on the mail.

(5) The goods shipped must have been ordered by the addressee.

(d) Prohibitions. COD service cannot be used for:

(1) Collection agency purposes.

(2) Return of merchandise about which some dissatisfaction has arisen, unless the new addressee has consented in advance to such return.

(3) Sending only bills or statements of indebtedness, even though the sender may establish that the addressee has agreed to collection in this manner. However, when a legitimate COD shipment consisting of merchandise, bill of lading, etc., is being mailed, the balance due on a past or anticipated transaction may be

included in the charges on a COD article, provided the addressee has consented in advance to such action.

(4) Parcels containing moving-picture films mailed by exhibitors to movingpicture manufacturers, distributors, or exchanges. Such parcels may be sent as insured mail, or, if sealed, by first-class registered mail.

(e) Restrictions on COD service to military installations. COD service is not available for articles having an APO or FPO designation as part of the address, including, official shipments and shipments to Armed Forces agencies.

(f) Service with U.S. possessions and territories. There is no COD service with the Canal Zone, or Canton Island. There is COD service to and from Majura, Marshall Islands; Saipan, Mariana Islands; and Ponape, Truk, Koror, and Yap, Caroline Islands. COD articles may be mailed from but not to Pago Pago Samoa.

(g) Additional services (1) Restricted Delivery. Restricted delivery may be obtained as set forth in § 165.3 of this chapter and by the payment of additional fees as provided in § 165.3(b). For circumstances under which Deliver to Addressee Only restricted delivery will not be furnished, see § 165.3(d) (1).

(2) Alteration of COD Charges or Designation of New Addressee. The sender of a COD package may alter the COD charges or direct delivery to a new addressee by filing a request with the postmaster at the office of mailing on Form 3818, Authorization to Change COD Charges or Addressee. The postmaster will send the directions to the office of delivery by telegram if the sender pays the costs.

(3) Notice to Sender. Senders desiring a notice of undelivered COD mail must request Form 3849-D Notice to Sender of Undelivered COD Mail, by endorsement on the address label. This request must appear conspicuously, directly under the return name and address of the sender, and separate from any other instructions, as follows:

FORM 3849-D REQUESTED

A mailer's request may include directions to send the notice to the mailer or to his representative. When the mailer's representative is designated, the representative's name and local or nearby address must be shown in a bordered space with instructions, reading: "Dc not deliver to mailer's designated representative without collecting COD charges," or "Deliver without collecting COD

charges to mailer's designated representative."

(4) Registered COD Mail. Sealed domestic mail of any class bearing postage at the first-class rate may be sent as registered COD mail. Such mail is hanIdled the same as other registered mail. The maximum amount of charges collectible on a parcel is $200, but additional indemnity may be obtained over $200 up to the regular registry limit of $10,000 by payment of a higher fee. Registered COD mail is subject to a handling charge applicable to other registered mail, except that the basis of the handling charge is the amount by which the declared actual value of the article exceeds the limit of liability covered by the fee paid. Envelopes used as covers must not be smaller than 4 x 73⁄4 inches.

(h) Delays in remittance. Mailers should be encouraged to report instances in which there has been undue delay in receiving money orders in payment for COD parcels. The mailer should normally receive payments within 45 days of the day of mailing. Delays in excess of 45 days should be reported to the local postal inspector-in-charge giving the date of mailing, parcel number, address of delivery, date payment was received, and the number and date on the payment money order. If payment has not been received, a claim should be submitted in accordance with Part 164 of this chapter.

[35 FR 19472, Dec. 23, 1970, as amended at 39 FR 27652, July 31, 1974]

remitted the postage and fee prepaid, the COD fee will be based on the total COD charges, which include the postage and fee.

[35 FR 19472, Dec. 23, 1970]

§ 163.3 Mailer printed tags.

(a) Approval. Many mailers use specially designed and privately printed COD tags which may offer advantages in processing economies or in advertising value. Such economies can often be realized by computer oriented firms when the computer can prepare the tag, develop the equivalent of Form 3877, Firm Mailing Book for Registered, Registered COD, and Certified Mail, and also routinely provide a numerical listing of all parcels returned by the Postal Service. Mailers desiring to print their own labels should consult printers capable of printing business forms meeting the requirements of these regulations. COD tags must be submitted to the Mail Classification Division, Washington, DC 20260 through the local postmaster for approval before printing.

(b) Basic tag requirements. (1) Tags may be similar in design to tags provided by the Postal Service, or may be of a multi-layer design if each layer fulfills the function of a part of the tag provided by the Postal Service. COD tags must meet the requirements of this section by July 1, 1975.

(2) Tags shall, as a minimum, contain the equivalent of Form 3816a-L, Tag for COD Articles, or Form 3816a-S, COD Card for Use on Sealed COD Parcels, provided by the Postal Service; i.e., the delivery office coupon, containing name and address of addressee and mailer, the charges and fees, space for postmarks, and space for the addressee's signature, space for the date of delivery, and space for the signature of the delivery employee and the delivery employee's coupon. A remittance coupon to be returned to the mailer with the money order, may also be included.

(3) To facilitate filing and retrieval at the delivery office, the delivery office coupon should be the approximate size of the Postal Service tag (min.: 3" x 3", max. 3.5" high x 4'') and have space for the COD article number at the top of the tag.

(4) Tags must be marked C.O.D.

conspicuously

(5) While all of the following parts are not required on each COD tag, the tags should be arranged in order of usage

from right to left (top to bottom in multi-layer versions) as follows: Mailer's receipt, mailing office's file copy, delivery employee's coupon, remittance coupon, delivery office coupon.

(6) Tags should be on card stock, Multi-layer forms may be on paper stock if the bottom copy is an extra copy (in addition to those listed in subparagraph (b)(1) of this section) which is firmly glued to the article. This is necessary to reduce the chance of loss resulting from a lightweight tag being torn off.

(7) The COD tag may incorporate an extra part to serve as an address label. This may be the bottom layer of a multilayer form or the extreme left section of a card-stock form. The address label shall be firmly attached to the parcel by glue or other means.

(8) To facilitate processing, mailers, if volume warrants, may be authorized by the postmaster to type or computer print mailed at with the date and place of mailing in the areas of the COD tag calling for a postmark of the mailing office.

(c) Nursery stock shipments. Firms mailing nursery stock may print special COD tags bearing instructions as to disposition of shipments that are not immediately delivered. These tags must contain a remittance coupon that will be returned with the money order. The following rules apply:

(1) If the sender does not desire to have the undeliverable parcel disposed of to the highest bidder, the sender's instructions on the back of the deliveryoffice portion of the COD tag (i), and on the remittance coupon (ii), should read:

(i) If addressee refuses to pay charges for any reason, deliver at once without collecting the charges. Notify sender at once if parcel is not delivered, and if no reply is received in 30 days, destroy parcel. See remittance coupon for further instructions.

(ii) Return this coupon with money order. If parcel is delivered without collection of charges, or is destroyed after 30 days, check disposition and send coupon to sender in penalty envelope. Delivered to addressee without collecting charges.

Destroyed after 30 days.

(2) If sender desires to have the undeliverable parcel disposed of to the highest bidder, the sender's instructions on the back of the delivery office portion

of the COD tag (i), and on the remittance coupon (ii), should read:

(i) If addressee refuses to pay charges for any reason, deliver at once without collecting the charges. Notify sender at once if parcel is not delivered, and if no reply is received in 30 days, sell to highest bidder and remit proceeds less commission. If sale cannot be made, destroy parcel. See remittance coupon for further instructions.

(ii) Return this coupon with money order. If parcel is delivered without collection of charges, is destroyed after 30 days, or is sold, check disposition and send coupon to sender in penalty envelope.

Delivered to addressee without collecting charges.

Destroyed after 30 days.

Sold for $___. Remittance, less commission, herewith.

[39 FR 27653, July 31, 1974]

§ 163.4 Mailing.

(a) Preparation for mailing. (1) COD articles will be identified by a number which the mailer will put on each section of the COD tag. The postmaster will assign a series of numbers using Form 3857, Assignment of Number Blocks for Registered, Insured, Certified, and COD Mail. The postmaster may authorize the mailer to usc customer order numbers or computer generated numbers when such numbers will not hinder the accepting office's procedures. The use of prefixes is discouraged, but not prohibited. The use of suffixes is not permitted.

(2) A COD tag must be securely affixed by the sender to each COD article. The tag must show article number, names and addresses of sender and addressee, amount due sender, and amount of money order fee necessary to make remittance. Stock tags are furnished by the post office without charge. There are two types of tags eyeletted for tying to parcels and one uneyeletted type for attaching by gummed tape. Specially printed COD tags approved by the Postal Service may also be used (see § 163.3 (b)). The eyeletted tag, Form 3816, COD Tag and Sender's Receipt, composed of delivery office coupon, delivering employee's coupon, mailing office record and the sender's receipt, is intended for use by customers mailing fewer than three articles at one time.

(3) The particulars required on the tag must be filled in by the sender with ink, ball-point pen, typewriter or com

puter printer. The Postal Service is not responsible for errors by senders in stating charges to be collected.

(4) When the COD remittance is to be sent to someone other than the actual mailer, the name and address of the person to whom the remittance is to be sent must appear in the proper spaces on the address side of the delivery office coupon. The name and address of the person to whom the remittance is to be paid must also be shown as sender on the COD parcel itself, together with directions for return if undeliverable.

(5) When COD parcels are addressed to distant points or to overseas domestic destinations, the mailer may, if he desires to expedite remittance, attach an addressed, prepaid airmail reply envelope to the back of the COD tag at time of mailing.

(6) Mailers of three or more parcels per mailing will present a listing (in duplicate) of parcels to be mailed at the time of mailing. The mailer may use Form 3877-A, Firm Mailing Book for Use in Acceptance of Insured, COD, and Certified Mail, which is provided to customers without charge or, when authorized by the postmaster, he may prepare typewritten or computer prepared listings which provide the equivalent data as the Form 3877-A.

(7) Mailers of fewer than three parcels per mailing may obtain receipts on the sender's receipt portion of the COD tag. The post office will acknowledge receipt by postmarking the sender's receipt.

(8) COD parcels will bear an address label in addition to the COD tag since the tags can be easily lost in transit. The address label may be printed as an additional part of the COD label in accordance with § 163.3(b) (7). The address label should identify the parcel as a COD parcel and should be firmly attached by glue or other means.

(b) Where to mail. COD parcels must be mailed at a post office, branch, or station, through a rural carrier, or at a personnel or nonpersonnel rural station or branch. They may not be placed in mail drops at post offices, nor in or on street mail boxes. They may not be left on, but may be placed in, rural mail boxes.

(c) Acceptance-(1) Individual Receipts for Mailing. A receipt is issued for each COD parcel mailed on one of the following forms:

(i) Sender's receipt coupon of COD tag, Form 3816, or specially printed COD tag.

(ii) Form 3877-A or specially printed firm mailing bills.

(iii) Recapitulation sheets or receipt portions of multiple forms specially printed by the mailers.

(2) Temporary Receipts. The postmaster may issue a temporary receipt when the number of articles presented for COD at one time warrants it. The permanent receipt will be issued as soon as possible.

(3) For Three or Fewer Parcels. Mailers of three or fewer parcels at a time shall be provided a receipt by postmarking the sender's receipt portion of the COD tag.

(4) Large COD Mailings. The following procedure for acceptance of large COD mailings may be followed for companies which regularly maintain a high degree of accuracy in preparing the mailing bill:

(i) Count the packages when they are received.

(ii) Check the count against the total number of packages listed on the mailing bill.

(iii) Receipt the mailing bill and return the original to the mailer if the count and the total number on the bill are the same. Retain a copy of the mailing bill.

(iv) Check a representative mailing once each week to verify that the correct postage and fees have been paid and that they have been properly recorded with the correct COD number on the mailing bill. For mailings of fewer than fifty pieces, the total mailing will be verified. In mailings of over fifty pieces, ten percent or 50, whichever is greater, should be verified. Discrepancies will be brought to the attention of the Postal Services Center. The Postal Services Center will determine if increased sampling or other corrective action is required.

(v) Issue a temporary receipt on Form 3824, Temporary Bulk Receipt, for the total number of packages received when the package count is not the same as the total on the mailing bill. Check the entire mailing as soon as possible to determine which listed packages have not been received. Correct the mailing bill and return it to the mailer.

(5) Postmarking. (i) Postmark the postage when stamps are used. Postmark the COD tag in the appropriate spaces.