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About POGO's Federal Contractor Misconduct Database (FCMD)
The government awards contracts to companies with histories of misconduct such as contract fraud and environmental, ethics, and labor violations. In the absence of a centralized federal database listing instances of misconduct, the Project On Government Oversight (POGO) is providing such data. We believe that it will lead to improved contracting decisions and public access to information about how the government spends hundreds of billions of taxpayer money each year on goods and services. Report an instance of misconduct »
FedEx Corporation
Shubert v. Federal Express Corporation (Breach of Contract)
Date: 06/30/1999 (Date of Settlement)
Misconduct Type: Cost/Labor Mischarge
Enforcement Agency: Non-Governmental
Contracting Party: Non-Governmental
Court Type: Civil
Amount: Undisclosed
Disposition: Settlement
Synopsis: From 1996-1997, FedEx imposed a 2% fuel surcharge that was not dictated in their Service Guide. After one failed attempt to state a cause of action, the plaintiff succeeded in finding a cause of action under a charge of breach of contract. FedEx Corporation settled for an undisclosed refund in the form of coupons. The Illinois State Court found that there was sufficient evidence for a cause of action based on the tort of a breach of contract.
