Definition
OS&D stands for overage, shortage and damage. It is the term carriers, warehouses and brokers use for any difference between what the bill of lading says was shipped and what actually arrived: too many pieces, too few, or freight that is damaged.
- 01Freight arrivescounted and inspected
- 02Checked against the billshipped vs. received
- 03Difference foundoverage, shortage or damage
- 04Noted on the receiptbefore the receiver signs
Why it matters
An OS&D note on the delivery receipt is what makes a freight claim possible. If the receiver signs for a shipment clean and reports damage a week later, the carrier will usually deny it. The few minutes spent counting and inspecting at the dock decide who pays.
The three cases
Overage is more freight than the paperwork shows, often another shipper's pallet delivered by mistake. Shortage is fewer pieces than billed. Damage covers anything from a crushed carton to a pallet that shifted and broke in transit. Each one is written on the delivery receipt at the time of delivery, in specific words and with a count.
What to do when it happens
Note the exception on the delivery receipt before signing, take photos of the freight and the packaging, keep the damaged goods, and tell the broker or carrier the same day. Damage found after the driver has left is called concealed damage, and carriers give a short window to report it, commonly five business days.
Why it reaches the back office
The exception note shows up on the proof of delivery, so whoever handles the paperwork is often the first person at the broker to see it. A delivery receipt with a note on it should go to a person straight away, not into a folder. That is a judgment step: someone has to decide whether to file a claim, who is liable, and what to tell the customer.
A damage note on a delivery receipt should reach a person, fast. TIO's trucking agents pick up the proof of delivery when the carrier posts it and route exceptions to the team instead of filing them silently.
Learn more →Frequently asked questions
What does OS&D stand for?
Overage, shortage and damage. It is sometimes written OSD. Carriers and warehouses have OS&D departments that investigate and resolve these exceptions.
How long do you have to report freight damage?
Visible damage should be noted on the delivery receipt at delivery. For concealed damage, carriers commonly require notice within five business days. A formal claim generally must be filed within nine months of delivery.
Who is responsible for OS&D on an LTL shipment?
The carrier is generally liable for loss or damage while the freight is in its care, up to the limits in its tariff, unless it can show an exception such as improper packaging. The claim is filed by whoever owns the goods or has the right to claim.