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  7. Spotting
Operations

Spotting

Definition

The act of placing a railcar at a specific loading or unloading position at a customer's facility. A car is considered spotted when it is in position and available for the shipper's use. The date and time of spotting often marks the beginning of free time for demurrage purposes.

Related Terms

Pulling

The act of retrieving a loaded or empty car from a customer's facility after loading or unloading is complete. The shipper or consignee typically notifies the railroad when a car is ready to be pulled. Delays in pulling can result in congestion at customer facilities.

Actual Placement

The physical positioning of a railcar at a shipper's or consignee's loading or unloading spot, as opposed to constructive placement. Actual placement occurs when the car is in position and accessible for the customer's use. The date and time of actual placement is recorded and used to calculate demurrage.

Constructive Placement

A railroad industry practice where a car is deemed to have been placed at a customer facility for purposes of calculating free time, even though physical placement is not possible due to congestion or other conditions at the facility. Constructive placement notices are sent to the shipper or consignee to begin the demurrage clock. It protects railroads from liability for delays caused by customer-side congestion.

Demurrage

A charge assessed by a railroad against a shipper or consignee for detaining a railcar beyond the allowed free time at a loading or unloading facility. Demurrage incentivizes rapid car turnover and compensates the railroad for lost car utility. It is distinct from detention, which applies to equipment held at non-railroad locations.

Local Train

A train that serves individual customers along a branch line or industrial corridor, spotting empty cars and pulling loaded cars. Locals are typically the only rail service connecting small shippers to the broader network. They operate at lower speeds and cover fewer miles per day than through or intermodal trains.

More in Operations

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