21,600 Xbox 360s Lost in Train Derailment - Microsoft Sues DHL


21,600 Xbox 360s lost in train derailment
Monday, 13 October 2008 06:30

Microsoft sues DHL for the loss

DHL is at the center of the latest legal maneuvering by Microsoft, as DHL was entrusted to transport 21,600 Xbox 360 consoles, and the train that they were on derailed in Texas. The Xbox 360 consoles were en route from a Microsoft location in McAllen, Texas and then to the port in Long Beach, California before they were to reach their eventual destination of Hong Kong.

According to reports, Microsoft claims that due to the derailment many of the consoles sustained impact damage as well as becoming wet. Microsoft also claims that there was a considerable amount of pilfering from the shipment that occurred. Subcontractor Flextronics Industrial was the intended destination of the shipment.

Microsoft claims although the Xbox 360 consoles were insured, DHL is refusing to compensate the company for the loss. DHL is not commenting publicly on the ongoing dispute that has led to the legal action. Microsoft claims that DHL has “breached its duties as a common carrier, handler, bailee, warehouseman, and agent in other capabilities,” according to the court papers that Microsoft has filed.

While it is not clear if the consoles in this shipment were headed back to Flextronics for re-work or repair, several sources are telling us that this is the case. Still, the huge quantity of units lost is staggering no matter what the condition of the units was. However, what really is no surprise, is that Microsoft wants paid for the loss and that a large number of the consoles in the shipment turned up missing.

:eek: no comment.
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  1. UPS > FedEX > DHL

    Serves M$ right for being cheap :D

  2. but UPS does do better is not playing volleyball with your packages
  3. I worked at UPS for a while when I was going to school, there's no shortage of screwups there either. But all in all it's amazing that it all works so well. We'd process upwards of 8000 packages per day on our shift alone, with 3 shifts in all. Out of those 8000 maybe 50 would be missorts, packages that ended up in the wrong city. Around Christmas we'd do more than 15,000 per day, everyone hated Christmas.

    I learned a few things at that job,

    1. Unions can be ****.

    2. UPS drivers have a hard job, I was glad my responsibilty went only as far as put the package in the right spot on the car. Some days the trucks were loaded literally from floor to ceiling to the point where the doors would jam shut.

    3. Fragile stickers are worthless. 80% of the packages that go through UPS have fragile stickers on them, and at that point nobody cares. The only ones that were treated really well were the really expensive high value packages, everything else was just a box.

    4. Don't be surprised if your ShockWatch sticker is red when it arrives, people make a game out of hitting those. What can I say, if you're standing around at 3 am moving boxes you find ways of amusing yourself.
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