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October 28, 2008 by admin.
As revealed previously, CHEP has permitted the uncontrolled dispersion of millions of its pallets in order to quickly penetrate the U.S. pallet market. This practice enables CHEP to cleverly shift its cost of collection and recovery onto pallet recyclers and retailers/distributors as the pallets accumulate downstream. Recent legal action has been initiated on behalf of the pallet recycling industry yet a much larger class of tens of thousands of retailers/distributors are still being forced to sort, segregate, and store pallets with no compensation for their services. (Few distributors have the clout or leverage to demand compensation from CHEP as demonstrated by Wal-Mart recently. )
We are investigating the activities of CHEP as related to its pallet retrieval tactics from downstream retailers and distributors who have no agreement to return pallets to CHEP. These businesses are often referred to as Non Participating Distributors. (NPD’s)
We have information and reason to believe that CHEP has enlisted, directed or influenced third party entities (pallet recyclers) to approach and collect CHEP marked pallets from these NPD’s.
If you were involved in CHEP’s white wood purchase program and were given a collection quota (verbal or written) for collecting CHEP marked pallets and/or were provided names or lists of NPD’s in order to collect CHEP marked pallets, we would like to hear from you. Any such information would be helpful. Please contact us using the feedback email form or leave a message at 479-650-3654.
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