phantom freight
Defined in 1 dictionary — Case Law
Definitions from Case Law
From 324 U.S. 726 - Corn Products Refining Co. v. Federal Trade Commission · 1945Most cited · 624 citing opinions
there is included in the delivered price on shipments from Kansas City an amount of 'freight' which usually does not correspond to freight actually paid by petitioners. When the actual freight is the lesser of the two, petitioners charge and collect unearned or phantom freight; when it is the greater, petitioners absorb the excess freight, which they pay, but do not include in the computation of their delivered price.