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Rental Abatement

What is rental abatement?

Under some full-service contracts, you are credited for the time your railcars are out of service due to time in a shop for repairs that are GATX’s responsibility. GATX credits (abates) charges for the period that the railcar is out of service.

 

Does rental abatement begin when a railcar arrives at the shop?

The Master Contract and any applicable Riders define when and how rental abatements apply. In all cases, GATX must be advised of the reason for the repair or service prior to dispatching the railcar to the shop, including information on the last product carried in the railcar(s). This information is necessary to schedule service in a safe manner.

 

How is rental abatement administered with my monthly invoice?

Rental abatements appear as a credit on your monthly invoice. The invoice will display when each railcar was in the shop and the amount of abatement credited to your account.

 

Does the abatement apply if a railcar, for which the customer is responsible, is taken out of service for repairs?

Rental abatements do not apply to out-of-service railcars that are the responsibility of the customer. For an overview of the most common customer responsibilities, click here. Remember, the Master Contract and Riders clearly define the specific responsibilities that apply to each railcar(s).