IBM Server Worth $1.4 Million Falls Off Forklift

[Dashken]

An IBM server worth $1.4 million was wrecked after it fell off a forklift during shipping. Now the customer is suing -- claiming that the computer maker failed to properly package the high-end business system.

Federal contractor T.R. Systems says its workers were moving the server from a freight truck into its warehouse in Alexandria, Va., when the mishap occurred. "The rear wheels of their forklift hit the raised surface at the entry door of the warehouse, causing the forklift to rock, and subsequently causing the server to rock," T.R. Systems says in court papers filed last month.

"As a result of the rocking motion, the base of the pallet and the crate broke and the crate fell onto the curb, damaging the server packed inside," the contractor states in papers filed in U.S. District Court in Alexandria, Va.

T.R. Systems claims IBM refused to take back the damaged server or send technicians to inspect or repair it. As a result, the company claims it was forced to purchase a replacement server from IBM following the October incident. The server was ultimately bound for T.R. Systems' customer the U.S. Patent and Trademark Office.

In its lawsuit, T.R. Systems claims its own clumsiness isn't to blame for the server's destruction. "The damages sustained by T.R. Systems was due to the poor workmanship and/or defective packaging design and methods used by IBM," the company argues in court papers.

T.R. Systems says IBM failed to pack the server into a palletized crate "that was strong enough to support the substantial height and weight of the server." Court papers do not specify an IBM server model number.

In a statement, IBM officials said "we will defend ourselves vigorously" in the case. The company declined to elaborate or discuss details of its shipping policies.

T.R. Systems is seeking damages in excess of $1.4 million.

Source: http://www.informationweek.com/share...leID=201802399

[Chai]

LOL! What a bizzare incident. Who's fault?

[Jeremy]

Should this be a single rack purchase loaded with $1.4M worth of servers, then it's safe to say the damn thing should weigh approximately a ton if not more. Last product my company sold worth $230K (2 Racks) has a combined weight of 800KG so you do the math.

[PsYkHoTiK]

Originally Posted by Chai

LOL! What a bizzare incident. Who's fault?

It would depend on shipping terms in the purchase contract. But if the customer sues that means it was FOB shipping point (sucks on their part but they will have to file a claim against the Warehouse or carrier - whoever's forklift that was) as transfer of ownership happened at the shipping point.

[peaz]

I don't this it's a racked server here you don't ship servers all pre-racked. no one does.

This should be a mainframe machine and looking at the price. it's either the entry level SystemZ or a SystemI (AS/400) server.

[Jeremy]

Originally Posted by peaz

I don't this it's a racked server here you don't ship servers all pre-racked. no one does.

This should be a mainframe machine and looking at the price. it's either the entry level SystemZ or a SystemI (AS/400) server.

Actually they do ship them pre-racked as HP and IBM has been offering pre-assembled options with their products for quite some time now. The last deal we made was alpha servers which comes fully assembled from the HD arrays, UPS to the power coupling modules. HP tags them so good you just go through your delivery order to ensure the parts are there.

[Adrian Wong]

Hmmm.. IMHO, the people in charge of delivery is at fault. I'm pretty sure IBM would have given them warnings or proper transportation instructions on the packaging. I think they are legally covered if they did so.

[peaz]

Originally Posted by Jeremy

Actually they do ship them pre-racked as HP and IBM has been offering pre-assembled options with their products for quite some time now. The last deal we made was alpha servers which comes fully assembled from the HD arrays, UPS to the power coupling modules. HP tags them so good you just go through your delivery order to ensure the parts are there.

Oh... my bad then.