What is the EDI 204 Motor Carrier Load Tender?

EDI 204 - Motor Carrier Load Tender

What is EDI 204? The EDI 204, also known as the Motor Carrier Load Tender, is a transaction set used specifically within the transportation and logistics industry. This document is communicated from a shipper to a motor carrier and serves as an offer for the carrier to move specific goods. Essentially, it’s a way for a company to formally request freight services from a trucking company or another motor carrier.

The EDI 204 format

The EDI 204 is designed to include all necessary details for tendering a load to a motor carrier. Specific details will vary depending on the implementation guide used by each trading party.

Here’s a general outline of the key segments typically found in an EDI 204 document:

B2: Beginning segment for carrier’s invoice

Marks the start of the load tender transaction and includes critical information like the shipment identification number and the carrier’s SCAC (Standard Carrier Alpha Code).



B2A: Set purpose

Indicates the purpose of the transaction set, such as a new load tender or an update to a previously tendered load.



L11: Business instructions and reference number

This includes various reference numbers and instructions related to the shipment, such as purchase order numbers or special instructions.



G62: Date/time

Specifies important dates and times related to the load tender, such as requested pickup date and time.



MS3: Interline information

Provides information about interline carriers (other carriers involved in the transportation of the shipment).

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N1: Name

Identifies parties involved in the shipment, such as the shipper, consignee and billing party, including names and addresses.

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S5: Stop-off details

Provides details about any stop-offs (intermediate stops between the initial ship and your delivery) required during the transport of the shipment.

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LX: Assigned number

Introduces a sequence or loop of details, often used before detailing specific shipment items or orders.

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L5: Marks and numbers description

Provides descriptions of the items being shipped, including any necessary marks and numbers for identification.



H3: Special handling instructions

Details any special handling instructions required for the shipment.

How is the EDI 204 used?

The EDI 204 transaction set is crucial for efficient and effective load management in the trucking and transportation industry, providing a standardized method for companies to communicate their shipping needs and for carriers to respond to those needs promptly.

Tendering a shipment:

The primary use of the EDI 204 is for a shipper to tender a load to a carrier. By sending this document, the shipper is essentially asking the carrier if they can pick up and deliver a shipment within specified parameters.

Response by the carrier:

Upon receiving an EDI 204, the carrier can accept the tender by sending back an EDI 990 (Response to a Load Tender) indicating their agreement to the terms, or they might send a counteroffer if adjustments are needed.

Operational efficiency:

The use of the EDI 204 and the automated exchange of this information helps streamline communication between shippers and carriers, reducing the time and potential errors associated with manual processes. It allows for quicker response times, better planning and more efficient use of transportation resources.

Documentation and compliance:

This transaction set also serves as a formal record of the freight tender, which can be important for compliance, auditing and dispute resolution purposes.

Benefits of using EDI 204 Motor Carrier Load Tender

Reduce data entry errors

Improves shipment planning for shippers and carriers.

Provides more accurate data in the Motor Carrier Freight Details and Invoice (EDI 210) and the Transportation Carrier Shipment Status Message (EDI 214).

Helps the carrier understand the requirements of the shipment and its associated costs.

Common issues regarding EDI 204

Shippers have specific requirements for the EDI 204 document and related workflow. Generally, carriers must send an EDI 990 (Response to a Load Tender) for each EDI 204 within a defined time period. The EDI 990 will indicate whether the carrier is accepting or declining the shipment. If the carrier accepts the shipment, then in most cases the carrier will also provide status updates using a 214 Shipment Status EDI message. Shippers generally expect carriers to access and respond to the EDI 204 quickly. Failure to do so can have negative effects on trading partner relationships.

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EDI 204 - Motor Carrier Load Tender