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Deduction Library / MABD

MABD

MABD — Must Arrive By Date — is the date on the purchase order by which product must reach the retailer’s facility. A MABD deduction is a penalty or a related claim when the shipment misses that date. It is related to OTIF, but it is not the same thing. OTIF is a performance score. MABD is a date on a PO.

Why Retailers Assess It

The MABD is how the retailer plans inbound volume. Missing it breaks that plan. Some banners convert a missed MABD into an OTIF fail. Others take a separate late fee or refuse the load. Either way, the date on the PO is treated as a commitment, not a suggestion.

How to Validate

  • Read the MABD on the original PO and any change order. Dates move. Claims often use the first date, not the last agreed date.

  • Confirm what “arrive” means for that facility: gate-in, appointment, or receipt.

  • Compare transit time to the ship window the retailer left you. An impossible MABD is a different argument than a late truck.

  • Check whether the retailer delayed the appointment past the MABD and still deducted.

  • Tie the deduction to the specific PO. Do not accept a batch late fee with no PO list.

Documents You Typically Need

  • Purchase order and change orders showing MABD

  • Appointment request and confirmation

  • ASN, BOL, and carrier transit records

  • Gate-in or receipt timestamp

  • Any retailer notice that moved the date


* Additional documents may be needed depending on the retailer and claim type.

Common Causes

  • PO issued with a MABD the lead time could not meet

  • Production or inventory delay at the ship-from

  • Carrier transit failure

  • Appointment granted after the MABD

  • Change orders that updated quantity but not the date — or the reverse

Recovery Notes

Win MABD arguments with the PO trail and the clock definition. If you accepted an impossible date, prevention is the larger prize. If the retailer moved the appointment and kept the original MABD, that is a dispute. Do not fold MABD into a generic “late delivery” letter.
 

Related types: OTIF, Freight, Retail Compliance.

 

Related service: Audit 360

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