Code 4: Shortage/damage/do not stock

2 min read

What is Deduction Code 4?

Code 4 is one of two shortage deduction codes that Kroger uses, with code 6 being the other shortage related code. Kroger imposes this deduction when they receive fewer cases than what they were billed for.

How to Prevent Valid Code 4's

Ensure that the number of units billed to Kroger for each item matches the number of units shipped to Kroger.

Ensure that you are billing for the correct unit type.

Ensure that the items you are billing for are the same items that you are shipping. The same product may have multiple UPCs depending on how it's packaged, so be sure that your invoice UPCs match your actual shipped UPCs.

How to Dispute Invalid Code 4's

Recommended Claim Type: SH - Shortage

Recommended Backup Documentation

  • Invoice

  • Signed Proof Of Delivery (POD) or Signed Bill of Lading (BOL)

  • A packing list document if it's not already on the above documentation

If you are a Prepaid shipper, then a signed proof of delivery at the Kroger warehouse will be required.

If you are a Collect shipper with Kroger picking the product up at your facility, then a signed Bill of Lading will be necessary to successfully dispute.

Kroger signed documentation may either note any shortages or overages on the document, or they may sign with a "Received Subject to Count" stamp. If this kind of stamp is on your signed document, then you should still dispute if you believe you shipped in full. They will either confirm that they received in full or follow up with a document stating a shortage or overage that they later found.

Related Resources

Written by The SupplyPike Team

About The SupplyPike Team

SupplyPike builds software to help retail suppliers fight deductions, meet compliance standards, and dig down to root cause issues in their supply chain.

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