U.S. Judges Back Legal Cap on USPS Presort Mail Discounts

The US Court of Appeals for the District of Columbia Circuit dismissed an attempt by USPS to overturn orders from the Postal Regulatory Commission to correct over-large discounts offered for presorted mail.

The regulator had said the discount being offered by USPS was greater than the cost-savings that the presorting activity provided it—thereby breaking US postal law.

Arguing its case, the Postal Service attempted to suggest that its legal restrictions on mail-sorting (workshare) discounts only apply to single-piece First Class Mail, and that presorted First Class Mail is a different product.