DIFOT is a compliance measure for supply execution, not a legal conclusion. Retailers often use it to trigger deductions when a shipment looks short, late, or both.
The headline phrase is stable, but the measure underneath can vary: order-level versus line-level scoring, gate-in time versus dock time, and different rules for split deliveries or substitutions.
When a DIFOT penalty appears, the first job is to check the scorecard line against your own PO, ASN, POD, booked window, and timestamp trail. That is evidence work, not abstract KPI debate.
Where to go from the definition
Claims Desk can review one redacted remittance and tell you which lines look supportable, missing proof, worth challenging, or Code risk. Evidence review only. Not legal advice.
Send one redacted remittance