I'm going to start dispatching my truck here soon and I'm planning to use brokers starting out. I have some experience driving a truck and have researched rates and lanes, but I'm still very ignorant to the legal land mines that exist within these contracts. I'd greatly appreciate input from you businessmen with experience on the matter. I of course understand nothing here can be constituted as official legal advice and is only for entertainment purposes.
So far the primary things I know to look for are
1.Waiving rights to subrogation. Insurance won't cover you if they can't collect their money via subrogation.
2.Reasonable non compete clauses. Based on my research 1 year is the standard length of a non compete. Anything more is excessive and probably wouldn't hold up in court, but it's best to cross it out when signing the initial contract and replace with 1 year.
3.Waiving rights to collect debt from parties besides the brokers. Shippers can and should be held liable if their broker does not pay you. If you give up this right in the initial carrier set up packet you're putting yourself in real danger down the line.
4. In regards to all contract changes make sure to cross out any part of the contract that says any changes must be signed by both parties or any crossing out of aforementioned items could be irrelevant in court.
5.Any clause that nullifies your Motor carrier Tariff.
Which Brings me to my next question. Who here is using Tariff's? I'm so ignorant about them, but they seem fascinating.
Brief article about them here.
Secret Weapon in the Drawer? – The Motor Carrier Tariff | Dean & Fulkerson Law Firm
What all do you look for when setting up a new carrier packet?
Do you send them a contract of your own for them to sign with your charges?
EX. layover,detention,TONU etc...
@BoyWander ,@double yellow
Broker carrier agreements
Discussion in 'Ask An Owner Operator' started by Opendeckin, Jun 2, 2018.
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I don't deal with carrier packets or rate cons. I look over a rate con to make sure the load says what the broker described verbally and then email it over to the office to get signed.
Opendeckin Thanks this. -
BoyWander Thanks this.
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Get a lawyer to advise you.
redoctober83, ZVar and Opendeckin Thank this.
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