The TIA, in a formal petition for rulemaking to the agency, leaves little doubt as to the need for such a process: the fallout from Montgomery vs. Caribe Transport II and the door it opened to brokers being found liable for crashes and other incidents involving a carrier hired by the 3PL.
In light of the recent U.S. Supreme Court decision in Montgomery v. Caribe, it is now clear that brokers and shippers continue to face an untenable burden in attempting to evaluate, develop, and apply disparate methodologies and standards using potentially suspect data.
The TIA President Chris Burroughs disclosed the petition–which is not yet publicly available but was obtained by FreightWaves–in a post on LinkedIn.
In far too many cases, a carrier’s safety deficiencies are only revealed after a catastrophic incident has already occurred, highlighting the need for more effective safety standards and enforcement.
The oft-quoted number that ‘more than 90% of authorized motor carriers currently operate without an FMCSA safety rating’ is cited in the petition as evidence of the problem.
This number has been challenged as not fully capturing the amount of federal regulation, but it underscores the need for clearer guidelines and enforcement.
The TIA’s petition requests that FMCSA ‘promulgates a federal safety standard governing the use of federally licensed motor carriers’ to address this issue.
Even where a carrier falls under the 10% that has a safety rating, the TIA says that FMCSA data should not be used to draw conclusions about a motor carrier’s overall safety condition.
The lack of clarity around broker liability has led to increased uncertainty and risk for shippers and brokers, highlighting the need for more effective guidance from FMCSA.
The lack of clarity around broker liability has led to increased uncertainty and risk for shippers and brokers.
