Service Liability

BROKER STATEMENT:
CARRIER will be responsible for any charges imposed by a CUSTOMER that were caused by actions of the CARRIER, including charges for unreasonable delay.

OODCCO STATEMENT:
We've encountered these clauses in automotive contracts where carriers are held liable for the costs of lost production and idle employees if they cause a plant shutdown. These penalties can be exorbitant, sometimes reaching $10,000 per fifteen minutes. The key difference lies in the relationship: as a direct carrier, you likely have established routes and can potentially recover losses through future shipments. However, for a broker to impose such a burden on a single shipment carrier while retaining their profit margin is unfair.
OODCCO does not have any such requirement.