Subject: Protecting the Trucking Industry Through the Enforcement of 371.3
To whom it may concern,
I am writing to express my concerns regarding the current state of compliance with 371.3 and its impact on the trucking industry. To make my points clear and concise, I have organized them below:
The Distinction Between the Trucking and Brokerage Industries
The trucking industry is not synonymous with the brokerage industry. In 1980, it was widely understood that the trucking industry required protections to prevent its collapse, as such a collapse would have devastating effects on the U.S. economy. These protections were never intended to benefit brokers but rather to ensure the sustainability of motor carriers.
The Original Intent of 371.3
Section 371.3 was carefully crafted to safeguard the trucking industry and, specifically, motor carriers. The intent was clear: to create a framework that would prevent brokers from engaging in practices that could harm carriers.
Chronic Non-Compliance by Brokers
Brokers have historically failed to comply with the requirements of 371.3. Their complaints about the potential outcomes of compliance are therefore misplaced. It is noteworthy that these complaints are not based on actual hardships but on perceived ones.
Reinforcing the Intent of 371.3
The original intent of 371.3 was to protect motor carriers. However, due to the waivers that brokers routinely compel carriers to sign, these protections have never been fully realized. Rewarding brokers in their moment of defiance, by allowing continued waivers, would be both unfair and counterproductive to the survival of motor carriers.
Proposal: Make 371.3 Non-Waivable
To restore the intent and effectiveness of 371.3, I propose that this provision be made unwaivable. This would ensure that carriers receive the protections originally envisioned, without being undermined by contractual waivers.
Additional Comment
I can provide numerous examples of brokers attempting to exploit carriers by withholding payments or making false claims, such as alleging rate cuts or fabricated expenses incurred as a result of the carrier’s actions. These actions are precisely what 371.3 was designed to prevent. However, these protections are rendered meaningless when the provision is waivable.
This is one of many instances where brokers seek to sidestep their legal responsibilities, often at the expense of the motor carriers that these laws were designed to protect. I urge you to consider the detrimental effects of the forced waivability of 371.3 on the trucking industry and make this provision unwaivable. The trucking industry is already under significant financial strain, and this step would provide critical relief and support.
Thank you for your attention to this matter.
Sincerely,
Leander Richmond