Common disputes in moving freight
Cargo loss and damage claims are a regular source of litigation among shippers, carriers, and freight brokers. For interstate shipments by motor carrier, a federal statute generally governs carrier liability for cargo, and it often displaces claims a shipper might otherwise bring under state law. Disputes over freight charges, broker payment failures, and contracts for capacity or rates arise often as well. Accidents involving commercial vehicles raise injury and property damage claims, and the carrier, the driver, the broker, and the shipper may all be named. Rail, ocean, and air shipments follow different rules.
Documents and deadlines
Bills of lading, rate confirmations, tariffs, and broker-carrier agreements usually set the terms of liability and may limit the amount recoverable. They often also set deadlines for submitting a written cargo claim and for filing suit, and those deadlines can arrive sooner than people expect. After an accident, preserve electronic logging device data, telematics, dashcam footage, driver qualification files, and maintenance records, since these are requested early and some are overwritten automatically. Notice to insurers should go out promptly, and drivers should be told not to discuss the incident publicly or on social media.
Setting up the case
The first questions usually concern which legal framework applies, who the proper parties are, and whether the contract requires arbitration or a particular forum. For carriers and brokers, the ongoing relationship with the customer may matter as much as the dispute itself. In accident cases, the insurer's role and any involvement of federal safety regulators shape early decisions. Brokers can face state-law negligence claims over a carrier they selected, and the Supreme Court has held that federal law generally does not preempt those claims. Unpaid carriers can sometimes pursue a broker's surety bond, depending on the circumstances. Once we have the shipping documents or accident records, we identify the deadlines and discuss how to proceed.
