What should be in a contract ?

Discussion in 'Freight Broker Forum' started by areelius, Jul 29, 2013.

  1. areelius

    areelius Light Load Member

    270
    119
    Nov 9, 2012
    Temecula Ca
    0
    I am about to start finding my own loads through the loadboards. I would like some of you who find your own loads to please post a list of the most critical items that cover the carrier and prevent unforeseen trouble for us when things go wrong. Also , do brokers sometimes refuse to sign your contracts because you have the cards stacked in your favor too much ?
     
  2. Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.

  3. dannythetrucker

    dannythetrucker Road Train Member

    2,856
    4,032
    May 26, 2011
    everywhere, man
    0
    90% of brokers will send you virtually the same universal contract. I don't know how other guys do it but I generally scan through it quick to make sure there is nothing goofy and look for anything outside the norm and sign it pretty quickly. What I pay close attention to is the rate confirmations, this is where you would want to specify TONU rates, detention, make sure the item is described correctly, pickup and delivery times, max weight, etc... I take liberty to correct or add to the ratesheet as i deem necessary and communicate my changes to the broker when I return it.

    One problem I've had is some brokers do not like to put the pickup address and info on the ratesheet, they want you to sign it and then call in for the dispatch info. I used to play along, but anymore I will usually just let them find another truck if they can't send a ratesheet with info. I need to know what I'm agreeing to.

    Remember, if it was good business to go off of someones word or what they say in a phone conversation we wouldn't need rate confirmations to begin with. If they tell you it's under 45k then they should have no problem if you write 45k max on the ratesheet, if they tell you it loads quick then they should have no problem if you write in detention pay terms on the ratesheet, etc...
     
    379exhd and areelius Thank this.
  4. 379exhd

    379exhd Road Train Member

    2,925
    3,149
    Jun 25, 2012
    rolling through hell
    0
    Dannythetrucker had some good info on adding a few things in. Also they are pretty universal as well. One thing I read over religiously is in regards to pay. Broker has 30 days to pay me and then they have some stupid legal mumbo jumbo in there that states carrier cannot solicte the customer if the broker doesn't pay, cannot put a lien on anything yada yada. I've crossed that crap out more times than I can count. Would I recommend it nope. You will get a call in about a half hour that says "we don't like the fact that you crossed that out and wese you as a carrier because of that". 4 out of 5 brokers won't use you after that.

    Be aware the reason that's in the contract is because you as a carrier have the legal right to do that if the broker doesn't pay you. Which in turn is taking that right away from you which leaves that pesky bond the only way you can get paid. Keep that in mind. OOIDA has information about carrier agreements. I've talked to them and call them on agreements I have questions on. There are some one sided ones TQL begin the worst. Got one from guiltick or whatever out of Washington that went through the shredder when it said they were my agent and I was their agent.

    Remember NEVER solicte a customer. If they have more loads after you've hauled a brokered load. They usually want 15-30% of your earnings off that customer for a year complete bulls pit in my opinion. Crossing that out will do you no good and they won't use you after that.

    Keep in mind if you edit a carrier agreement date and initial any changes that are made. Its to the point where I read every page don't like it but sign it and fax it back anyway. Also keep in mind you want 1 maybe 2 brokers that can keep you moving and pay well. Having 50 brokers is a waste IMO. Get one or 2 and use them solely. If they're worth a darn they should be able to keep you moving wherever you're going and get you out. I don't like having all kinds of contracts and paperwork laying around its a lot easier to fill out a couple and keep on file than fill out 50 to keep on file less congestion and less chance of getting screwed over.
     
    areelius Thanks this.
  5. areelius

    areelius Light Load Member

    270
    119
    Nov 9, 2012
    Temecula Ca
    0
    Great info; Just what I was hoping to learn. So we the carriers don't have our own contract form made out for them to agree to. But we can edit and initial the one they supply as long as we know what we can get away with. OK I think I am ready to start doing this, thanks to you 379 and Danny the trucker.
     
  6. SamTheMan

    SamTheMan Light Load Member

    155
    69
    Jun 20, 2013
    0
    379 and Danny are correct....
     
    379exhd Thanks this.
  7. jbourque

    jbourque Heavy Load Member

    924
    553
    Oct 25, 2012
    south english iowa
    0
    brokers have always played the money game. years ago when you had to trip lease if you had any errors on your logs they would not pay,then when you sent back the corrected logs, they would send you a letter back saying they do not pay on altered logs. plus if you you did not send them back there signs $50.00 fine. my thoughts are you are paying them a percent of the rate to take care of all the details, they expect you to do your job why cant they do there job. be careful out there
     
    379exhd and areelius Thank this.
  8. DeltaKilo

    DeltaKilo Bobtail Member

    35
    16
    Oct 3, 2012
    Chicago, IL
    0
    Also a thing to know about rate confirmations is that they are binding contracts. If one of the parties fails to uphold the arrangement, then it is considered void. If something is off/not right in the confirmation, call the broker, discuss it, get it changed. If he fails to do so in a timely manner, then write it in yourself, fax it back and have them initial it. Cover yourself from all aspects.
     
  • Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.