A trucker who was awarded an $80 million judgement by a jury may be out of luck. According to a lawyer representing his former carrier, the company is “never going to be able to pay even a fraction” of the money.
Earlier this month, a trucker was awarded a total of $80 million by a Texas jury after suing his former carrier. Lauro Lozano was injured in an accident he caused when he fell asleep at the wheel in 2015. Since his boss had allegedly forced him to falsify his log books in order to get back on the road when he should have been sleeping, Lozano’s lawyers successfully argued that the company was responsible for the accident and Lozano’s injuries.
“This was a case where the plaintiff’s lawyer asked the jury to send out a message,” Hector Torres, a lawyer representing the carrier, told FreightWaves.
In sending that message, the jury awarded $5 million to Lozano for pain and suffering, and $75 million in punitive damages. While $80 million for pushing a driver to falsify his logs certainly sends a message, it’s not clear how the trucking company is supposed to pay the judgement.
In cases like this, trucking companies hardly ever pay out of their own pocket. Insurance will normally cover at least a portion of a judgement. But according to Torres, since the company has fewer than 20 trucks, even their insurance won’t come close to covering the “astronomical” total.
There are two likely options in this case. Either the two sides will come to a settlement that can be paid, or the company will declare bankruptcy. Neither scenario ends with anywhere close to $80 million in Lozano’s bank account.
Source: freightwaves, truckersreport
Jerry says
They should pay everything, go to jail, and be forced into bankruptcy and everything sold at an auction and proceeds go to the driver, plus all monies from the insurance will pay go to the driver also. This is a blatant total disrespect for public safety and driver safety. Also do not allow his unsafe boss to ever open up under another name for transportation. NO EXCUSE FOR THIS!!
TruckingMovesAmerica says
Except that the driver had a responsibility! That diver had a CHOICE! He chose to drive fatigued, HE chose to be unsafe! He could have gone to any number of tens of thousands of companies hiring drivers! Get a grip! Don’t think for one minute this isn’t coming out of your pocket in the end! I am not condoning the company, not by a long shot – but to think this guy played no part is naive and I’m sure not unprecedented. He could have turned the company in and they would have been fined tens of thousands of dollars. He had a responsibility to do the right thing and chose not to. Wonder why? Well, I’m sure it is because he benefited greatly from the high pay checks!! Money talks! It was all well and good to push the limit while his pockets were getting lined … but then, when his back was against the wall, let’s blame the carrier!
Dan Taylor says
Have you ever tried to turn a company in for something like that? It’s not as easy as it should be for sure. And yes I agree the driver definitely had responsibility. But I have been in that situation and know from experience it’s not as simple as someone on the outside might think.
Stormofthedragon says
Agreed. People are responsible for those own actions.
Abert says
Well I happy the company received a wake up call.I m confused how the driver was awarded so much.He chose to drive fatigued
Mitchell says
You hit the nail on the head.
phillip fisher says
I agree with you 100 percent the driver should have walked away
brucito says
I have been fired off of three jobs in my thirty-five year driving career because I refused to drive fatigued.
Matt Brown says
The driver has been “ FORCED” to drive illegally. What part of force you don’t understand?
Forced means against someone’s wills and possible retaliation if the demand is not met, including taking out ones life.
I don’t see driver doing anything wrong.
ChrisH says
The law states that we have a choice to either run legal or run outlaw. If we get caught it’s on us But what if you are asked to run outlaw and don’t want to or you’re exhausted how does the law protect us. You say no and then they treat you like crap they either leave you sitting not making any money or worse case scenario find a reason to terminate your employment. This sends a message to all smaller carriers.
Dominic says
This was not a criminal trial, it was a civil trial. There is no jail time in civil trials. And you can’t put someone in jail for not paying (unless the plaintiff can prove there was fraud such as hiding assets), but again that would require the DA deciding to prosecute in a criminal case of fraud. In the event of bankruptcy, generally speaking, there are others in line ahead of the plaintiff to divide the assets such as current payroll, taxes due. Depending on the jurisdiction, the plaintiff is ahead of creditors or in line behind them. Most businesses, if liquidated, cannot pay up to that point.
If there is insurance, the plaintiff is better to accept the maximum benefits of the policy and call it a day.
As for the owner’s personal assets, it depends on the structure of the business…whether it’s a sole proprietorship, a C corp, etc.
But generally those assets are protected and not able to be touched.
This is the sorry truth of going to court.
hoppie says
Dominick is correct the driver will get very little
William C Smith says
How ?
Steve Hughart says
I agree with you driver sale off the companies and pay the driver off you want to force your driver to run elligeal you need to go to jail
Clark Ward blasdel says
Exactly I totally agree with you the company should get out of paying nor should it be allowed to stay in operation.
Ed says
The driver deserves to be allotted what the company owes him there lucky forcing him to do this didn’t kill him or someone else
Erich E Whaples says
Sue Congress and the FMCSA their responsible for all this crap, especially since elds.
Buck says
HOS didn’t change because of eld. And he was on paper logs. Learn to read
Nemo says
Of course it isn’t the poor driver’s fault for falsifying his logs. They made him do it. It’s never the fault of the person that did the deed.
Timothy W Anderson says
They didn’t make him do anything. He succumbed under pressure. The company should be closed and the owner should never be allowed in trucking again. Dirty owner! Driver making bad decisions is a combination for death
Archie wilford Silva says
Quit passing the buck!!!! No one MADE him do it. He did it because he is stupid and dumb. DRIVER AT FAULT, COMPANY AT FAULT….
Roni says
I agree. However different cultures involved here. The company practically owns the drivers in many third world countries. Habits such as doing what the boss enforces follows into the US. Which again falls in the governments lap for allowing people on our roads who does not understand fully the road signs or speed limits etc. manydont speak English. FMCSA says it’s ok. Well, it’s not ok.
Scott says
The driver had the legal and moral obligation to refuse and would be protected for that decision
JEREMY HERRING says
‘Protected’ in the context that if they fired him for refusing to falsify his logs he could file a complaint and the FMCSA may charge the company for punitive retaliation against a whistleblower but then the driver wouldn’t be potentially $80 million richer. At most the gov’t would force the company to reinstate the driver but that’s hollow victory because who wants to driver for that sort of company anyways. But yes the driver did have a legal right and obligation which I’m surprised didn’t carry more weight or bearing in the case or else the defense was incompetent.
Steve says
In order to be a Whistle blower and turn them in to the FMCSA you have to have proof that the company told you to do this. Then you said no followed by the company pressuring you. Real life scenario is more like “hey Pedro hop in there and drive illegal”… “Oh no Mr. Johnson I can’t do that, it’s dangerous” end of conversation but Pedro goes from 3500 miles per week to 1000 yet nothing was illegal that can be proven. Had a company do it to me exactly like that. Can’t give you more miles because we’re afraid you won’t make it in time.
On another note, this driver was awarded 80 million therefore you give him everything that the company and company owner owns until that judgement is satisfied. Office, cars, trucks, trailers all of it should belong to that driver.
Brad says
Actually it’s more like ummm Pedro shouldn’t be in a truck if Pedro doesn’t know how to drive and stay awake be a TRUCK DRIVER!!!!!!!
That’s why they call TRUCK DRIVING !!!!!! If Pedro fell a sleep because Pedro is tirred we’ll pedro should of pulled over first! Have you ever met a real truck driver that wasn’t tirred?
Ummmm grow some balls learn how to drive and keep on trucking or get the &$&8 OUT!!!!!!
Far as the company you buy a shit load of trucks and pay the fuel ins taxes etc on 10 hrs a day. Plus pay the driver and workers comp etc.
this older gentleman told me one day what’s the difference between a truck driver and a b@tch? NOTHING lol we all do it.
Keep on trucking people .
80 million 😂 do your job like the rest of US!
SAMUEL GALLEZZO says
The FMCSA is a joke. STAA is a joke. I had a voice recording of my employer firing me for not falsifying hours of service. FMCSA said that the employer was going to fire me any way and there was no grounds for the case.
Parson Greene says
you must file a complaint with OSHA.
Under the Surface Transportation Act, within a specified
period of time, and this is called harassment.
Paul says
Lol Do you seriously believe what you wrote?? Lmfao! Keep dreaming because it’s doubtful that would happen even in a perfect world. There are lots of ways to get rid of a driver if he refused to falsify a log book… it’s all about money now… not safety!
Brad says
👍 your right!!!! A whole new ball game. Sad
Anyone says
That’s what you think. The company would’ve lied about everything. The burden of proof is on him.
L.A. Draper says
The attorneys took all that was available.
La Moody says
Then he should own that trucking company and be the first to be paid with them filling bankruptcy. Then the old owners should be put in jail.
Kirk Coft says
The only winners in these cases are the scum sucking lawyers. Had the same problem got fired for not running over hours and lying in my log book. Tried to sue my company for wrongful dismissal claim and got nothing no job lawyers want 10 grand up front from me to even hear about my case. Really?
AaronP says
Y’all saying this was the driver’s fault are pretty comfortable pontificating from behind a keyboard. Wage slavery is a reality for a lot of folks, and the pressure to keep a job is a real factor in making these decisions, and if he was a W2 employee he (obviously) has less say that if he’s 1099. Sure, he could have refused, gotten fired, sued, and take his chances with a 2-year settlement while still gambling on finding employment elsewhere, lawyers fees, etc.
“In cases like this, trucking companies hardly ever pay out of their own pocket. Insurance will normally cover at least a portion of a judgement. But according to Torres, since the company has fewer than 20 trucks, even their insurance won’t come close to covering the “astronomical” total.” What does the number of trucks have to do with coverage? OH, wait, a corner-cutting company purchases a corner-cutting policy, tell me another one!
Rufus says
It is his decision to not pull over and sleep, false logs or not.
bno says
The driver should have the option to take over the company or take a settlement with the company
Tommy Molnar says
Huge settlements like this are ridiculous! It’s like awarding two billion to the two who claim Roundup gave them cancer. They’ll never get it, and awarding them (or anyone else) this much money is pointless.
Alan says
It’s both the drivers and the companies fault. No company should ever push an employee to brake the law or work overtime without employees agreement by any means. And the same goes for an employee. He should have never agreed to that in the first place even if threatened by loosing his job. And secondly if you are tired and falling asleep behind the wheel stop and get some rest. Safety should always come first.
James says
This happens thousands of times a day, every day, all over the country. E-logs have helped a lot but can still be cheated. Technology is slowly catching up. My dispatcher can now see my location and speed in real time on her computer screen, she even knows if I’m wearing my seatbelt or not. But companies can still force drivers to work while being logged off-duty or logged in the sleeper. So technology still has a ways to go.
Augie says
It’s the driver responsibility to either accept or refuse a run as a professional driver you need to be alert at all the times no matter if you on duty or not .Regards to the company they need to pay the driver at least the five millions awarded even if this mean selling their properties and digging into their personal bank account,company need to be shutdown.
Cliff Clavin says
For future reference:If an employer threatens to terminate you if you don’t do something illegal, refuse and then take them to court.
Shawn Marcil says
He was never going to get 80 million anyway. He might have got 5 and the lawyers would have got the 75, LOL.
Mark Rosser says
Listen to you guys. Oh it’s the companies fault they should go bankrupt then jail. Blah blah blahhh. He should get overtime.
No wonder so many of you punch a clock. Sit and watch tv driving down the road with your bright lites on.
Real pillars of the trucking community here.
Cause that’s the way things go anymore. Never ever your fault always trying to pass the buck or big truck with your over geared under powered pos.
ROBERT says
Stop and take a rest break and abide by the law. Nobody’s above the law. You are the captain of your ship and you are are responsible to the general public to conduct yourself properly or lose your CDL. Just about Every trucking company wants you to do whatever you need to do to get the load delivered on time even if the load planner or boss is complacent. Not being in compliance is bad business for the industry as a whole. The driver in this case is as at fault as much as the boss. Get everything in writing. Tell your boss to text you their demands and don’t call them. Make them liable and don’t be stupid. Driving in Violation is just stupid. Companies like this should be shut down and drivers like this should lose their CDL for not being in compliance. 80 million might as well be 80 trillion.
T says
Your are absolutely correct. The company AND the individual or team are the two parts to the equation. The driver or team MUST stand their ground and refuse to run illegally or in an unsafe manner. I know people are afraid of losing their jobs…but you mighy lose your license, freedom, or YOUR LIFE if you don’t say “no” when you should.
Johnny says
With the ELD law in effect…. dispatchers on any company can NO LONGER push their drivers to falsify their drivers!! If you ain’t got no time on that clock, you can’t run!!
SAMUEL GALLEZZO says
What’s the name of the dang company?
Ed says
Moron
Joseph Brown says
In my personal opinion the majority of lawsuits these days are not settled by who’s right or wrong but instead whitch direction leads to the most money for the law firms if you don’t believe me check out the recent lawsuit Celadon was involved in concerning full rebates not to long ago!
Rodney Huhn says
Very well said and 100 % agreement.
T says
Ultimately, the end result would be the removal of a bad company from the industry. Unfortunately, business owners that have a lack of integrity in the first place…end up finding ways to go back in to business even AFTER bankruptcy. It’s a truly sad example of howmanipulated and disfunctional the transportation industry is, not unlike education or banking. It’s like an illness that never ends, it just mutates in to new bad symptoms.
Charles says
Its easy to see why truck drivers get screwed so hard in this industry. No comraderie. The problem is if he refused his recourse through the whistle blower complaint is a joke. Everything is setup against the driver.
Man says
Love how a company will say. I thought our driver’s ran a 1000 miles a day legal. We had no idea.
Paul burkett says
Back in the 70’s, when major lawsuits were becoming a new big thing, congress had an opportunity to put a cap on the maximum amount a company should have to pay for any offense, something like $10M. It didn’t happen and now we all suffer for this mistake. Greed, only my opinion.
Kenny says
Drivers have a choice. Just say I’m sorry I’m tired and put yourself in the sleeper. If I’m asked to go beyond my hours I say no. Enough is enough when you’re tired even if he only worked 50 hours if the driver is tired, SHUT IT DOWN! Ultimately, you are the boss out here and if the company doesn’t understand or fires you then they are not the place for you, PERIOD!
brucito says
“Hey, I’ve been fired before and I was looking for a job when I stumbled across this one” are words that have come out of my mouth three times over my driving career when I was fired for refusing to drive fatigued. Its sad people in an office tend not to understand driving isn’t as “relaxed” as they think it is.
Ron says
That’s how the rich get richer, and companies get away with things. “Loopholes ” ! The truckers, and others who work on the bottom get used again to get others on the top richer. It’s called Equal Justice for the rich only. I’ll bet the lawyers is getting his big cut first ! They guy gets what is left….if anything. It’s called “Padded” billable hours.
Marion D. Hunt says
How exactly do you force someone to falsify logs or drive tired? That driver deserved not a penny.
Grow some balls.
Jay says
It wasn’t me but another driver for a company I drove for in the ’80’s was told by our boss to make a delivery at 8:00 am the next morning. He told the boss he didn’t have enough hours to make it by then and was told he had to be there. Then he ask “how am I supposed to log that?”. The boss said: “I don’t care how you log it, just be there!”. I know it was true because I was standing right beside him and could hear both sides of the conversation. Ah, the good’ole days of trucking. Where did all the pay phones go?
Milton says
I was fired by a company because I refused to drive an unsafe truck they tried to make me drive. I called out DOT and had it put out of service. Of course NDL fired me, but who needs to work for an unsafe carrier? Pictures and DOT can be your friend at times. Don’t let any carrier force you to be unsafe. It’s not worth it.
Smakman says
It’s a ridiculous judgement. The driver was responsible. No company can “force” you to drive when you don’t want to. If you can’t drive safely, grow some balls and learn to say “No”.