Signing Owner Op To My Company

Replace brokering with interlining.

You have to have had possession of the freight at some point or on your equipment(trailer)

 

If you own a tractor you need to have bobtail insurance, if you own a trailer it will be insured when you are not loaded. When you lease onto a carrier, they will provide insurance for your equipment and usually they take it out of your weekly settlement.

 

I've leased on several times and never had to pay GL myself. Everything the carrier needed me to pay was included in the percentage they were taking from the move.

I certainly hope that carrier is taking a much lower percentage off the rate instead of the usual 25 (or so) percent if they're breaking out and itemizing GL insurance separately to be paid by lessee.

Bobtail isn't really used anymore. NTL pretty much stands in for GL when not under dispatch. Anything else regardless of whether the truck is bobtailing or not is covered under the carrier's GL policy.

PD is just to replace the equipment. That's usually a separate fee not included usually. Is that what you're thinking of?

 

Years ago I was leased on to a small carrier as well as a large carrier. I have always had my own tags. I recall their insurance coming out or my settlements at a set fee every week. I had bobtail as they called it back then through the larger carrier, that was with the first truck i owned.

 

Interesting. What percentage were they taking off the runs?

 

The small carrier was 10% and got a check every week. The owner was a really good guy, I stayed with him until he retired. The large carrier was mileage pay.

 

Ten4. I appreciate the info.

 

Where in the bill is that?


Asking for a freind.

 

friend

Read it. Been in effect for 12 years. One of your 100's of attorneys should know.

 

Well my lawyers are clear about it, actually one of them. I have only one but his firm is a good size so ...

This is legal, MAP-21 didn't remove or forbide the practice I described. It is legal and has been because most medium and large carriers can not operate if it wasn't legal.

It is called interchange agreement, 49 USC § 13902.

Another thing some of you all seem not to get is the brokering issue, some use interlining as a blanket term, the MAP-21 elminiated what is only called convenience interlining which is also not what I am talking about.

Now what I have to do is to have a contractual agreement with another carrier and when I have a load to move that I can not move, it is an interchange. So I have to originate the BOL while the insurance of the other carrier covers the load for damages. Some insurance companies will not allow it but mine does.

If I was just going to be a broker - convenience interlining - then I would be running as a broker and this is where the problem is.

You can call BS on it but go talk to a good transportation lawyer and they will tell you the same thing I just did.