What makes choice a percentage program?

Exactly...

I'm no lawyer but something doesn't seem legal how a company can broker loads to themsevles and keep a huge cut, then after that cut take 65% out and then say to the ICs that 65% is of the linehaul of the load.

They are doing it currently by having Schneider logistics and Schneider national and heck there's Schneider finance!
Schneider finance always said to me they are a different company than Schneider national? Oh really now?
Are all the profits still headed in the same direction? That makes it to same company to me.

 

It makes perfect sense to divide into three divisions. It makes things better organized and manages liability. However, by writing an agreement which states an implies a certain division of revenue which is MARKET driven, and is really not, they could be found in violation of the agreement when the brokerage is also owned by the same people.
Let's look at what is happening in it's most simplistic form, THEY ARE TAKING YOUR MONEY!.

 

Tennman. You see what you did, you got my adrenalin going. Really!

 

Yeah wtf...
We get rusted pos TA9 trailers and they get ping pong tables!!!

Bring out the pitchforks!!!

 

what you don't get, Whipper, is that Schneider brokerage / logistics or whatever the heck it's called can post the rate for a given shipment regardless of what they're being paid!!! It is Schneider National that either accepts or rejects the rate. If Schneider accepts the rate, you, get 65% of that total plus FSC.
Here's how you gotta look at it........shipment pays $2.50 a mile over 2000 miles, or $5,000.
Schneider logistics posts the load at $2.00 a mile, or $4,000
Schneider Choice posts the load at $4,000 less 35%, or $2,600.
And it's all good. Schneider Choice is paying 65% of the load that they got off the Schneider board. Yeah, it's ugly, but it's not illegal; particularly when Schneider can show that they routinely make their freight available to the general marketplace. My point is this, Schneider Logistics can post the load for whatever they think they can get for it and Schneider (company) either picks or passes depending on equipment availability and rate; simple as that. And if Schneider passes, they either raise the rate or make the shipment available to the marketplace where it will disappear in seconds.

Here's another way of looking at it.............
You and I are at least 4-5 degrees of separation away from the available freight.
1. Schneider Logistics
2. Schneider National
3. Local / Regional DBL
4. Schneider Choice
5. You

In other words, we get the stuff that no one else wants. Like I said a couple of days ago, it's a dirty, dirty business.

 

They were hold with support shift but have now arrived!