Broker not paying!!

Discussion in 'Trucker Legal Advice' started by Msticlaru, May 5, 2009.

  1. Msticlaru

    Msticlaru Bobtail Member

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    Feb 22, 2009
    omak, wa
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    Hey guys, I have a pretty serious issue and I need some guidance. We have hauled for a broker 3 times now, this is my fault, i didnt check her cerdit score. I setup a factoring company a few weeks ago, and they wont take any PODS from her. She was due to pay use for 2 loads last week, I have been calling to ensure that she was going to pay. 30 days exactly from the day the POD was sent in, i called to see if she mailed payment. She said that she had not, but would in a few days.

    so a few days go by and i call her again. This time she says she will mail the checks out on the 30th of apr. by this point we had hauled 3 loads for her all in the last month and a few weeks. on the 30th , she said she would mail all 3 checks out on the 5th, she gave me a dollar amount this time, wich matched with my records.

    so i called her today.. she said she will mail out the checks on the 11th now. she gave me a check number, and the same amount, said she had the check right here, she just had to verify funds.


    **edit**

    wanted to add, the factoring company said that she has been reported for double booking and other types of bad business practice. Her MC# has been in operation for 2 years, so at some point she had to be paying people right?

    this is almost $10,000 and putting a SERIOUS damper on our ability to keep rolling. what steps can i take? This lady is an independent broker, she is the owner, the boss, the dispatcher etc. so i cant call her boss, i cant call anyone.

    you guys dealt with this? what do i do? i
     
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  3. Ridgerunner665

    Ridgerunner665 Road Train Member

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  4. 112racing

    112racing Road Train Member

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    pocono's, pa
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    File on her bond
     
    TequilaSunrise and elvia1223 Thank this.
  5. whoopNride

    whoopNride Road Train Member

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    Miss.
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    I have had brokers drag me out for 45 to 55 days in years past, luckily they all wound up paying me.

    I would probably give her a few more days, then tell her you are gona file on her bond.

    Learn from this. I am very careful who I deal with these days. If your factoring company will not factor them, DO NOT haul their freight.

    Good Luck!!!
     
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  6. javelinjeff

    javelinjeff Medium Load Member

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    victorville,ca
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    Now this is where some kind of "governmental oversight" is needed. any other kind of broker would be facing charges,have their license revoked,be subject to penalties,etc. Only in trucking is a broker allowed to lie,cheat and steal from a carrier or O/O and the "system" doesn't SLAM THEM DOWN HARD! What is it gonna take,,,some driver going postal and gunning down the entire staff at one of these "broker's offices" because they have failed to pay for services recieved and now the driver is losing his truck,insurance and home because he "waited patiently"!!! We shouldn't need to have "factoring companies" taking even more of the little slice of pie,,just to get paid!!! The law should be simple--if you cannot pay the carrier upon reciept of the signed BOL within 15 days,,you should not be allowed to have broker authority-PERIOD!---and by all means,,link their authority to their name,SSN and drivers license number so they cannot "reapply" in a different business name the following day after cheating carriers out of money. Like that guy in california was doing,,he must have went through 7 or 8 DBA's before he got caught,all the while guys were getting screwed on their loads left and right.
     
  7. southernpride

    southernpride Gone But Never Forgotten

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    orlando,fl
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    NOW A BROKER NOT PAYING YOU IS AN OLD COMMON PRACTICE now you can get your money if you have the guts to do it i have on several occasions. dont argue with the broker it falls on deaf eares , be nice , and load another load , take it down the road then stop, park the truck and call the broker , tell her that you have her load and you will deliver the load when you are paid all the money that is owed you encluding the load you now have , o she is going to pitch a fit but its legal she has to pay you, you cant sell it but you can hold it till your payed. just make sure you have paperwork to prove she owes you mony and how much she wont like it BUT SHE WILL PAY YOU and dont take a cheak unless its a com check. GOOD LUCK ------SOUTHERNPRIDE
     
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  8. BoostedTeg

    BoostedTeg Road Train Member

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    Boise ID
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    ^^^ Thats a good idea never thought somebody would do that.
     
  9. witchwaywest

    witchwaywest Medium Load Member

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    Monroe New York
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    It seems that some o/o's are happy to get a load and in their state of happiness they don't look at the broker agreement before they haul the the load.I can't say it enough.Research the broker and check the contract between the broker and shipper.Check your contract.That contract may release the shipper from liability if the broker doesn't pay you.So if the broker in the end does not pay you can go after the shipper or the consignee for payment but only if the contract does not rule this out.You can also go after the surety bond company but you may get far less than what was owed.For a little insight search OOIDA.When there,search,owner-operator-A guide to working with brokers.And yes I have been burned in the past.
     
  10. WannaDrive

    WannaDrive Bobtail Member

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    Apr 7, 2009
    Peterborough, Ontario
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    see, now that's using your head! good on ya!
     
  11. High Desert Dweller

    High Desert Dweller Medium Load Member

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    Exercising a lien on an interstate shipment is tricky, and can result in civil and criminal penalties if you don't know what your doing. You can only do it when there is a dispute over the load you are currently hauling:



    GENERAL INFORMATION REGARDING HOSTAGE LOAD SITUATIONS ON SHIPMENTS MOVING IN INTERSTATE COMMERCE

    A carrier has a lien on the property it is transporting for freight charges and any other charges lawfully incurred on that shipment. The lien is specific to that shipment, however, and does not extend to other shipments which have moved under other bills of lading. Thus, a carrier may withhold delivery of a shipment until all charges relative to that particular shipment are paid. The carrier may not, however, withhold delivery of one shipment to enforce the collection of past due freight charges on another shipment.
    When a carrier does hold one shipment hostage to force the payment of freight charges on another shipment, it arguably commits the following offenses:

    a. Conversion. As explained in Sigmon, Miller's Law of Freight Loss and Damage Claims (4th ed. 1974), p. 174:
    Conversion is an act of interference with the dominion or control over the property of another. Conversion may be committed by (1) acquiring possession of the goods with an intent to assert a right to them which is in fact adverse to that of the owner; (2) trans-ferring the goods in a manner which deprives the owner of control; (3) unreasonably withholding possession from one who has the right to it; * * *
    Generally, the shipper would have a private right of action against the carrier. The Federal Motor Carrier Safety Administration has no regulatory enforcement power against a carrier for conversion. The carrier may be held liable for damages, however, pursuant to Title, 49 U.S. Code, Section 14706.

    b. Providing transportation and service as required at Title 49, U.S. Code, Section 14101:
    A carrier providing transportation or service subject to jurisdiction under chapter 135 shall provide the transportation or service on reasonable request. In addition, a motor carrier shall provide safe and adequate service, equipment, and facilities.

    c. Theft of interstate freight. Pursuant to Title 18, U.S. Code, Section 659:
    Whoever embezzles, steals, or unlawfully takes, carries away, or conceals, or by fraud or deception obtains * * * with intent to convert to his own use any goods or chattels moving as or which are a part of or which constitute an interstate or foreign shipment of freight, express, or other property
    * * * Shall in each case be fined under this title or imprisoned not more than ten years, or both; but if the amount or value of such money, baggage, goods or chattels does not
    exceed $100, he shall be fined under this title or imprisoned not more than one year, or both.
     
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