1st Platinum Freight- Chicago

---------- Forwarded message ---------
From: KAT KORBEL <kathleenkorbel@gmail.com>
Date: Wed, May 28, 2025, 11:02 PM
Subject: Re: Tractor No. 148 & Trailer No.:H11273
To: <safety@1stplatinumfreight.com>, <accounting@1stplatinumfreight.co>, <logan@1stplatinumfreight.com>, Kristina Korbel <kristinakorbel5@gmail.com>
Cc: KAT KORBEL <kathleenkorbel@gmail.com>


Dear 1st Platinum Logistics Inc., Et al,
& Safety Department,

I Kathleen Renee Korbel-Smestad DBA Kathleen Korbel-Smestad Trucking LLC haven't received a settlement from May 12, 2025 to present date of May 23, 2025 and continuing. Furthermore, demand a copy of the lease agreement executed on May 12, 2025. Additionally, demand a 1099 Settlement of wages for (3) three deliveries and BOL’S submitted thus far from May 12, 2025 to present date of May 23, 2025 and continuing attached.
As you are all aware Tractor No.: 148 and Trailer No.:H11273 were put out of service on May 17, 2025 on the ELD in Tractor No.: 148 for multiple ELD pretrip and postrip FMCSA safety violations. Kathleen Korbel-Smestad was told by 1st Platinum Freight Inc., mechanics (Max) that Tractor No.:148 is being repaired but have never been contacted whether all necessary repairs were made as of May 23, 2025 which I sent him a detailed repair list for the above aforementioned tractor and trailer. Not to mention numerous emails to your safety department demanding a copy of our lease agreement executed between 1st Platinum Freight Inc., and Kathleen Renee Korbel-Smestad DBA Kathleen Korbel-Smestad Trucking LLC.
That being said, as an owner lease operator I have a right under Illinois Labor Laws, Truth-In-Leasing 1. Section 376.12(f) – Failure of the Motor Carrier to pay the Owner/Operator within 15 days.
Section 376.12(f) requires that the lease specify that payment to the lessor shall be made within fifteen (15) days after the submission of the necessary delivery documents and other paperwork concerning a trip in the service of the authorized carrier. 49 C.F.R. § 376.12(f). The statute also requires that the carrier adhere to and perform each provision, meaning the carrier is required to make payments to the lessor within fifteen (15) days after the necessary paperwork is submitted.
2. Section 376.12(g) – Failure of the Motor Carrier to provide copies of the Rated Freight Bill.

Section 376.12(g) requires that when “revenue is based on a percentage of the gross revenue for a shipment, the lease must specify that the authorized carrier will give the lessor, before or at the time of settlement, a copy of the rated freight bill or a computer-generated document containing the same information, or, in the case of contract carriers, any other form of documentation actually used for a shipment contained the same information that would appear on a rated freight bill.” 49 C.F.R. § 376.12(g). The statute continues, “Regardless of the method of compensation, the lease must permit lessor to examine copies of the carrier’s tariff or, in the case of contract carriers, other documents from which rates and charges are computed[.]”

This provision is crucial for an owner/operator because the owner/operator needs the rated freight bills in order to confirm that the rate it has been paid was correct. If you are working with a motor carrier that refuses to turn over complete rated freight bills or similar documents, then you are at a distinct disadvantage if you were to ever challenge the amount you were paid on a load. Do not delay on protecting your right to see the rated freight bills.

3. Section 376.12(h) – Failure of the Motor Carrier to provide documentation for deductions from the final settlement amount.

Section 376.12(h) provides: “The lease shall clearly specify all items that may be initially paid for by the authorized carrier, but ultimately deducted from the lessor’s compensation at the time of payment or settlement, together with a recitation as to how the amount of each item is to be computed. The lessor shall be afforded copies of those documents which are necessary to determine the validity of the charge.” 49 C.F.R. § 376.12(h). The “primary goal of this regulatory scheme is to prevent large carriers from taking advantage of individual owner-operators due to their weak bargaining position.” Owner-Operator Indep. Drivers ###’n, Inc. v. Swift Transp. Co., Inc. (AZ), 632 F.3d 1111, 1115 (9th Cir. 2011). “One way to ensure carriers do not take advantage of lessors is to mandate that carriers disclose the full costs that lessors will be obligated to pay up front. This prevents carriers from hiding fees until the charges have already been incurred and allows lessors to make informed decisions about where to seek products and services.” Swift, 632 F.3d at 1115. Section 376.12(h) imposes two disclosure requirements on the use of charge-backs in a motor carrier’s leasing agreements. Landstar, 622 F.3d at 1320. First, the motor carrier shall “clearly specify” in the lease “all items that may be initially paid for by the authorized carrier, but ultimately deducted from the lessor’s compensation at the time of payment or settlement, together with a recitation as to how the amount of each item is to be computed.” Id. Second, the motor carrier must also “afford [ ] copies of those documents [to the lessor] which are necessary to determine the validity of the charge.” Id.
4. Motor Carriers are liable to Owner/Operators for Attorney’s Fees if they are found to have violated the Truth-in-Leasing regulations.

Under 49 U.S.C. § 14704(e), prevailing plaintiffs in an action under 49 U.S.C. § 14704 are entitled to an award of attorney fees. This is also crucial for smaller owner/operators to know. No matter how small the mistake was, the motor carrier will be held liable for attorney’s fees if they failed to abide by the Truth-in-Leasing regulations.
In the event you don't send Kathleen Korbel-Smestad Trucking LLC and/or Kathleen Korbel-Smestad a copy of the lease, as promised to be sent via email to Kathleenkorbel@gmail.com and a settlement 1099 for loads delivered as owner operator lease I will be contacting FMCSA, Illinois Department of Labor, and OSHA for these matters to be investigated accordingly.
Please send the lease contract and the 1099 Settlement at your earliest convenience.
Please see (3) three attached loads to this email which were all delivered from May 12, 2025 to May 17, 2025. Furthermore, know I spoke to accounting, safety department, 1st Platinum Freight Inc., mechanics, dispatcher Warren, and newly assigned dispatcher GIO, and Logan the recruiter aka broker, regarding Tractor No. : 148 & Trailer No.:H11273 compromised ELD safety issues which were all recorded on the ELD, as well as submitted a detailed mechanic repair list to Max within the mechanic shop at 1st Platinum Freight Inc..

Thankyou.
Best regards,
Kathleen R. Korbel-Smestad