Client brokering without broker authority?

Discussion in 'Freight Broker Forum' started by Ben Grinev, May 18, 2017.

  1. Ben Grinev

    Ben Grinev Light Load Member

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    Feb 8, 2016
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    So my client's customer (who buys their product) pays them a certain amount to make a delivery, lets say $2500. Then they give the load to another broker for $1000, won't that be considered brokering freight, but without the authority?
     
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  3. TallJoe

    TallJoe Road Train Member

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    Le'ts see;
    A is your client
    B is a client customer
    C. is a broker.

    B - has manufactured/acquired a product;
    A - who buys the product from B agreed that it would cover shipping costs in the amount of 2500 USD
    A - does not have neither carriers authority nor broker's authority, yet it assigns the task to a broker C and pays 1000
    C - does what they it's paid for,

    My Conclusion: No. A is not brokering.
    Explanation: The final assignment/arrangement with a carrier (You) is made by C who has the authority, not A; The shipping costs can be delegated from B to A; and A can decide how to manage the 2500 USD

    But you know, I am not a lawyer;
    my my truck is under repairs right now,
    its raining outside and I am typing this BS out of boredom.
    Ha ha ha!
     
    Last edited: May 19, 2017
    chozenwoman, Ben Grinev and gentran Thank this.
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