Convoy and CHR

Discussion in 'Freight Broker Forum' started by Dino soar, Nov 18, 2019.

  1. Dino soar

    Dino soar Road Train Member

    1,709
    2,705
    Dec 8, 2017
    0
    Well I signed up for Convoy today and I suppose it's standard but if you pull any trailers from them, or I guess their customers, you are responsible if anything happens to the tires, and I believe for any maintenance that's under $250.

    So as I am looking through CHR agreement terms, I see that within their agreement it says for you to waive your right to the regulation 371.3.

    Regulation 371.3 stipulates that if you are one party in a brokered agreement you are allowed to know what the broker got paid.

    Somebody can tell me if I'm wrong but isn't that federal law regulating interstate commerce?

    How do you force someone to waive the right to what federal law tells them they are allowed? Can you tell someone to wave the right of Freedom so they can be your slave forever? Can you tell someone to waive their rights so that you can just punch him in the face whenever you feel like it and they can never ever ever put the law against you?

    And I'm certain that every broker does the same thing. You waive your right to find out what they are being paid.

    Then why should the law even exist? What's the point?

    So I guess I'll see more and more of this type of thing as I get set up with more and more brokers.

    Now the fun begins...



    1. ROBINSON’S COMPENSATION
      Carrier shall not claim or demand, in whole or in part, broker’s commissions earned by Robinson on shipments tendered under this Contract. Robinson shall not be required to disclose the amount of its broker’s commission to Carrier, and Carrier expressly waives its right to receive and review information, including broker’s commission information, pursuant to 49 CFR §371.3.
    Convoy has the same clause in their agreement and I'm sure every other brokerage does too.
     
    Last edited: Nov 18, 2019
  2. truckdriver31

    truckdriver31 Road Train Member

    3,977
    3,985
    Sep 18, 2013
    0
    you are all ready a slave when you signed up for chr loads. chr has always been known for cheap freight. good luck
     
    Bean Jr. Thanks this.
  3. PPDCT

    PPDCT Road Train Member

    1,009
    1,990
    Jun 15, 2017
    St. Paul, MN
    0
    WRT 371.3, I went back and checked our contract. It does not appear that we currently have a clause to that effect. Not that it comes up, but there you go.
     
    truckdriver31 Thanks this.
  4. wichris

    wichris Road Train Member

    1,950
    1,569
    Jan 17, 2011
    0
    Look at it from the other side. Almost all contracts indemnify the customer from payment. Don't pay me and i go to your customer. Threaten to file suit? Have yet to be in court being sued by someone that did not pay me.
     
    Lite bug, truckdriver31 and PPDCT Thank this.
  5. Lyle H

    Lyle H Medium Load Member

    621
    968
    Apr 16, 2014
    0
    What does it matter what the broker makes?
    It should only matter what you make. That’s your side of being in business.
    Let’s say you don’t use a broker and find your own customer. Are you going to tell him what your profit is on that load?
    I didn’t think so.....
     
    dunchues, 86scotty and truckdriver31 Thank this.
  6. Lyle H

    Lyle H Medium Load Member

    621
    968
    Apr 16, 2014
    0
    Also 371.3 only says that the broker has to keep records of what he was paid.
    It doesn’t say he has to disclose that to you.
    Edit:
    I guess technically you have the right to review his records.....good luck with that.
     
    truckdriver31 Thanks this.
  7. Dino soar

    Dino soar Road Train Member

    1,709
    2,705
    Dec 8, 2017
    0
    It is true that it only matters what you make...

    However, if everyone knew what the Brokers were making on each load, the rates would probably be in a different place. That's why they don't want you to know.

    And irregardless of all of that, I find it interesting that that is I assume a law, that is designed to allow transparency in broker transactions, yet they can coerce you into waiving your right with no repercussions whatsoever.

    So it just makes me wonder why would that (law?) even exist?

    It's not the end of the world, but I just find that very interesting that it can work like that.
     
    Lite bug and truckdriver31 Thank this.
  8. wichris

    wichris Road Train Member

    1,950
    1,569
    Jan 17, 2011
    0
    A lot of these regulations were more relevant during the reign of the ICC. That changed to the OMC under the STB to the current FMCSA.
     
    Dino soar Thanks this.
  9. 86scotty

    86scotty Road Train Member

    1,095
    1,761
    Aug 27, 2017
    Appalachia
    0
    I doubt it, there would just be more independent truckers quitting in frustration. We all think we want to know what the broker makes on every load but really we don't. It would only frustrate us. It's up and down for carriers and brokers, give and take, highs and lows. That's the beauty of freedom, capitalism, negotiation.

    If you really want to know what the brokers are making then go get your own customers and then compare. I don't want to do that, personally.
     
  10. TallJoe

    TallJoe Road Train Member

    3,388
    4,657
    Apr 12, 2016
    Chicagoland
    0
    Regretfully, there is no way to fight those terms - I really would not be able to use, perhaps 90% of brokers, due to their terms and what the potential consequences could be, If I let my imagination run wild.
    In reality, you are just a little ant in the Universe. No elephant cares about a little ant's life. More or less.
     
    Dino soar and 86scotty Thank this.
  • Draft saved Draft deleted