Ecsrow Account?

Nfi does this,, they say it's in case you abandon a truck...I'm local!!!! Why in the heck would I abandon their truck with my personal vehicle at location everyday...go figure..

 

They should call it a "deposit" on the equipment in that case. I'm sure they know how many drivers this would dissuade from applying or moving further with the application process with a change of terms.

 

Carroll fulmer is the only company I've heard of doing that for company drivers

 

Carroll Fulmer takes 25 a week until you have handed over $750 dollars.

 

When I was flat bedding in the '70's, the company i drove for did this. They called it "equipment deposit". They took a minimum of 10$ a week, more if the driver wanted, to 250$.(more if the driver wanted) It was to cover the cost of chains, binders, tarps, and spare tires. They had a serious problem with some drivers selling these items. You had to turn in damaged or defective equipment to get new equipment; or a police report if you said it was stolen. Your balance was reported on you check stub. When you left the company, you were given your balance plus interest.

 

OK guys, read this.

When you 1099 someone under a contract, you can do this. It has to be the same as the carrier who leases a truck on having an escrow account to cover reoccurring costs that are the truck owner's responsibility.

The trick isn't having it in a seperate account, even though many banks will put the amount in an interest bearing account, it is that you can account for removing that money when there is a problem and providing proof you did for a specific driver reason.

I know of two owners who collect it as a "hiring access payment" - I kid you now that's what they call it - and pocket the money. That is illegal as far as I'm concern.

 

"It is a fundamental principle under US law that in order to create a valid escrow arrangement there must be a binding agreement between the parties, i.e. the grantor, the escrow holder, and the grantee."

[p. 334, The World Bank Legal Papers, Martinus Nijhoff Publishers, 2000]

There are 3 parts to an escrow- Grantor [the one who puts something up], the Depositary [the independent 3rd party who holds something in trust] and the Grantee [the one who receives the trust after previously established terms are fulfilled].

In the case of trucking, then the Grantor is also the Grantee when everything goes according to plan- the money put up in escrow is returned to the driver upon termination of employment or contract.

The fictional and entirely illegal arrangement that is common in trucking and wrongly termed "escrow" is where the Grantor [driver] pays money to the employer who serves as the Depositary and Grantee, and they often do not return the falsely termed "escrow".

For an escrow to be legal and valid, neither the Grantor or Grantee may have sole and unrestricted access to monies declared in "escrow". Also, by definition, neither the Grantor [driver] or Grantee [employer] can be the depositary- that invalidates the entire purpose of an escrow.

Any money an employer demands from a driver/contractor as terms for hire is a fee or deposit, not escrow.

 

You work for them you will never see that money again. If you polished that truck everyday and the bosses knob too, they will find some reason to keep it from you.

It is the sure sign of a crap company and I would run away as fast as I can.

 

You've never paid a deposit when you rented an apartment? You've never gotten all or some of a deposit back? For most, all they want is to get the truck back with no new damage, and all the equipment and electronics it was issued with such as DirectTv receiver, TV, fridge, etc, nothing more nothing less. If you really feel they would intentionally screw a driver out of a deposit, then you probably should not be working there anyway.

 

Landlords aren't half as shady is most trucking companies. And, their are many state and local rules concerning a landlords claim to your deposit. Not so with trucking companies at all.

Anyway, you looking for payback you know where your landlord's assets are. Lot of the seedy trucking companies are hard to trace down after they spend your deposit you just paid for a job!