Is this double brokering?

Discussion in 'Freight Broker Forum' started by Chinchilla, May 27, 2019.

  1. Mr.Lampshade

    Mr.Lampshade Bobtail Member

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    PGL, BTX, SEKO just to name a few, those are all freight forwarders. They dont post loads on the boards, they give them to Nolan & other brokers to do that part & deal with drivers/carriers. That is a legal act called co-brokering.

    If CHR posts on DAT & MC#123456 books with CHR & then calls their buddy & says heres a load for you & gives it to another MC#, that is an illegal act called double brokering. In this case, the 1st MC doesnt have a broker bond.

    It's rampant, just think about tradeshow loads you get from coyote, but you have to check into marshalling yard as PGL or another logistics company.
     
    Midwest Trucker Thanks this.
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  3. Avrakotos

    Avrakotos Medium Load Member

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    100% Illegal but happens fairly regularly in the SoCal market. There are about 5 brokerages in CA that pull from a list of 500 MC#s that they use to tender freight with Broker A, then repost it as broker B to then tender it to an unsuspecting carrier B who often never gets paid for the load. Broker B takes all of the money and Carrier B has to sue Broker A to get paid. Broker A is forced to pay twice. Very sticky situation that will cost you a customer and lots of money. Happened to us a few years ago for 30,000 bucks (we paid 60,000 to deliver 15 loads). Not fun.
     
  4. Avrakotos

    Avrakotos Medium Load Member

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    i could read your posts all day man this was great. What ever happened? i need to know!!
     
  5. Lite bug

    Lite bug Road Train Member

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    Landstar
     
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