Hello, all. I was wondering if anyone could tell me why a freight brokerage wouldn't handle a liability claim. I tried Googling it but couldn't find anything useful but I might be wording my search wrong....I have a carrier that hit my customer's gate and my main office said the customer has to file the claim themselves. This is my first liability claim so I don't know if this is common with brokerages or what...Any feedback would be appreciated!
Liability Claims
Discussion in 'Freight Broker Forum' started by kgray520, Aug 28, 2024.
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If I understand the situation right. It’s between the carrier and customer.
The brokerage doesn’t want to give the idea that they are in any way responsible in case the claim is denied.
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These are always a little bit tricky. By law your brokerage likely isn't liable for property damage caused by the driver (or even cargo damage) unless explicitly spelled out in the contract, and most contracts are going to focus on cargo claims, not property damage. Your corporate office doesn't want to get involved because they want to avoid a scenario where the carrier doesn't pay and your customer goes after you, and you end up paying out of pocket for a mistake a driver made.
My two cents: I'd call your customer, explain that while cargo claims are often filed by the brokerage against the carrier on behalf of shippers, typically in the event of property damage the shipper/receiver goes after the carrier and their insurance directly. Let the customer know you will send them all the carrier contact & insurance information, and if for some reason his team has problems recovering to reach out to you and you will run it up the flag pole to see how you and your team can help resolve the issue. -
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