Percent pay @ Landstar vs Schneider Choice

Before entering any lease agreement, whether with LS, Mercer, Schnieder or Big Bad Bill, you want to read and be familiar with http://www.fmcsa.dot.gov/rules-regulations/administration/fmcsr/fmcsrguidedetails.aspx?menukey=376 If any part of the agreement does not comply with these regs, you need to ask yourself what else the carrier is trying to hide or do illegally.
BTW, if you are willing to give up 3% of the money for only a few days difference in payment, you have some serious cash flow problems.

The only one out here to protect you, is you, not the carrier or broker. The leasing regs were written to protect you from bad carriers. Unfortunately, the best enforcement of these regs was done away with when the ICC was sunsetted. Now the civil courts are charged with enforcement.

 

That may be so. Regardless I take a dim view of any sort of government interference in my private affairs. A person either takes the 87% and gets paid weekly or they don't. That's what they agree to, 87%.. If they are willing to wait on the money they can, and get 3% more.. As long as everyone is happy no harm done...

 

That was in reference to Rollin Coal's post about "Private" contracts.

 

There's nothing shady or hidden from anyone at his company. I get original rate confirmations from the brokers. Everything is out in the open. As far as cash flow I could take a 6 month vacation not hitting a lick doing anything - I'm getting the extra 3%. As you know most o/o could not do that.

 

Bottom line is rate to the truck. Blue Star van drivers seem to be happy with $1.60. Let's just say my drivers would be gone if they even came close to that.

Re: the percentages mentioned. There is a difference between propaganda and actual rates (with the better LS agents). Most post at 18% and plenty people can chime in here that work the broker.com board. Call on the load and you will get more than posted if you are one of the better carriers. Do the reverse math and you will see it is more like 10%.

Then you have freight that comes to carriers before the BCOs. Hmmm, guess that is not mentioned in BCO orientation.

And wait a minute, what about the agents that prefer working with outside carriers? Plenty of them that call us (and Rollin everyday) with loads.

And then how many 100,000's loads not offered my LS. If a driver is stuck to a bunch of bad freight going outside does do a BCO much good after all the cuts.

But back to what is paid to the truck. My drivers make significantly more than what 100's of BCO's have told me they are making.

 

By the same token, I can make the same claim and prove it, when comparing my operation to many Independents. The one flaw many Independents seem to make when making comparisons is they want to compare their numbers to mine. This is truly apples to oranges. Independents are Motor Carriers and need to compare their numbers to other Motor Carriers, not some other Motor Carrier's leased operators.

 

Agreed.......

 

Contracts are private, however, they must comply with the laws. The contract between LS and I is considered "private", however there are laws governing that contract. The same with the contract between the company financing my trailer and I. The are laws that dictate how such contracts are to be written, what can and cannot be contained within them. The law does not allow the finance company to take my first born child, if I miss a payment, but it does allow for a late charge.