Stop signing this stupid Sh...stuff

Discussion in 'Freight Broker Forum' started by ttnae, Jan 4, 2020.

  1. ttnae

    ttnae Bobtail Member

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    If you just rush through and sign agreements without negotiations, then you are the problem in this issue. Brokers want to be in the middle of this but they want zero accountability. They want everything hung in the head of the carriers. INCLUDING THEIR ATTORNEY FEES. People if you do not cover yourself before you haul the load, you will not be covered in the event of an issue.

    For everyone good, read what you are signing and understand what it means.


    I just got accused, by a broker, of trying to avoid our responsibilities as a carrier because I crossed out the following on their contract:


    1.3 Waiver of Rights. Carrier shall, notwithstanding any other terms of this agreement, expressly waive all rights and remedies under Title 49 U.S.C., Subtitle IV, Part B to the extent they conflict with this Agreement.

    - - - - - - -
    7. INDEMNIFICATION. CARRIER WILL INDEMNIFY, DEFEND AND HOLD HARMLESS BROKER, ITS AFFILIATES AND ITS CUSTOMERS (AS INTENDED THIRD PARTY BENEFICIARIES) FROM ANY AND AGAINST ALL LOSSES (as defined below) ARISING OUT OF OR IN CONNECTION WITH THE TRANSPORTATION SERVICES PROVIDED UNDER THIS CONTRACT, INCLUDING THE LOADING,UNLOADING, HANDLING, TRANSPORTATION, POSSESSION, CUSTODY, USE OR MAINTENANCE OF CARGO OR EQUIPMENT OR PERFORMANCE OF THIS CONTRACT (INCLUDING BREACH HEREOF) BY CARRIER OR ANY CARRIER REPRESENTATIVE. CARRIER’S OBLIGATION TO INDEMNIFY AND DEFEND SHALL NOT BE AFFECTED BY ALLEGED NEGLIGENCE OR WILLFUL MISCONDUCT OF BROKER, ITS AFFILIATES OR CUSTOMERS. IT IS THE INTENT OF THE PARTIES THAT THIS PROVISION BE CONSTRUED TO PROVIDE INDEMNIFICATION TO BROKER, ITS AFFILIATES AND CUSTOMERS TO THE MAXIMUM EXTENT PERMITTED BY LAW. IF THIS PROVISION IS FOUND IN ANY WAY TO BE OVERBROAD, IT IS THE PARTIES INTENT THAT THIS PROVISION BE ENFORCED TO ALLOW INDEMNIFICATION TO THE MAXIMUM EXTENT PERMISSIBLE. “Losses” mean any and all losses, liabilities, obligations, personal injury, bodily injury, property damage, loss or theft of property, damages, penalties, actions, causes of action, claims, suits, demands, costs and expenses of any nature whatsoever, including reasonable attorneys’ and paralegals’ fees and other costs of defense, investigation and settlement, costs of containment, cleanup and remediation of spills, releases or other environmental contamination and costs of enforcement of indemnity obligations.

    What if their hilo driver runs over my driver, or smashes into the cab of my truck(This has happened).

    -------------------

    If you are not careful, this one below can exceed the limits of your insurance and make you or your company personally liable: First you waive your carmack amendment rights then you agree to this and BOOM, you're out of business when there is an issue. Carmack covers the product as an investment and that amount only. Don't agree to anything more. It's not their freight anyway. It is the freight of the customer. Also, IF they had trucks, THEY wouldn't agree to these terms.

    8.Carrier’s Cargo Liability. Carrier assumes full liability for the greater of replacement cost, Shipper’s/ Consignor’s commercial invoice
    or market value for loss, damage or destruction of any and all goods or property tendered to Carrier by Broker, and for the full course of carriage. Carrier shall inspect each load at the time it is tendered to Carrier to assure its condition. If Carrier is tendered a load which is not in suitable condition, it shall notify Broker, immediately. Cargo which has been tendered to Carrier intact and released by Carrier in a damaged condition, or lost or destroyed subsequent to such tender to Carrier, shall be conclusively presumed to have been lost, damaged or destroyed by Carrier unless Carrier can establish otherwise by clear and convincing evidence. Deliveries with broker seals shall be rejected and declared a total loss for which the Carrier is held responsible.

    Carrier shall either pay Broker directly or allow Broker to deduct from the amount Broker owes Carrier, the amount of Customer’s full actual loss. Carrier agrees that it will assert no lien against cargo

    Be careful of "Full Actual Loss". This too can exceed your insurance limits.
     
  2. Bakerman

    Bakerman Road Train Member

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    How would you hold the broker liable if a forklift driver runs into the side of your truck?
    I would file a claim with the shipper.
     
  3. ttnae

    ttnae Bobtail Member

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    I would not. The problem is that they are asking that their customers be shielded as well. While this may not seem like a big deal, if something were to happen and you ended up in court after signing this, you would have no protection. I've had many conversations with many a broker about this and I always ask them what's wrong with the car Mac amendment. None of them can answer they just insist on having all of these additional unnecessary statements.
     
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  4. Dino soar

    Dino soar Road Train Member

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    Do you have any problem finding Brokers that you can work for if you are crossing these out all the time?
     
  5. ttnae

    ttnae Bobtail Member

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    I am not picky on these for the sake of being difficult. I am currently being sued in Florida for an MRI machine that was damaged by the rigging company. The broker hired the rigging company and assisted with the loading. The broker re broker to another broker had been broken it to us. Everyone refused to declare a value and this was in writing. Even though we did everything correctly we are now over $15000 in attorneys fees just fighting this stupid claim. O and I forget to mention, they paid 230 something $1000 for this used MRI machine and they're asking for 600000. The car Mac amendment clearly prohibits this. If you read the portion about market value you'll see that they might pay or it might cost them $50000 to produce something but they might be selling it for 300000. If you agree to those terms that you're liable for the $300000 possibly even if they did not declare a value. This is why I'm so terribly picky on the stuff.
     
  6. x1Heavy

    x1Heavy Road Train Member

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    New MRI machines are in the millions. A new 3 telsa MRI machine is about 3 million.

    I spent almost a hour and half in one was billed a cool 16000 dollars for the time. Since spouse worked for hosptial they tore the bill up in our presence and tossed it into the waste basket.

    I would find it very difficult to put something on my fifth wheel in which I am defenseless against the loss value of such. And it's routine for me to haul high dollar pharmacy.
     
  7. Bakerman

    Bakerman Road Train Member

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    Why are you out atty fees?
    Where is your Ins. co. in all this?
     
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  8. mover man

    mover man Road Train Member

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    Where did you get these figures from? I deliver medical equipment MRI and pet scans are my main bread and butter. I know the cost of these machines in including shipping from Germany, the Netherlands, is real, Michigan, and Wisconsin. 3 mil is not even sorta kinda almost close.
     
  9. Opus

    Opus Road Train Member

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    Who needs all that ####
     
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  10. TallJoe

    TallJoe Road Train Member

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    I agree 100% that these contracts are rigged against carriers. I've seen these mischievous, full of traps paragraphs many times myself.
    I would not be surprised to find out that only 25% of all independents even read these before signing.
    Maybe that's because there is no time for that, there is that load to be picked and when you start arguing with the broker over every paragraph, they will sure give it someone else.
    That's no excuse but this is how it works in real life.
    I wish there was some universal transportation law surpassing all of these little deceitful contracts.
     
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