Warning all leased O/O

Discussion in 'Ask An Owner Operator' started by PoleCrusher, Jun 8, 2021.

  1. jamespmack

    jamespmack Road Train Member

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    Sorry I dont have a better answer brother!
     
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  3. Rubber duck kw

    Rubber duck kw Road Train Member

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    I don't think anybody has a better answer for the brilliance that happens there.
     
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  4. Long FLD

    Long FLD Road Train Member

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    They have operating authority as a motor carrier so anyone on their authority is an independent contractor and would no longer be able to lease on to run under their authority under the PRO act.
     
  5. Cattleman84

    Cattleman84 Road Train Member

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    Correct me if I'm wrong but I believe landstar has an MC number... That means they are a trucking company... Therefore they are in the business of moving freight.
     
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  6. slow.rider

    slow.rider Road Train Member

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    The law does not prohibit all hiring of independent contractors. It only prohibits hiring them to do the same work you're already doing. So the question becomes "does having a DOT number equal moving freight?"

    Maybe a company can comply with the law by not having any company drivers. Which then begs the question: did the original LA drayage company which spurred the original law also have company drivers while it was mistreating it's 1099ers?
     
    Last edited: Jun 12, 2021
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  7. slow.rider

    slow.rider Road Train Member

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    .
     
    Last edited: Jun 12, 2021
  8. jamespmack

    jamespmack Road Train Member

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    Your right, and I did a less then stellar job typing what I meant.

    It would not effect brokerage. Yes it would effect them on transportation with leased owner ops.

    My bad, I'm not sure what I was thinking. Scratch that post.
     
  9. jamespmack

    jamespmack Road Train Member

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    I was 100% wrong in what I said. Idk were my thoughts were going with that

    My bad. You are right. And I know better.
     
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  10. PoleCrusher

    PoleCrusher Road Train Member

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    My stepson works in sales and logistics for a company in California, which it's main business is import/export, followed by warehousing, with trucking being the smallest part of the business.

    Even with trucking not being the main line of business, they still fell victim to AB5.

    They have always used contracted o/o. They are having all their truck owners get their own authority, then run their freight on open boards. A couple of them only drove a couple days a week, now they're being forced to run more than they want to pay the additional costs.
     
  11. MysticHZ

    MysticHZ Road Train Member

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    It wasn't upheld ... there was a stay granted pending litigation. The court lifted the stay allowing enforcement while in litigation.
     
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