Cargo Vans Who Run For More Than One Carrier: An Editorial

**x06col** · 01-11-2010, 08:20 PM

I started out with my company with the attitude that "we" (O/O/company) could cooperate and graduate with green pockets. However I soon learned that the prevailing attitude on the street was hurrah for me and screw you. I'm sure that attitude has not improved lately.

Case in point.... I encouraged folks to look for their own freight whenever they wanted to, but, it happened once in many years. I had no problem with an oo working with other carriers [until] i figgured out they don't know how to communicate. PERIOD!!!! A couple times i'd hook a great load for them (read I committed to it) called the oo and found out he was 300 miles toward delivery with the load he had on his truck. All said they "forgot" to call and advise me they were loaded. Naturally, like fast mentioned, I "forgot" to call them anymore. That's one of the reasons the Alliance was such a breath of fresh air for me. I had 4500 trucks available to me with 0 driver bull$hitt.

**greg334** · 01-11-2010, 08:35 PM

Well this is a good thread but it really doesn't mean much.

I don't think that the impact of multiple sources for van owners is the problem with lower rates but the overall competition within the industry itself has effected all of us to the point we are trying to seek answers within our small working space. Like this thread, we tend to look at things a bit myopic at times forgetting that we are not expediters exclusive to expediting freight but rather part of the bigger picture that encompasses a lot more. If this were the real case where vans had that kind of effect on rates, then the trucking industry on the whole would not see the same thing we are seeing - but they are. Many truckers I know are seeing bigger percentages of a drop than vans and straight trucks are seeing here on this side of Oz.

The bigger question is how do you lease with a company and then have a second lease? It makes no sense to run under multiple authorities when you can run under your own and not worry about the negative impact of some issues.

**jaminjim** · 01-11-2010, 08:49 PM

The bigger question is how do you lease with a company and then have a second lease?

I already asked, apparently it's a secret.

**greg334** · 01-11-2010, 08:51 PM

I know you have and yes it must be a secret like the secret regs that says a van is special.

**OntarioVanMan** · 01-11-2010, 09:00 PM

Originally Posted by jaminjim

The bigger question is how do you lease with a company and then have a second lease?

I already asked, apparently it's a secret.

Jim..you just sign on the dotted line...as many times as it takes...there is no secret...

**greg334** · 01-11-2010, 09:03 PM

OVM, I think the real problem is that there is an expectation of exclusive use of that vehicle - otherwise why even bother to operate under one's authority?

**OntarioVanMan** · 01-11-2010, 09:09 PM

Originally Posted by greg334

OVM, I think the real problem is that there is an expectation of exclusive use of that vehicle - otherwise why even bother to operate under one's authority?

Who expects exclusive use? In the beginning NLM demanded exclusive use..they've lowered the standard in the name of money...it is almost a dead horse now...

**jaminjim** · 01-11-2010, 09:30 PM

Originally Posted by OntarioVanMan

Who expects exclusive use? In the beginning NLM demanded exclusive use..they've lowered the standard in the name of money...it is almost a dead horse now...

Oh, oh I got this one. Most Carries want exclusive use.

**OntarioVanMan** · 01-11-2010, 09:35 PM

Originally Posted by jaminjim

Oh, oh I got this one. Most Carries want exclusive use.

Better check your info Jim.There was a time most did have exclusive but the biz is changing..very few do now...most carriers let you get your own loads and they double dip where possible...
Fedex is an exclusive use I know..E-1 is not..I can get my own loads..for a fee of course. It is all about the money...

**greg334** · 01-11-2010, 09:42 PM

Originally Posted by OntarioVanMan

Fedex is an exclusive use I know..E-1 is not..I can get my own loads..for a fee of course. It is all about the money...

So you redefined what a lease is?

E-1 is still exclusive use even if you get your own loads because you are running under their authority and paying a fee to do so. If they want to change the policy in the middle of the game, then you have a choice of leaving (breaking your lease) or doing what you are told. The key here is the acceptance percentage and in service time metrics and how it affects you when you decide to refuse work they offer and look for your own (or doesn't that mean anything at e-1 anymore?) - both are used to measure your performance while under contract.

**jaminjim** · 01-11-2010, 09:46 PM

Originally Posted by OntarioVanMan

Better check your info Jim.There was a time most did have exclusive but the biz is changing..very few do now...most carriers let you get your own loads and they double dip where possible...
Fedex is an exclusive use I know..E-1 is not..I can get my own loads..for a fee of course. It is all about the money...

You could be correct, but of the top six Carriers some will allow you to do a load on your own, I don't think they would be to happy if you tried to do 5 or 6 loads a month for them.

**Moot** · 01-11-2010, 09:56 PM

Exclusive use means one shipment, one truck or trailer. The shipper is paying for the privilege of having their freight as the only freight on that particular vehicle. Transferring the freight to meet HOS or for some other reason is a gray area.

Bottom line is if a shipper is paying a premium for dock to dock exclusive use as defined in the carrier's tariffs then that is exactly what it should be: dock to dock exclusive use. No double dipping.

**jaminjim** · 01-11-2010, 10:16 PM

Originally Posted by Moot

Exclusive use means one shipment, one truck or trailer. The shipper is paying for the privilege of having their freight as the only freight on that particular vehicle. Transferring the freight to meet HOS or for some other reason is a gray area.

Bottom line is if a shipper is paying a premium for dock to dock exclusive use as defined in the carrier's tariffs then that is exactly what it should be: dock to dock exclusive use. No double dipping.

You are correct, I'm misusing the term. What I'm referring to is the Carrier wants you to haul freight for them only, except on the 'rare' occasion when you are in a dead area. I'm pretty sure PII would cancel your lease if you were just trying to use their Authority.

**Jefferson3000** · 01-11-2010, 10:39 PM

I was always under the impression that by the very nature of the term "lease", it meant you had exclusive control over whatever was leased. Let's say you lease a Mercedes for your wife to drive. According to the lease agreement, that equipment (the car), should remain in your sole control for the duration of the lease. It is the same if I were to lease a truck to drive from Ryder or Penske. Wouldn't you be surprised if suddenly someone showed up to use the Mercedes you have leased for your wife. That person proceeds to inform you that Mercedes has multiple lease agreements for that vehicle. Someone is going to be quite unhappy.