Risky Business Brokering

chillout

Administrator
Staff member
On Time Media Staff
A recent thread on EO reminded me that there could be misconceptions out there regarding brokering.

Specifically, is an Owner Operator hauling for a "Multi" brokering the load? The short answer should be "No"...the long answer....

FMCSA requires that anyone Brokering freight to have a specific Broker authority. A Broker contracts the freight from a shipper, then gives it to a Motor Carrier.

FMCSA Map-21 prohibits unauthorized rebrokering of freight with a hefty $10,000 fine per violation when caught.

To be clear, there are a handful of companies that have outside arrangements that allow rebrokering of freight to another Broker, but 95% of the time the Broker gives the freight directly to a Motor Carrier.

READ MORE...
 
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