The Supreme Court heard oral arguments March 4 in Montgomery v. Caribe Transport II on whether federal law preempts state negligent-selection claims against freight brokers who hire carriers that cause accidents, according to SCOTUSblog. Four circuit courts are split on whether the FAAAA's safety exception preserves those claims; a ruling is expected by late June and will determine whether brokers face liability exposure in all 50 states.
Operator takeaway
If your company brokers loads or arranges carrier services alongside towing, this ruling directly affects your liability exposure. If brokers lose, you need carrier-vetting documentation for every load you arrange. Watch for the decision by late June.