Trucking: PAYMENTS, credit worthiness, contract carriers


Question
IS THERE AN ICC REGULATION WHEREIN IF THE SHIPPER DOES NOT PAY FOR THE TRANSPORTATION, THE ULTIMATE CONSIGNEE OR BENEFICIAL OWNER CAN BE HELD RESPONSIBLE FOR THE TRANSPORTATION CHARGES?

Answer
Andrew, the short answer is yes but it depends.
For a common carrier the Bill of Lading contract applies and can be executed with or without recourse.If the non recourse section is endorsed the carrier must either collect the freight charges before delivery or take a chance on the credit worthiness of the bill to party.  If not endorsed the carrier has recourse against the owner of the goods.
For contract carriers it all comes down to the terms of the contract between the carrier and the shipper. If the contract is silent the carrier probably has recourse.  Best advise is to contact an attorney if there is enough money involved.

Jim.