Trucking: Shipper Contracts, carrier contracts, shipper


Question
Don,
Thanks for your advice and comments, they are truly helpful.
I have another question for you regarding carrier contracts.
How does a carrier deliver his contract to the shipper when using a broker? Does the broker fax it to the shipper or does the carrier deliver it. If I utilize a broker for a load from a load board then how do I do get my contract to the shipper?
Thanks in advance for your time and response  

Answer
You're welcome and I appreciate the questions.  The most common method of sending the contract is by faxing it to the broker and/or shipper.  There will usually be a "dispatch" faxed from the broker to you also.  It will give additional details about the shipment.  

When you find brokers and shippers that you'll use repeatedly, you can mail it to them and request they keep it on file.  Once that is done, most of the time all you'll need to do is reference it with a statement in an email that this offer is made in accordance with your file copy of Company XXXX's contract terms and agreement dated xx/xx/xxxx.  You can do the same with shippers that are not brokers.

A broker is required by statute to provide all the information about a shipment including the total amount to be paid for transporting it.  Most don't like to do that because they don't really want you to know how much their portion is.  Unfortunately, when you ask a broker for it they'll sometimes just not use your services, so it needs to be approached tactfully or not at all.  

Also, many brokers will have a clause in their contracts or dispatch that prohibits you from going back directly to a shipper that you've met though them.  It is referred to as BACK SOLICITATION.  This is to keep you from just going directly to the shipper and cutting them out of the loop on future shipments.  It is enforceable in court so keep you may want to watch for it in the fine print.  For example, it may read something like...

"Carrier agrees that...it...will not back solicit any business of any customer of Broker whom it...comes into contact with...or becomes aware of as a result of any shipments tendered to Carrier by Broker...during the term of this Agreement...Carrier shall not solicit directly or indirectly any customers, freight, or business of Broker..."

I hope this helps some.
Thanks again and good luck....
...Don