Need to Report Unauthorized Brokering?
On Wednesday, September 4th, the Federal Motor Carrier Safety Administration (FMCSA) announced the release of guidance concerning the implementation of certain provisions of the Moving Ahead for Progress in the 21st Century Act (MAP-21) pertaining to persons acting as brokers or a freight forwarder. As part of the guidance, the Agency states that any entity providing brokerage services is required to register for brokerage authority by October 1, 2013.
The Agency will continue to allow motor carriers to interline provided the originating carrier picks up and transports the load as part of a single continuous transportation movement under its own operating authority or the authority of the originating motor carrier.
Section 32919 of MAP-21, establishes a $10,000 fine per occurrence for those entities arranging transportation for compensation, which are not properly registered and licensed. Additionally, by placing this language into law, it affords private parties the ability to take action for themselves for unauthorized brokerage activities, without relying on the Federal Government.
FMCSA recommends that entities file complaints regarding unregistered brokerage activities through the National Consumer Compliant Database (http://nccdb.fmcsa.dot.gov), until a broad enforcement program is implemented.
