Originally published at: The broker standard of care after Montgomery - FreightWaves
What will be considered a reasonable amount of diligence when onboarding carriers?
One may not be able to tell what is reasonable amount of diligence but when you utilize carriers such as Super Ego its easy to argue you have utilized no diligence.
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At one time, contracts were done with a simple handshake and people had character/ integrity.. Now you literally have a book when it comes to certain contracts that need to be agreed upon. This is morality being legislated because of how far society has fallen. This is the new norm in the USA. Chameleon carriers exist because of lax enforcement and our very Government doesn’t want it because it would expose the elite class for who they are.. Remember DOGE? The stopped short of really exposing the money trail on a lot of people..
I’ve said it before many times, the courts for years have said “use reasonable care” in carrier selection. Guess what - nothing has changed except the Federal protection has been removed. Plaintiff’s bar has been using state laws for years to circumvent the Federal statutes and will continue to do so …