Broker Carrier Agreement
This Broker Carrier Agreement (the "Agreement") is made between Powerhaul Freightmovers ("Broker"), MC Number to be added, with its principal office at broker address to be added, and the motor carrier named in the signature section of this Agreement ("Carrier").
1. Broker
Broker is, or before tendering any shipment will be, registered with the Federal Motor Carrier Safety Administration ("FMCSA") as a property broker. Broker arranges transportation and does not take possession of, or perform the transportation of, any freight.
2. Carrier status and compliance
Carrier is a motor carrier with active operating authority from FMCSA. Carrier will comply with all federal, state and local laws that apply to its operations, including hours of service, drug and alcohol testing, electronic logging, vehicle inspection and maintenance, cargo securement and, where applicable, hazardous materials rules. Carrier will not operate with an Unsatisfactory safety rating. Carrier will tell Broker in writing within 24 hours of any change to its operating authority, insurance or safety rating.
3. Shipments and rate confirmations
Each shipment will be offered through a written rate confirmation ("Rate Confirmation") stating the rate, pickup and delivery details and any approved accessorial charges. Each Rate Confirmation, together with this Agreement, forms the contract for that shipment. If the two conflict, this Agreement controls except for the rate and shipment details in the Rate Confirmation. Broker is not obligated to offer any shipment and Carrier is not obligated to accept one.
4. Equipment and service
Carrier will supply clean, safe equipment in good repair that is suitable for the freight. For temperature controlled freight, Carrier will precool the trailer, keep the temperature stated on the Rate Confirmation and provide temperature records on request. For open deck freight, Carrier is responsible for proper securement and protection of the load.
5. No rebrokering
Carrier will transport every shipment itself, under its own operating authority, using its own drivers and equipment. Carrier will not rebroker, reassign, subcontract or interline any shipment. If Carrier breaks this section, Broker may end this Agreement immediately and has no obligation to pay any party other than Carrier.
6. Insurance
At its own expense, Carrier will keep in force with insurers rated A minus or better by A.M. Best, or otherwise acceptable to Broker:
- Auto liability of at least amount to be added combined single limit.
- Motor truck cargo coverage of at least amount to be added per shipment.
- Commercial general liability of at least amount to be added.
- Workers compensation as required by law.
Carrier's insurer will issue a certificate of insurance naming Powerhaul Freightmovers, broker address to be added, as certificate holder and will give Broker at least 30 days written notice before cancellation or material change. Carrier will tell Broker of any exclusions that could affect coverage of a shipment.
7. Payment
Carrier will invoice Broker for each shipment with the signed bill of lading or proof of delivery and the Rate Confirmation. Broker will pay undisputed invoices within number days of receiving complete paperwork. Any quick pay option and its fee will be stated in the Rate Confirmation. If Carrier has assigned its receivables to a factoring company and given Broker a notice of assignment, Broker will pay that company. Broker is solely responsible for paying Carrier, and Carrier will not seek payment from any shipper, consignor or consignee.
8. Accessorial charges
Detention, layover, truck ordered not used, lumper and other accessorial charges are payable only if approved in writing by Broker on the Rate Confirmation or in a written update before the charge is incurred, and supported by documents such as in and out times signed or recorded at the facility.
9. Cargo loss and damage
Carrier is liable for loss of, damage to or delay of freight from the time it is loaded until it is delivered, to the full extent provided by 49 U.S.C. Section 14706 (the Carmack Amendment), at the full actual value of the freight unless a different value is agreed in writing on the Rate Confirmation. Carrier will acknowledge a claim within 30 days and resolve it within 120 days of receipt. Broker may deduct from amounts owed to Carrier the value of any claim Carrier has accepted in writing.
10. Indemnity
Carrier will defend, indemnify and hold harmless Broker and Broker's customers from claims, losses, fines and expenses, including reasonable attorney fees, arising from Carrier's negligence, acts or omissions, breach of this Agreement or violation of law in performing services under it.
11. Independent contractor
Carrier is an independent contractor. Carrier has exclusive control of its drivers, employees and equipment and is solely responsible for their wages, taxes, benefits and conduct.
12. Customer protection
For number months after the last shipment under this Agreement, Carrier will not knowingly solicit or accept freight directly from any shipper, consignor or consignee that Carrier first served through Broker, on lanes first offered by Broker, without Broker's written consent.
13. Confidentiality
Each party will keep confidential the other party's rates, customer information and terms of this Agreement, except as required by law or to perform this Agreement.
14. Term and termination
This Agreement lasts one year from the date Carrier signs it and renews automatically for one year terms. Either party may end it on 30 days written notice, or immediately if the other party breaks it or Carrier loses its operating authority or required insurance. Both parties remain responsible for shipments already in progress.
15. Governing law
This Agreement is governed by the laws of the State of Texas and applicable federal law. Any dispute will be brought in the state or federal courts serving county to be added County, Texas.
16. Electronic signatures and records
The parties agree to sign this Agreement electronically under the Electronic Signatures in Global and National Commerce Act and the Texas Uniform Electronic Transactions Act. An electronic signature is as binding as a handwritten one. Records of this Agreement may be kept in electronic form.
17. Entire agreement
This Agreement and each Rate Confirmation are the full agreement between the parties and replace any earlier understandings. Changes must be in writing and signed by both parties. If any part of this Agreement is found unenforceable, the rest stays in effect. Failing to enforce a right is not a waiver of it.
Broker signature
Powerhaul Freightmovers
By: authorized signer
Title: title
Date: date
The Carrier signs electronically during carrier setup. The signer's name, title, signature, date and time are recorded with the submitted packet.