The Transportation Intermediaries Association is urging the Supreme Court to clarify conflicting court rulings on broker liability, citing an existential threat to small brokers. Two cases, including TQL vs. Cox, are at the forefront, challenging whether brokers can be held liable for accidents involving trucks they hire.

TQL, the second-largest brokerage, lost a case involving broker liability and is seeking Supreme Court review. Another case, Montgomery vs. Caribe Transport II, found C.H. Robinson protected from liability under the FAAAA. The TIA argues that the safety exemption should apply to motor carriers, not brokers.

The TIA is calling for Supreme Court clarification on the safety exemption of FAAAA. Conflicting interpretations of state regulatory powers over motor vehicles, including brokers, have caused legal uncertainty and lack of consensus. The TIA warns of a complex maze of regulations affecting brokers and shippers nationwide.

The TIA emphasizes the federal government’s role in ensuring carrier safety, arguing that brokers lack the resources to make those determinations. Legal uncertainty could lead brokers to avoid smaller carriers, hindering economic growth. Catastrophic liability risks create barriers to entering the brokerage market, impacting rates and services.

The Supreme Court is considering taking up cases related to broker liability and the FAAAA, including TQL vs. Cox and Montgomery vs. Caribe. The TIA expresses concerns about the potential impact on the brokerage sector, emphasizing the need for clarity to avoid regulatory chaos and maintain business operations.

Read more at Yahoo Finance: TQL-linked broker liability case threatens industry