C.H. Robinson loses U.S. Supreme Court bid in negligence lawsuit

[Mike]

The Supreme Court of the United States has denied C.H. Robinson’s petition to hear its case, allowing negligence claims in a crash lawsuit against the broker to continue.

On Monday, June 27, the U.S. Supreme Court declined to hear a case against C.H. Robinson that was filed by Allen Miller in 2017. The lawsuit makes arguments regarding federal preemptions under the Federal Aviation Administration Authorization Act of 1994 (F4A).

A truck hired by C.H. Robinson to haul freight for Costco struck Miller, causing him to be a quadriplegic. Miller’s complaint named the broker as a defendant, claiming it breached its “duty to select a competent contractor to transport.”

C.H. Robinson loses U.S. Supreme Court bid in negligence lawsuit

The Supreme Court declined to hear C.H. Robinson's negligence lawsuit, paving the way for brokers to be held liable for contracted carriers.

landline.media

 

[Mike]

So, that battle is over I guess. Brokers can officially be sued when a carrier has an accident. This may make it a little more difficult for new carriers to find brokers to work with when they are starting out.

 

[Hammer166]

So, that battle is over I guess. Brokers can officially be sued when a carrier has an accident. This may make it a little more difficult for new carriers to find brokers to work with when they are starting out.

I don't know how bad it is in the general freight segment, but a huge percentage of new entrants into the carhaul segment aren't qualified to haul a lawnmower in a pickup bed.

While it's ridiculous to hold a broker liable for using a carrier that is legally entitled to operate, putting the fear of God into the brokers using these shoestring idiots isn't going to hurt the industry as a whole.

 

[Mike]

putting the fear of God into the brokers using these shoestring idiots isn't going to hurt the industry as a whole.

Unless more of them adopt the business model of requiring inspections before accepting you as a carrier. I've had my authority since 2017 and still have brokers that won't use me because I have no equipment inspections. During this entire time, I have had only a simple paperwork inspection. Doesn't come up much, but I can see the possibility of more brokers requiring this up front, which will make it tough on some.