Several dozen truck drivers leased to Titus Transportation LP have filed a lawsuit against the Dallas-based trucking company, citing lack of transparency regarding chargebacks being deducted from their weekly settlements.
The lawsuit was moved from state court in Texas to U.S. District Court in Wichita, KS, in November because most of the plaintiffs reside in Reno County, KS, northwest of Wichita. The drivers allege they are being charged for an insurance policy titled “9x insurance deduction,” but say company officials refuse to provide them with a copy of the policy they are paying for.
For more than three years, truck drivers say they have been fighting to see a copy of the 9x insurance policy since a memo dated Sept. 4, 2008, was sent from Titus to all independent contractors, stating that $62 was going to be deducted weekly from their pay. At that time, Titus provided a statement to drivers, stating the shipper, Dillon Stores, was requiring them to up their general liability insurance from the minimum requirement of $1 million to $10 million.
“Dillon’s (Kroger) and Titus are paying the majority of this additional insurance cost; however, we are asking the contractors to also support a portion of this charge. As an individual fleet owner, the cost would be far too great to carry as an individual,” the memo stated.
The Titus memo also stated that this was not a voluntary insurance program, but a “required charge for all trucks and fleet owners per truck.”
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The lawsuit was moved from state court in Texas to U.S. District Court in Wichita, KS, in November because most of the plaintiffs reside in Reno County, KS, northwest of Wichita. The drivers allege they are being charged for an insurance policy titled “9x insurance deduction,” but say company officials refuse to provide them with a copy of the policy they are paying for.
For more than three years, truck drivers say they have been fighting to see a copy of the 9x insurance policy since a memo dated Sept. 4, 2008, was sent from Titus to all independent contractors, stating that $62 was going to be deducted weekly from their pay. At that time, Titus provided a statement to drivers, stating the shipper, Dillon Stores, was requiring them to up their general liability insurance from the minimum requirement of $1 million to $10 million.
“Dillon’s (Kroger) and Titus are paying the majority of this additional insurance cost; however, we are asking the contractors to also support a portion of this charge. As an individual fleet owner, the cost would be far too great to carry as an individual,” the memo stated.
The Titus memo also stated that this was not a voluntary insurance program, but a “required charge for all trucks and fleet owners per truck.”
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