Letter to the Editor: Model Contract Concerns
read the opinion column, “Model Contract Fills Regulatory Void," on the model contract put forth by the National Industrial Transportation League and the Transportation Intermediaries Association. (Click here for the original piece.)
While I agree entirely with the writer that the model contract concept is of significant value to the industry, I have to disagree that this particular model contract the two organizations adopted is of any real value.
The two associations overlooked that the contract they drafted covers only the interests of their members and fails to realize that third parties were involved in the relationship — namely, motor carriers.
American Trucking Associations has already warned its members of the shortcomings of the model contract and is making a good-faith attempt to open negotiations with NITL and TIA to create model contracts covering “three” party operations.
I am hopeful that TIA and NITL will take action to remedy the misstep that has occurred and in the near future endorse compatible shipper-broker and broker-carrier model contracts.
Last year, ATA and NITL unveiled a model truckload carrier-shipper agreement for use in structuring contracts. That model reflects a successful effort because all interested parties were involved in its drafting. Carriers are willing and able to join with brokers or shippers in reaching the same results the “Opinion” writer attempted to achieve — fill the regulatory void.
James Hardman
i>Attorney
ittle Canada, Minn.
This letter appeared in the July 18 print edition of Transport Topics. Subscribe today.
