Glossary of Freight Terms
Backhaul - the process of a transportation vehicle returning from the original destination point back to the point of origin. A backhaul can be with a full or partially loaded trailer.
Capacity - the physical facilities, personnel and equipment available to meet the service needs of the customers. For example, over-capacity refers to more trucks than available freight...
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Driver / Shipper Communication
With the practice of double brokering becoming more widespread within the last 2-3 years, communication between the driver and shipper has become increasingly important. Viable communication between the two parties will protect each from fraudulent double brokering.
If you are the shipper there a few things you can do to protect yourself. If dealing with a broker, be sure to know the name of the carrier picking up your shipment...
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Freight Terms
Standard freight terms need to be clearly understood when transporting freight from seller to buyer. The two main questions involved are: #1) Who pays the freight charges ? and #2) Who owns the goods in transit ?
The term FOB means “Freight on Board.” It is the place in which ownership of goods passes from buyer to seller. The table below summarizes terms, applications, and can be used as a reference guide in understanding freight terms and responsibilities...
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The Importance of Bills of Lading
A bill of lading can be one of the most overlooked items when making shipments. Simply
put a bill of lading accomplishes two things.
First, the bill of lading is a contract between a carrier and shipper for the transportation of
goods. Second, it serves as a receipt issued by a carrier to the consignee for the goods
received. As simple as this seems there are some common problems associated when
preparing a bill of lading. A few of these problems are highlighted below :
#1) Delivery Information
The consignee name, and most importantly current address need to be included. Also
a phone number whenever possible is helpful as well.
#2) Freight Charge Terms
The shipper should accurately list if the shipment is prepaid, collect, or third party
billing. Incorrect freight charge terms lead to confusion for both the shipper,
consignee, and transportation provider...
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Choosing Your Next Transportation Service Provider
Those of you who work closely with Carriers and Brokers know what kind of
relationship develops over time with your contacts at transportation companies.
When you tender a shipment to your transportation provider, there is an immense
amount of trust that is placed in that person and their company. You expect
them to handle your shipment professionally and to safely transport your goods
to the intended location, on time and in good condition.
It has always amazed me at the number of people who do not take the time to
thoroughly investigate their transportation companies. Just a little time and effort
can make all the difference when a shipment goes wrong, whether it becomes
MIA, or damage occurs as a result of negligence on the part of the carrier/driver
or a traffic accident...
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DOT's Hours of Service Rules
Shippers should acquaint themselves with the DOT's Hours of Service Rules. Recent court cases have resulted in shippers being held liable for truck accidents resulting in injuries or fatalities. Becoming familiar with the DOT rules and regulations will allow the shipper to properly schedule trucks so that drivers have ample time to complete the delivery by the required date. Too often, unreasonable demands are placed on drivers to meet delivery times that require them to run illegally. If you are unsure as to what the transit time should be on a shipment, ask your service provider. They should be able to calculate both the transit time and the required breaks for the driver.
Summary of the Hours-of-Service RegulationsThe following table summarizes the HOS regulations for property-carrying and passenger-carrying CMV drivers.
HOURS-OF-SERVICE RULES |
| Property-Carrying CMV Drivers | Passenger-Carrying CMV Drivers
|
11-Hour Driving Limit
May drive a maximum of 11 hours after 10 consecutive hours off duty. |
10-Hour Driving Limit
May drive a maximum of 10 hours after 8 consecutive hours off duty. |
14-Hour Limit
May not drive beyond the 14th consecutive hour after coming on duty, following 10 consecutive hours off duty. Off-duty time does not extend the 14-hour period. |
15-Hour On-Duty Limit
May not drive after having been on duty for 15 hours, following 8 consecutive hours off duty. Off-duty time is not included in the 15-hour period. |
60/70-Hour On-Duty Limit
May not drive after 60/70 hours on duty in 7/8 consecutive days. A driver may restart a 7/8 consecutive day period after taking 34 or more consecutive hours off duty. |
60/70-Hour On-Duty Limit
May not drive after 60/70 hours on duty in 7/8 consecutive days. |
Sleeper Berth Provision
Drivers using the sleeper berth provision must take at least 8 consecutive hours in the sleeper berth, plus a separate 2 consecutive hours either in the sleeper berth, off duty, or any combination of the two. |
Sleeper Berth Provision
Drivers using a sleeper berth must take at least 8 hours in the sleeper berth, and may split the sleeper-berth time into two periods provided neither is less than 2 hours. |