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Agreement
for Property Brokers and Freight Forwarders |
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Licensed
property brokers and freight forwarders that are
members in good standing of the Transportation
Intermediaries Association (TIA) are eligible
to participate in this program. The following
tenets are stipulated by participating property
brokers and freight forwarders as constituting
best practices to which their respective companies
will abide as a condition of participation in
TIA’s Platinum Performance Program (P3(sm)
Program). Participants are required to attest,
through the signature of its designated agent
below, to their current and continuing compliance
with these tenets upon entering the program as
well as once each year as a condition of continued
eligibility. As a condition of participation
in this program, parties shall be held to the
highest standard of compliance with the provisions
detailed below. A participant’s failure
to abide by all of these best practices provisions,
upon complaint, investigation, and finding of
non-compliance, shall be grounds for dismissal
from the program with the forfeiture of all fees
collected.
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Written contract:
Property brokers and freight forwarders shall
execute a written contract with each motor
carrier with whom they are doing business.
This contract shall outline the terms agreed
to between the parties for the service(s)
to be provided.
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Insurance:
Property brokers and freight forwarders shall
verify that a motor carrier with whom they
contract has the requisite insurance, operating
authority, and a "satisfactory"
U.S. Department of Transportation safety rating.
Moreover, freight forwarders shall verify
their insurance coverage as required by law.
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Authority Disclosure:
Property brokers and freight forwarders shall
fully disclose to the motor carrier under
what authority the shipment is being offered,
including the MC (motor carrier) number or
freight forwarder (FF) number. Property broker
authority and freight forward authority are
separate legal concepts with different legal
responsibilities assigned to each.
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Service Disclosure:
Property brokers and freight forwarders shall
fully disclose to the contracted motor carrier
the service expectations (transit time, delivery
date, method of shipment handling at destination,
etc.) and shall specify the maximum penalties
for failure to comply on each shipment offered
for transportation.
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Terms of Carriage: Property
brokers and freight forwarders shall confirm
with the motor carrier the following information
on each shipment tendered for transportation
prior to shipment pick-up:
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the total rate agreed to;
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name of the party to be billed by the carrier
(usually the property broker or freight
forwarder);
- size
and weight of the shipment;
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any special loading, unloading, or in-transit
services required of the driver;
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any special delivery requirements of the
driver, such as a stipulated appointment
time for delivery;
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notice of the number of pallets required
for exchange (if applicable);
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advance notice of tarpaulins or other protection
devices as well as special cargo securement
devices required
of the carrier in connection with a shipment
offered for transportation;
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advance notice of the size and type of trailer
required for shipment offered for transport;
and,
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terms and conditions for dispute resolution
as stipulated in the written contract between
the parties.
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Shipping Documents:
Property brokers and freight forwarders shall
promptly provide, or ensure the provision
of, complete and accurate shipping documents
for each shipment that the contracted motor
carrier is transporting.
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Payment:
Property brokers and freight forwarders shall
pay the motor carrier for services rendered
within the payment terms stipulated in the
contract for payment that is not subject to
dispute.
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Extension of Credit:
Property brokers and freight forwarders shall
thoroughly investigate the credit worthiness
of shippers prior to extending credit terms
to them. Such investigation shall include
reliance on credit reporting agencies and
other resources whose information reasonably
can be relied upon to determine a customer’s
credit worthiness.
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Safety Compliance:
Property brokers and freight forwarders shall
consult with shippers to establish reasonable
transit time requirements for shipments so
the motor carrier can comply with Federal
driver hours-of-service regulations and operate
their vehicles within established speed limits.
Moreover, property brokers and freight forwarders
shall comply with established, legal limits
on vehicle size and weight so that motor carrier
equipment will not be, knowingly, overloaded
in violation of state and/or Federal law.
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Business Conduct:
Property brokers and freight forwarders shall,
in the normal course of business, conform
to all established Federal, state and local
regulations regarding property brokerage.
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Hazardous Materials:
Property brokers and freight forwarders arranging
the transport of hazardous materials shipments,
in conformance with the law, shall:
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ensure that the motor carrier contracted
for such shipment has the requisite Federal
authority and MCS 90 insurance endorsement;
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fully disclose to the motor carrier any
hazardous materials or other restricted
commodities in a shipment.
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Negotiations and Disclosure:
Property brokers and freight forwarders shall
strive to build their business relationship
with motor carriers by negotiating in good
faith and disclosing to the motor carrier
any special transport characteristics of the
shipment being tendered, such as cargo of
extraordinary value.
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Integrity:
Property brokers and freight forwarders shall
never offer or solicit gifts or other favors
in return for preferential treatment in rates,
availability of equipment, delivery of shipments,
or approval of claims.
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Cooperation:
Property brokers and freight forwarders continually
shall:
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work to maintain timely and effective
communications between all parties to
a shipment, including the shipper, carrier,
consignee, and other involved service
providers;
- communicate
professionally with all carrier representatives
as a valued business partner;
- work
with the shipper to coordinate prompt
filing of loss and damage claims with
the carrier;
- compensate
the carrier fairly for unplanned layovers,
stop-offs, driver loading and unloading,
or unreasonable detention of drivers and/or
equipment; and,
- compensate
the carrier fairly in instances where
a shipment dispatched to the carrier,
in writing, is cancelled after its equipment
arrives at the shipper’s facility.
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