CarrierVetbeta
Guide · Fraud

Double brokering red flags

Double brokering usually means a carrier accepts a load and then re-brokers it to another carrier without the shipper's or broker's knowledge, often without broker authority. Federal law requires anyone arranging transportation for compensation to be registered as a broker (49 U.S.C. 13901 and 13904), and 49 U.S.C. 14916 makes a person who knowingly brokers without authority liable for civil penalties of up to $10,000 per violation and for damages to injured parties.

Red flags before the load

Red flags during the load

Practical checks

Verify carrier authority (not just broker authority) in L&I, call the FMCSA phone of record, confirm insurance with the agent, and confirm the truck and driver at pickup. FMCSA's 2023 guidance on the definitions of broker and bona fide agent explains who must hold broker authority.

CarrierVet flags new authority and recent or shared phone, email and address changes as REVIEW reasons so they surface before tender.

Start free Free plan: 100 lookups a month, no card. Verified against official FMCSA records.

Sources

Related

Informational, not legal advice. Carrier data is derived from records maintained by the Federal Motor Carrier Safety Administration (FMCSA). It is provided as-is, may be delayed or incomplete, and is not a consumer report under the Fair Credit Reporting Act. Do not use it to evaluate a natural person for credit, insurance, employment, or any other purpose covered by the FCRA.