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By: Emily M. Chiarizia, Esq.
December 12th, 2019

  Historically, brokers have NOT been liable for a claim under the Carmack Amendment. A recent legal decision regarding broker liability will have an immediate impact on freight brokers. Within a FreightWaves article, a Federal Judge held that Seneca Logistics, LLC “the Broker”), a freight broker, was liable to their customer, Richwell Group, Inc. (“the Customer”), for a stolen load of lobster (“the Cargo”) valued at over $300,000. The Court held that the Broker put themselves in a position to care for cargo and, as a result, shall be liable for the cargo theft despite the traditional protections afforded by the Carmack Amendment.