FMCSA Compliance Review and Rating Information

Posted by David Piotrowski

Interstate household goods moving companies are licensed by the United States Department of Transportation (USDOT). Interstate carriers are subject to the FMCSA ratings system and compliance reviews.

FMCSA safety ratings are in effect to verify that motor carriers have adequate safety management controls in place to ensure compliance with the applicable laws. Approximately 16,000 compliance reviews and conducted each year, but only a fraction of those reviews are rated. Of the carriers that receive a compliance review, more than 40% receive either a conditional or unsatisfactory safety rating. Ratings are easily viewable on the FMCSA website at http://www.protectyourmove.gov.

FMCSA ratings can be appealed by an “administrative appeal” under 49 CFR Section 385.15 or by “correction action” in 49 CFR Section 385.17.

Some of the biggest violations are due to improper or inadequate driver log books, failure to screen for alcohol/drugs, and failing to maintain and prepare adequate records.

The Law Office of David Piotrowski can assist carrier’s with ensuring their compliance with FMCSA rules and regulations.

Electronic Signatures on FMCSA-Regulated Moving Documents

Posted by David Piotrowski

On January 4, 2011, the Federal Motor Carrier Safety Administration (“FMCSA”) issued guidance on electronic signatures. See 74 F.R. 411 (2011). The guidance makes clear that electronic signatures will be allowed on moving documents so long as it identifies and authenticates who is signing the document and also that it indicates such person’s approval of the information contained in the electronic communication. Up until this point, it was unclear whether the use of electronic signatures on FMCSA-regulated documents would be legally sufficient. What remains unclear, however, is what exact methods of effecting an electonic signature will be deemed compliant with the law.

electronic fmcsa household goods interstate moving moving company signature usdot

Custom Tariff Publishing, Bill of Lading, and Order for Service Video for FMCSA Interstate Moving Companies

Posted by David Piotrowski

Interstate household goods transportation companies must publish a tariff and must issue a Bill of Lading and Order for Service on each and every interstate moving job that they perform. This is mandated by law. Failure to publish a tariff or issue a Bill of Lading and Order for Service may result in moderate to severe penalties. The FMCSA department of the USDOT have been fining interstate moving companies for failure to publish a tariff and failure to create a Bill of Lading and Order for Service. Many owners of moving companies often contact me about their business and wanting to know what they need to do to comply with tariff and other regulatory matters. The majority of new moving company owners have heard of a tariff, but they don’t really know what it means to “publish a tariff.” Similarly, most owners know that they need to create a Bill of Lading and an Order for Service, but they don’t really know what needs to be on these documents.

To assist moving company owners, we have created a video describing the basics of tariff publishing, Bills of Lading, and the Order for Service. A video outlining the basics of a tariff, Bill of Lading, and Order for Service, can be found here.

The Law Office of David Piotrowski works with interstate household goods moving companies to publish their tariff, as well as create customized contracts including the Bill of Lading and Order for Service.

FMCSA Compliance Reviews

Posted by David Piotrowski

FMCSA Compliance Reviews are serious. When an interstate household goods moving company receives notification of an upcoming compliance review, they should ensure that their files are in order and up-to-date. While moving companies are required by federal law to comply with all applicable rules and regulations governing the industry, sometimes movers may be unaware of a certain rule or fail to update their records in a manner that is required of them.

The purpose of an FMCSA Compliance Review is to review a motor carrier’s operations including, but not limited to, their compliance with tariff requirements, Bills of Lading, Order for Service, Estimates, and other documents, accident registers, driver files, claim files, and other relevant information pertaining to the operations of the company.

Click here to watch a Video describing FMCSA Compliance Reviews.

Moving companies should diligently prepare for the compliance review. A negative review may result in fines or suspension/revocation of the carrier’s operating authority.

The Law Office of David Piotrowski performs “mock” compliance review audits to ascertain and inform the moving company of their various strengths and weaknesses to help them better prepare for the compliance review audit.

Household Goods Arbitration Program

Posted by David Piotrowski

All interstate moving companies are required by law to have an arbitration program available to their customers. Failure of a moving company to provide customers with notice of the availability of arbitration is against DOT regulations and may subject the moving company to fines and/or penalties. Beware of movers who claim to have an arbitration program in place but ultimately have no such program. While the DOT requires interstate household goods moving companies to have an arbitration program, the DOT does not require movers to provide them with proof of such program in order to obtain interstate operating authority.

Before a moving company performs a pickup of household goods, they are required to provide the customer with notice of the availability of neutral arbitration, including all three of the following items:
(i) A summary of the arbitration procedure.
(ii) Any applicable costs.
(iii) A disclosure of the legal effects of election to use arbitration.

Upon the request of the customer, moving companies must provide information and forms necessary for initiating an action to resolve a dispute under arbitration.

For more information, read the DOT published brochure on arbitration.

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