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The problem with double brokering freight & how to prevent it



When a broker industry tries to work with another broker industry, they are essentially competing against each other for the same load. This can result in lower prices for the load, which can eat into your profits. As a professional truck driver, you likely know all too well the perils of double brokering.


For those unfamiliar with the term, double brokering occurs when a trucking company accepts a load from a shipper, but then contracts with another carrier to actually transport the load. This can leave drivers in a precarious position, as they may not be aware that they are dealing with a broker rather than a direct shipper.


As a professional truck driver, you know that double brokering is a serious threat to your livelihood. This illegal practice occurs when a load broker is paid by two different parties for the same load, and then only pays the trucker for half of what was promised. Not only does this cost you money, but it also puts you at risk of being sued by either party.

Any truck driver who has been in the business for a while has likely dealt with the frustrating experience of double brokering.




So how can you protect yourself from double brokering?


The best way is to always deal directly with the shipper whenever possible. If you are contacted by a broker about a load, be sure to get all the details in writing before agreeing to anything. And if you do decide to work with a broker, make sure that you have a clear understanding of the terms of your contract and that you are comfortable with the risks involved.


Contract

First, make sure you understand the terms of your contract with the broker. If the broker is allowed to sub-broker your load, make sure you are aware of this ahead of time. Second, get everything in writing. Make sure you have a signed contract that outlines the terms of your agreement and specifies what happens if the load is double-brokered.

Research

You should always verify that the company they are working with is reputable with a good track record. This can be done by checking online reviews and talking to other drivers. Drivers should always make sure that the broker has the proper authority before they agree to haul a load. Be cautious about working with new brokerages.

Confirm Booking

To protect yourself from double brokering, carriers should always confirm bookings with the shipper directly in advance.



Red flags to look out for 🚩 🚩🚩


You can also keep an eye out for certain red flags that may indicate that a broker is trying to double broker. For example, if a broker asks you to quote a price without giving any information about the load, be suspicious. Double brokering is not always avoidable, but if you are aware of it, you can protect yourself from being taken advantage of.

If you're repeatedly asked to pick up loads from different locations, it may be an indication that the company is having difficulty finding their own drivers. In addition, if you're given little information about the load or the destination, it could be a sign that the company is trying to cut corners. If you see any of these red flags, it's important to proceed with caution and make sure that you have all the information you need before agreeing to haul the load.

You need to be on the lookout for brokers who are only interested in working with one carrier. This is a huge red flag, because it means that they're not really interested in getting the best deal for you. Instead, they're only interested in getting the best deal for themselves. You should also be wary of brokers who are constantly changing their rates.


This is another big red flag, because it means that they're not stable and they're not likely to give you a fair rate. Finally, you should avoid brokers who try to pressure you into signing a contract before you've had a chance to read it over. This is a major red flag, because it means that they're not interested in giving you a fair deal. If you see any of these red flags, then you should definitely steer clear of that particular broker.


Be sure to get everything in writing, and don't hesitate to ask questions if anything is unclear. Next, keep track of your interactions with the broker. If possible, keep a paper trail of all communications (including emails, text messages, and phone calls). This will come in handy if you need to prove that the broker promised you a load. Finally, don't be afraid to walk away from a deal that doesn't feel right.


If something seems too good to be true, it probably is. By following these simple tips, you can help protect yourself from being taken advantage of by unscrupulous brokers.



Want to learn about hiring a new driver? check out our other blog How to Hire an Independent Box Truck or Cargo Van Delivery Driver for Your Business.






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