Articles on Transportation Law

Federal District Court finds preemption bars carrier’s state law tort claims By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, February 2007 In Yellow Transp., Inc. v. DM Transp. Management Services, Inc., the U.S. District Court for the Eastern District of Pennsylvania found that 49 U.S.C. §14501(c)(1) of the Interstate Commerce Commission Termination Act of 1995 (“ICCTA”) preempted Yellow’s state law tort claims against DM.
5th District rejects class contract claim against Federal Express Corporation By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, November 2006 In Moody v. Federal Express Corporation, No. 5-05-0519 (decided 10/19/06), the Illinois Appellate Court for the Fifth District affirmed the trial court’s judgment on the pleadings for defendant Federal Express (“FedEx”) on a one-count breach of contract class action claim.
The Illinois Supreme Court revisits intrastate forum non conveniens in Langenhorst v. Norfolk Southern Railway: “A battle over the minutiae” By Kris R. Murphy Energy, Utilities, Telecommunications, and Transportation, November 2006 In Langenhorst v. Norfolk Southern Railway Company, the Supreme Court of Illinois recently revisited the doctrine of intrastate forum non conveniens.
Fifth District finds that courts may enjoin stopped trains from blocking grade crossings for periods of longer than 10 minutes under Illinois law By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, May 2006 On March 13, 2006, the Illinois Appellate Court for the Fifth District sustained an injunction against a railroad whose stopped trains had been blocking a grade crossing for periods of fifteen to forty-five minutes in Eagle Marine Industries, Inc. v. Union Pacific Railroad Company, Case No. 5-05-0038.
First District finds a non-solicitation clause to be unenforceable By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, May 2006 In C. H. Robinson Worldwide, Inc. v. Kindersley Transport, Ltd., Case No. 1-05-0562 (March 31, 2006), the Illinois Appellate Court for the First District held that C.H. Robinson’s back-solicitation clause in its broker/carrier agreement with Kindersley was unenforceable.
D.C. Circuit rejects new FMCSA driver training regulation By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, February 2006 The United States Court of Appeals for the District of Columbia has rejected a Federal Motor Carrier Safety Administration (“FMCSA”) of the United States Department of Transportation (“US DOT”) final rule concerning entry level training for commercial vehicle operators in Advocates for Highway & Auto Safety v. FMCSA, Case Nos. 04-1233, 1236 and 1418, decided December 2, 2005.
Indiana District Court sustains motor carrier owner operator practices against OOIDA attack By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, February 2006 On September 27, 2005, U.S. District Judge Sarah Evans Barker of the Southern District of Indiana denied the plaintiff’s summary judgment motion and found that motor carrier Mayflower Transit, Inc.’s practices of passing its public liability and property damage (“PL/PD”) insurance costs on to its independent contractor owner operator drivers did not violate the United States Federal Motor Carrier Safety Administration (“FMCSA”) leasing regulation at 49 C.F.R. Part 376.12(j)(1) in Owner Operators Independent Drivers Association, Inc., Cause No. 1P-98-458-CB/S, decided, 9/27/05.
When’s a contract a contract? By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, September 2005 The U.S. Court of Appeals in Chicago has reversed a $5 million breach of contract judgment which an Illinois motor carrier obtained against a truck manufacturer in PFT Roberson, Inc. v. Volvo Trucks North America, Inc., Case No. 04-3100, decided August 25, 2005.
Illinois Appellate Court finds MCS-90 endorsement inapplicable to owner operator’s claim By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, June 2005 On April 6, 2005, the Illinois Appellate Court for the First District issued its decision in Canal Insurance v. A&R Transportation and Warehouse, LLC., Case No. 1-04-0881.
Court finds no FMCSR duty stated against motor carrier or shipper for loading issues By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, April 2005 In Turner v. Goodyear Tire & Rubber Co., No. 02 C-5012 (12/1/04), Judge Samuel DerYeghiayan of the U.S. Court for the Northern District of Illinois held that the Federal Motor Carrier Safety Regulations (“FMCSA”) in 49 C.F.R. Part 390 et seq. created no duty for either motor carriers or shippers regarding the loading or unloading of interstate shipments on private property.
District court finds actual carrier notice of cargo loss excuses late shipper claim By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, April 2005 In Mitsui Sumitomo Insurance Co. Ltd., et al., v. Watkins Motor Lines, Inc., Case No. 03-2741 (10/8/04), U.S. District Court Judge Samuel DerYeghiayan granted the plaintiffs’ summary judgment motion in Carmack Amendment 49 U.S.C. 14706 cargo loss and damage litigation and denied without prejudice defendant’s partial motion for summary judgment to limit its damages.
Seventh Circuit affirms injunction against city’s ban on truck traffic By Corey B. Stern Energy, Utilities, Telecommunications, and Transportation, April 2005 In Crest Hill Land Development, LLC. v. City of Joliet, No. 04-2565 (01/25/05), the U.S. Court of Appeals for the Seventh Circuit affirmed a trial court judgment which enjoined the City of Joliet from banning truck traffic on a locally designated highway.
District Court tells trucking company to get it in writing By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, March 2005 In Central States, Southeast and Southwest Areas Pension Fund, et al. v. Pneumatic Trucking, Inc., Case No. 04 C-0298, District Court Judge Harry Leinenweber of the U.S. District Court for the Northern District of Illinois granted the major part of Central States' Motion for Summary Judgment on Central States' claim that Pneumatic owed contributions to the pension fund, notwithstanding contrary oral agreements between Pneumatic and the union Locals representing its drivers.
Defendant status issue stays Carmack preemption By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, December 2004 Judge David Coar of the U.S. District Court for the Northern District of Illinois has denied a Rule 12(b)6 Motion to Dismiss based on Carmack Amendment preemption under 49 U.S.C.
District court finds actual carrier notice of cargo loss excuses late shipper claim By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, December 2004 In Mitsui Sumitomo Insurance Co. Ltd., et al., v. Watkins Motor Lines, Inc., Case No. 03-2741 (10/8/04), U.S. District Court Judge Samuel Der-Yeghiayan granted the plaintiffs' summary judgment motion in Carmack Amendment 49 U.S.C. 14706 cargo loss and damage litigation and denied without prejudice defendant's partial motion for summary judgment to limit its damages.
Hours of service battles continue By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, December 2004 The new Federal Motor Carrier Safety Administration ("FMCSA") hours of service rules for truck drivers went into effect on January 4, 2004.
District court sustains Carmack Amendment federal jurisdiction on international shipment By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, June 2004 In Capital Converting Equipment, Inc. v. LEP Transports, Inc., F.2d 391 (7th Cir. 1992), the U.S. Court of Appeals for the 7th Circuit held that the Carmack Amendment, 49 U.S.C. §11706, provides no cargo damage remedy against rail carriers on international shipments originating at points in foreign countries and moving to U.S. destinations on through bills of lading unless some domestic part of the shipments were covered under separate bills of lading issued by domestic rail or motor carriers.
U.S. Supreme Court to review 11th Circuit COGSA Himalaya Clause decision By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, June 2004 The U.S. Supreme Court has agreed to review the decision by the U.S. Court of Appeals for the 11th Circuit in Kirby v. Norfolk Southern Railway Company, Case No. 01-13776, decided August 8, 2002.
10th Circuit rejects “logo liability” in cargo loss and damage litigation By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, April 2004 On August 25, 2002, the U.S. Court of Appeals for the 10th Circuit rejected the concept of logo liability in Carmack Amendment litigation in the matter of Mercer Transportation Company v. Greentree Transportation Co., et al., Case No. 01-1380.
Divided 4th District Appellate Court sustains non-solicitation clause By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, April 2004 In a 2-1 decision, the Illinois Appellate Court for the 4th District has found that a non-solicitation clause in a broker-carrier contract is enforceable against the motor carrier on business that the motor carrier had secured on its own without any broker referral in Berryman Transfer & Storage Company, Inc. v. New Prime, Inc., Case No. 4-03-0345, decided 2/28/2004.
Illinois Appellate Court rejects carrier liability limits in cargo litigation By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, April 2004 The Illinois Appellate Court for the First District has held that the cargo loss and damage liability limits published in a motor carrier's tariff were ineffective to limit the carrier's liability to a shipper in cargo loss and damage litigation unless the shipper had actual notice of the liability limitation and assented to it prior to the shipment.
Illinois Supreme Court decision assists Illinois driver leasing companies By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, April 2004 On February 20, 2004, the Illinois Supreme Court issued a decision which will greatly assist the Illinois driver leasing industry in H&M Commercial Driver Leasing, Inc. v. Fox Valley Containers, Inc., Docket No. 96057.
Maryland court blocks state from transforming motor carriers into tax collection agents By Kim D. Mann Energy, Utilities, Telecommunications, and Transportation, December 2003 On October 22, 2003, the Maryland Tax Court dealt the State of Maryland what may be the death knell to its unprecedented foray into a state revenue-enhancing scheme revolving around compelling for-hire motor carriers to collect state sales and use taxes from consignees at the time of delivery.
Seventh Circuit addresses COGSA, the Hague Rules and Illinois bailment law in non-Carmack cargo litigation By Corey B. Stern Energy, Utilities, Telecommunications, and Transportation, December 2003 In Indemnity Insurance Company of North America, as subrogee of Lowe's Companies, Inc., v. Hanjin Shipping Company, O'Hare Services, and Channel Distribution, Case Nos. 02-2822 and 02-2933 (7th Cir. 10/31/03), the U.S. Court of Appeals for the 7th Circuit has held that plaintiff Indemnity Insurance Company of North America ("Indemnity") could not recover damages from defendant Hanjin Shipping Company ("Hanjin") on an international shipment that moved under Hanjin's waybill.
Seventh Circuit sets standards for measuring Carmack damages By Corey B. Stern Energy, Utilities, Telecommunications, and Transportation, December 2003 The U.S. Court of Appeals for the Seventh Circuit has addressed important liability and damage issues arising out of litigation brought against motor carriers under the Carmack Amendment, 49 U.S.C. §14706. In American Nat'l Fire Insurance Co. as subrogee of Tabacalera Contreras Cigar Co. v. Yellow Freight Systems, Inc., Case Nos. 02-1639 and 02-1741 (7th Cir. 1/10/03), the court held that the plaintiff subrogee American Nat'l Fire Insurance Co. (National Insurance) had established its case against the defendant motor carrier Yellow and was entitled to recover damages for freight, taxes, fees, and insurance on the damaged portion of the shipment at issue.
Who’s the consignee? Seventh Circuit reverses judgment against warehouseman for demurrage charges By William D. Brejcha Racial and Ethnic Minorities and the Law, December 2003 The U.S. Court of Appeals in Chicago has reversed a summary judgment in favor of the Illinois Central Railroad ("the IC) for demurrage charges against a warehouseman which provided storage in transit services in Illinois Central Railroad Company v. South Tec Development Warehouse, No. 02-2957 (July 23, 2003).
COGSA shipper’s recovery limited to cost of manufacture & inland carrier’s liability limit held inapplicable to through ocean bill of lading transport By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, July 2003 Levi Strauss & Co. moved a container of pants from Honduras to Arkansas on a through ocean bill of lading subject to the Carriage of Goods by Sea Act (COGSA) at 46 U.S.C. §1300 et seq.
Who issued the bill of lading anyway? 11th Circuit grapples with liability limitations By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, July 2003 The U.S. Court of Appeals for the 11th Circuit has taken an interesting approach to the ongoing released rate cargo loss and damage issue in Siren, Inc. v. Estes Express, Inc., 249 F.3d 1268 (11th Cir. 2001) and Sassy Doll Creations, Inc. v. Watkins Motor Lines, Inc., No. 02-12210 (11th Circuit; 5/23/03).
3rd Circuit affirms damage award for late delivery of dated materials By William D. Brejcha Energy, Utilities, Telecommunications, and Transportation, May 2003 The U.S. Court of Appeals for the 3rd Circuit has awarded a shipper the entire invoice value of Christmas-related paper goods that a motor carrier had lost and failed to deliver until the end of the following March in Paper Magic Group v. J.B. Hunt Transport, Inc., 2003 WL 135787 (3d Cir. 1/16/03)
Cost of doing business: Air freight carriers pay prejudgment interest too By Michael S. Schimmel & Matthew J. Kissling International and Immigration Law, May 2003 While the Warsaw Convention appears on its face outdated and the Hague Protocol inapplicable, these two doctrines are still well alive and are often applied in modern day situations.

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