SCOTUS: Montgomery vs. Caribe Transport II

Issue before or regarding the Supreme Court of The United States

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SCOTUS rules 9-0 against brokers in Montgomery case​

The so-called safety exception of the Federal Aviation Administration Authorization Act (F4A) includes the freight brokerage industry in its umbrella, the Supreme Court ruled Thursday in the closely-watched case of Montgomery vs. Caribe Transport II.

The decision of the court was unanimous.

Its immediate impact is that the Supreme Court decision clears up conflicting circuit court cases about whether a 3PL can be sued in state court for damages resulting from a crash involving a carrier the broker hired. With this decision, the circuit conflicts are essentially settled and the question has been answered: yes, they can.

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