Carrier Terms Intermediate

Common Carrier

Also known as: Public Carrier, For-Hire Carrier

Definition

A common carrier moves freight for anyone willing to pay their rates. UPS, FedEx, USPS, and most trucking companies are common carriers—they can’t refuse service without valid reason and operate under standard rules.

Common Carrier Characteristics

Feature Description
Public service Available to all shippers
Published rates Standard pricing (or negotiated)
Federal regulation FMCSA oversight
Liability standards Carmack Amendment applies
Non-discrimination Must serve all equally

Common vs. Contract vs. Private

Type Description
Common carrier Public for-hire
Contract carrier Exclusive agreements
Private carrier Company’s own fleet

Common Carrier Obligations

  • Cannot unreasonably refuse freight
  • Must provide reasonable service
  • Published liability limits
  • Maintain operating authority
  • Follow safety regulations

Common Carrier Liability

Under the Carmack Amendment:

  • Carrier liable for loss/damage
  • Must prove carrier negligence
  • Limited liability provisions
  • 9-month claim filing window
  • Standard terms on BOL

Examples by Mode

Trucking: YRC, XPO, Saia Parcel: UPS, FedEx, USPS Rail: BNSF, Union Pacific, CSX Air: FedEx, UPS, cargo airlines Ocean: Maersk, MSC, CMA CGM

Working with Common Carriers

  • Compare published rates
  • Negotiate contracts for volume
  • Understand liability limits
  • File claims properly
  • Track performance metrics
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