I have just come across the oddest situation and was wondering if anyone else has ever stumbled over a similar situation.
I have just been informed that a company was going bankrupt so I contacted their bond provider to make a claim for the freight on their bond. The freight was produce and I was told that produce is excepted from FMCSA rules and therefore not eligible for making a claim on a brokers bond. I was sited the following:
Further to our review of the “Carriers Claim Application” accepted for filing, we regret to inform you that the movement(s) which occasioned the debt you’ve alleged fall(s) within the criteria for one or some combination of the following regulatory exemption:
specific commodity exemption (49 USC 13506(a) (6)), produce,
such that the transportation your carrier has performed was not subject to economic (as opposed to safety) regulation by the Federal Motor Carrier Safety Administration, and accordingly falls outside the range of activity allowing you to seek reimbursement as a third party beneficiary of the trust governed by the referenced broker’s BMC-85.
Low and behold I read that particular statute and see that hauling produce exempts me from FMCSA rules.
What do any of you have to say about this 'exception' to the rule?
I have just been informed that a company was going bankrupt so I contacted their bond provider to make a claim for the freight on their bond. The freight was produce and I was told that produce is excepted from FMCSA rules and therefore not eligible for making a claim on a brokers bond. I was sited the following:
Further to our review of the “Carriers Claim Application” accepted for filing, we regret to inform you that the movement(s) which occasioned the debt you’ve alleged fall(s) within the criteria for one or some combination of the following regulatory exemption:
specific commodity exemption (49 USC 13506(a) (6)), produce,
such that the transportation your carrier has performed was not subject to economic (as opposed to safety) regulation by the Federal Motor Carrier Safety Administration, and accordingly falls outside the range of activity allowing you to seek reimbursement as a third party beneficiary of the trust governed by the referenced broker’s BMC-85.
Low and behold I read that particular statute and see that hauling produce exempts me from FMCSA rules.
What do any of you have to say about this 'exception' to the rule?
