what do I do??

M

maskigirl

New Member
Apr 24, 2010
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I know I have seen this b4 but....if a broker doesn't pay a carrier and I go to the person who hired the broker doesn't want to pay either and tells me do not contact the client under ANY CIRCUMSTANCE! what the hell do I do?!!!! I picked up the freight and I delivered the freight...soooo pay me?!?!:mad:
 
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So it looks to me that whatever you hauled was double or triple brokered. Who ever told you not to contact the "CLIENT" give them 24 hrs to have a bankdraft or money order couriered to you or your next phone call will be to the "CLIENT" and you will be seeking payment from the "CLIENT"
 
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T800 said:
So it looks to me that whatever you hauled was double or triple brokered. Who ever told you not to contact the "CLIENT" give them 24 hrs to have a bankdraft or money order couriered to you or your next phone call will be to the "CLIENT" and you will be seeking payment from the "CLIENT"
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here it is..the Manufacturer hired a broker to haul a shipment for them so they didnt have to deal with that part and the broker contacted us to do the job, which we did and on time, now the broker isnt answering my calls and I have been trying for months...so I contacted the *Manufacturer* demanding payment or I would contact the client ...they responded saying that they would take legal action against me if I contacted the *Client* demanding payment..soooo...now what?
 
Maskigirl

Go after the consignee....you are entitled to do this by law.....google bills of lading act....read right of consignee or endorsee

and then proceed with small claims court
 
Draw up a letter copying both the broker and the manufacturer stating they have 24hrs to provide you with payment. If not the invoice goes to the client for payment. You did the work and are entitled to receive your payment. They can't threaten you with litigation when they are refusing to pay you. They are the party in arrears. I think they are waiting to see if you will go away........
 
PackRat said:
Draw up a letter copying both the broker and the manufacturer stating they have 24hrs to provide you with payment. If not the invoice goes to the client for payment. You did the work and are entitled to receive your payment. They can't threaten you with litigation when they are refusing to pay you. They are the party in arrears. I think they are waiting to see if you will go away........
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Thank You so much for the info Pack Rat OpsManager and T800
 
Taking instruction

maskigirl said:
I know I have seen this b4 but....if a broker doesn't pay a carrier and I go to the person who hired the broker doesn't want to pay either and tells me do not contact the client under ANY CIRCUMSTANCE! what the hell do I do?!!!! I picked up the freight and I delivered the freight...soooo pay me?!?!:mad:
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maskigirl,
The first thing you need to do is decide who you are going to take instruction from. You need to tell the manufacturer that you do not take instruction from them, and that regardless of how anybody feels about this issue, you will collect from the consignee with litigation if that is the only alternative available to you. Tell them that this will happen just like the sun rising in the East. If they again threaten litigation, thank them as it will save you the extra cost of commencing this collection process as you will definitely defend with a counter claim naming all three parties as co-defendants. Be firm and resolute in your task and do not pay any attention to anyone's feelings or emotions - especially your own.
 
Activet said:
maskigirl,
The first thing you need to do is decide who you are going to take instruction from. You need to tell the manufacturer that you do not take instruction from them, and that regardless of how anybody feels about this issue, you will collect from the consignee with litigation if that is the only alternative available to you. Tell them that this will happen just like the sun rising in the East. If they again threaten litigation, thank them as it will save you the extra cost of commencing this collection process as you will definitely defend with a counter claim naming all three parties as co-defendants. Be firm and resolute in your task and do not pay any attention to anyone's feelings or emotions - especially your own.
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Wow! Thanks Activet :) I told the manufacturer yesterday either she has really Dumb lawyers that do not know s**t or think I dont..and that if she thought I didnt know what to do she was sadly mistakin!...then I came here for help :) lol Thank You for helping me out :)
 
Maski you keep after them and put paper on everyone involved. These lowlifes work on the premise that most people will forget about it and walk away. Also when you sue them make sure it is for all your collection costs plus interest on the original invoice.
 
Yoiu should do the right thing: keep going after the broker. The client/shipper more than likely paid the broker...and it wouldn't be fair to have them wronged...i.e. made to pay twice in order to make it right for you. I know that there may be some legal means to draw the client in and even to make him pay...however...the law is often an ASS...and the corollary of that is that lawyers are often...well...you know. Thus, just because it is legal doesn't mean its right.

Now about collecting from your broker...file on his bond and go through all the obvious steps that any collection agent would go through..when these are exhausted to no avail you should review the amount owing to determine your next course of action.. If it is a large amount that can adversely affect the survival of your business you need to enlist professional help as soon as possible..in fact..if it is a large amount I would make that my first step. If it is a smaller amount I would look at the opportunity cost of pursuing further collection efforts...would these efforts perhaps be better expended in other activities that bring in revenue?

Bad debts are a reality in this business, and you need to understand that some bad debts are going to remain bad debts, and you will need to be able to move on from there...I don't like it either, but that's life in this racket. Good luck with your collection efforts...
 
I totally disagree. If you have talked to the manufacturer and he can prove that he has paid the broker and by "prove" i mean can he supply a canceled check for the transaction. If he has paid the broker and the broker has not paid you i would be suing the broker, the manufacturer and the consignee. If the manufacturer has not paid the broker or is unwilling to supply proof of payment then i would be thinking that they are somehow in cahoots together and would be putting big pressure on the consignee for payment. DO NOT GIVE UP ON THIS PUSH IT TO THE END.
 
Your deal is with the broker...if the manufacturer hired this broker in good faith (as you did) then you really shouldn't go after the manufacturer. However, I would ask that manufacturer to provide a proof of payment. Your beef is with the broker...that's the party you should seek compensation from...not the shipper or the receiver, or anyone else.
 
Freight Broker said:
Your deal is with the broker...if the manufacturer hired this broker in good faith (as you did) then you really shouldn't go after the manufacturer. However, I would ask that manufacturer to provide a proof of payment. Your beef is with the broker...that's the party you should seek compensation from...not the shipper or the receiver, or anyone else.
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If the broker is refusing payment they have every right to contact all parties to get paid. Your saying if the broker outright refuses to pay, the carrier has no recourse??
 
Mercantile Act

maskigirl,

As I understand it, the broker who you've contracted with is unavailable or unwilling to pay this invoice. Logically, the manufacturer who contracted with the broker would have a greater degree of influence over the broker than either you or the consignee. The response the manufacturer gave you when looking for payment indicates that they do not care whether you ever collect this or not. If they had indicated that that would try to intercede with the broker on your behalf, I would then follow the measured collection methods recommended by Freight Broker. However, since you said that this is now months old, and considering the response from the manufacturer, then I wouldn't hesitate to claim directly from the consignee. It may seem unfair if eventually the manufacturer has to pay twice, but that is the cost to them for their lack of due diligence when contracting with a disreputable broker.

You can sue the consignee (beneficial party), in small claims court and cite the Mercantile Act - there's plenty of jurisprudence available to substantiate and reinforce your claim and in my opinion, the manufacturer would be irresponsible to ignore this matter.
 
Activet said:
maskigirl,

As I understand it, the broker who you've contracted with is unavailable or unwilling to pay this invoice. Logically, the manufacturer who contracted with the broker would have a greater degree of influence over the broker than either you or the consignee. The response the manufacturer gave you when looking for payment indicates that they do not care whether you ever collect this or not. If they had indicated that that would try to intercede with the broker on your behalf, I would then follow the measured collection methods recommended by Freight Broker. However, since you said that this is now months old, and considering the response from the manufacturer, then I wouldn't hesitate to claim directly from the consignee. It may seem unfair if eventually the manufacturer has to pay twice, but that is the cost to them for their lack of due diligence when contracting with a disreputable broker.

You can sue the consignee (beneficial party), in small claims court and cite the Mercantile Act - there's plenty of jurisprudence available to substantiate and reinforce your claim and in my opinion, the manufacturer would be irresponsible to ignore this matter.
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So the manufacturer should pay twice?...what about the lack of due diligence here on the part of the carrier? You seem to overlook that..

Who owes you the money? a) THE BROKER...so go after the BROKER...not the shipper...not the receiver...not your nanny...not your mommy.. it s the BROKER.

Maybe the carrier will not be paid...the cost of them not doing their due diligence on the broker.
 
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The lesson here is clear..due your due diligence when working with new shippers or brokers. I'm a broker and I can tell you I get very very few calls on me. Furthermore, very few carriers bother to check my references. And I'm sure I'm not that special in that regard.

Check people out BEFORE doing business with them...and if there's any doubt in your mind then pass them by. That's far better than seeking compensation from others who really owe you nothing..ie the shipper, the receiver, anyone else.
 
On the other hand maybe the manufacturer should pay twice for not doing his due diligence and using such a shady FREIGHT BROKER!! You see it is a two way street Mr Broker a broker can be checked out till the cows come home but as carriers this is our recourse!!
 
And...if the manufacturer is made to pay twice the broker gets away scott free... and the broker goes on to do it again and again and agian knowing that the carriers are not really that serious about following up and collecting.

Notice I'm a BROKER..and I'm telling to go after the BROKER. If more people would do that then more of these guys might get the idea that you're actually serious about collecting your money. As it stands the guy thinks you're a pussy... and so he doesn't pay.
 
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I would as would any other carrier go after the broker but the Canadian goverment and Canadian Laws are so Liberal that they do nothing about the fact these crooks close the business and start up the next day as a new business. I understand your point but unitl the laws and loadlink change some policies we a carriers can do all kinds of due dilligence on brokers some of the ones that have went down in the last year were around 10 plus years there credit showed great on the link and carriers got screwed because they shut the doors. Our recourse go after everyone else!! If the manufacturer keeps using John Doe as abc broker then bce broker etc and having to pay twice who's fault is that!!
 
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