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‘‘(B) when the transportation is by water
carrier to a place outside the United States, the
transportation is provided by water carrier from
a place in the United States to another place in
the United States before transshipment from a
place in the United States to a place outside the
United States; and
‘‘(C) when the transportation is by water
carrier from a place outside the United States,
the transportation is provided by water carrier
from a place in the United States to another
place in the United States after transshipment to
a place in the United States from a place outside
the United States.
‘‘(b) DEFINITIONS.—In this section, the terms ‘State’
and ‘United States’ include the territories, commonwealths,
and possessions of the United States.
‘‘SUBCHAPTER III—FREIGHT FORWARDER SERVICE
‘‘§ 13531. General jurisdiction
‘‘(a) The Secretary of Transportation and the Inter-
modal Surface Transportation Board have jurisdiction, as
specified in this part, over service that a freight forwarder
undertakes to provide, or is authorized or required under
this part to provide, to the extent transportation is provided
in the United States and is between—
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‘‘(1) a place in a State and a place in another
State, even if part of the transportation is outside the
United States;
‘‘(2) a place in a State and another place in the
same State through a place outside the State; or
‘‘(3) a place in the United States and a place
outside the United States.
‘‘(b) Neither the Secretary nor the Transportation
Board has jurisdiction under subsection (a) of this section
over service undertaken by a freight forwarder using trans-
portation of an air carrier subject to part A of subtitle VII
of this title.
‘‘SUBCHAPTER IV—AUTHORITY TO EXEMPT
‘‘§ 13541. Authority to exempt transportation or serv-
ices
‘‘(a) In any matter subject to jurisdiction under this
chapter, the Secretary of Transportation or the Intermodal
Surface Transportation Board, as applicable, shall exempt
a person, class of persons, or a transaction or service from
the application of a provision of this title, or use this ex-
emption authority to modify a provision of this title, when
the Secretary or Transportation Board finds that the appli-
cation of that provision in whole or in part—
‘‘(1) is not necessary to carry out the transpor-
tation policy of section 13101 of this title; and
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‘‘(2) either (A) the transaction or service is of
limited scope, or (B) the application of a provision
of this title is not needed to protect shippers from the
abuse of market power.
In a proceeding that affects the transportation of household
goods described in section 13102(9)(A), the Secretary or the
Transportation Board shall also consider whether the ex-
emption will be consistent with the transportation policy
set forth in section 13101 of this title and will not be det-
rimental to the interests of individual shippers.
‘‘(b) The Secretary or Transportation Board, as appli-
cable, may, where appropriate, begin a proceeding under
this section on the Secretary’s or Transportation Board’s
own initiative or on application by an interested party.
‘‘(c) The Secretary or Transportation Board, as appli-
cable, may specify the period of time during which an ex-
emption granted under this section is effective.
‘‘(d) The Secretary or Transportation Board, as appli-
cable, may revoke an exemption, to the extent specified, on
finding that application of a provision of this title to the
person, class, or transportation is necessary to carry out
the transportation policy of section 13101 of this title.
‘‘(e) This exemption authority may not be used to re-
lieve a person (except a person that would have been covered
by a statutory exemption under subchapter II or IV of chap-
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ter 105 of this title that was repealed by the Interstate Com-
merce Commission Sunset Act of 1995) from the application
of, and compliance with, any law, rule, regulation, stand-
ard, or order pertaining to cargo loss and damage; insur-
ance; or safety fitness.
‘‘(f) The Secretary or Transportation Board, as appli-
cable, is prohibited from regulating or exercising jurisdic-
tion over the transportation by water carrier in the non-
contiguous domestic trade of any cargo or type of cargo or
service which was not subject to regulation by, or under
the jurisdiction of, either the Federal Maritime Commission
or Interstate Commerce Commission under Federal law in
effect on November 1, 1995.
‘‘(g) The Secretary or Transportation Board, as appli-
cable, may not exempt a water carrier from the application
of, or compliance with, sections 13801 and 13702 for trans-
portation in the non-contiguous domestic trade.
‘‘CHAPTER 137—RATES AND THROUGH ROUTES
‘‘§ 13701. Requirements for reasonable rates, classi-
fications, through routes, rules, and prac-
tices for certain transportation
‘‘(a)(1) A rate, classification, rule, or practice related
to transportation or service provided by a carrier subject
to jurisdiction under subchapters I or III of chapter 135
of this title for transportation or service involving—
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‘‘(i) a movement of household goods described in
section 13102(9)(A) of this title, or
‘‘(ii) a joint rate for a through movement with
a water carrier, or a rate for a movement by a water
carrier, in non-contiguous domestic trade,
must be reasonable.
‘‘(2) Through routes and divisions of joint rates for
such transportation or service as described in paragraph
(1) (i) or (ii) must be reasonable.
‘‘(b) When the Intermodal Surface Transportation
Board finds it necessary to stop or prevent a violation of
subsection (a), the Transportation Board shall prescribe the
rate, classification, rule, practice, through route, or division
of joint rates to be applied for such transportation or serv-
ice.
‘‘(c) A complaint that a rate, classification, rule or
practice in the non-contiguous domestic trade violates sub-
section (a) of this section may be filed with the Transpor-
tation Board.
‘‘(d)(1) For purposes of this section, a rate or division
of a carrier for service in non-contiguous domestic trade
is reasonable if the aggregate of increases and decreases in
any such rate or division is not more than 7.5 percent
above, or more than 10 percent below, the rate or division
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in effect 1 year before the effective date of the proposed rate
or division.
‘‘(2) The percentage specified in paragraph (1) shall
be increased or decreased, as the case may be, by the per-
centage change in the Producers Price Index, as published
by the Department of Labor, that has occurred during the
most recent 1-year period before the date the rate or division
in question first took effect.
‘‘(3) The Transportation Board shall determine wheth-
er any rate or division of a carrier or service in the non-
contiguous domestic trade which is not within the range
described in paragraph (1) is reasonable if a complaint is
filed under subsection (c) of this section or section
13702(f)(5).
‘‘(4) The Transportation Board, upon a finding of vio-
lation of subsection (a) or this section, shall award repara-
tions to the complaining shipper or shippers in an amount
equal to all sums assessed and collected that exceed the de-
termined reasonable rate, division, rate structure or tariff.
The Transportation Board, upon complaint from any gov-
ernmental agency or authority, shall, upon a finding or vio-
lation of subsection (a) of this section, make such orders
as are just and shall require the carrier to return, to the
extent practicable, to shippers all sums, plus interest, which
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the use of a facility that affects the value of that transpor-
tation or service, or another device.
‘‘(b)(1) A carrier providing transportation or service
described in paragraph (1) of subsection (a) shall publish
and file with the Intermodal Surface Transportation Board
tariffs containing the rates established for such transpor-
tation or service. The Transportation Board may prescribe
other information that carriers shall include in such tariffs.
‘‘(2) Carriers that publish tariffs under this subsection
shall keep them open for public inspection.
‘‘(c) The Transportation Board shall prescribe the
form and manner of publishing, filing, and keeping tariffs
open for public inspection under subsection (b). The Trans-
portation Board may prescribe specific charges to be identi-
fied in a tariff published by a carrier, but those tariffs must
identify plainly—
‘‘(1) the carriers that are parties to it;
‘‘(2) the places between which property will be
transported;
‘‘(3) terminal charges if a carrier providing
transportation or service subject to jurisdiction under
subchapter III of chapter 135 of this title;
‘‘(4) privileges given and facilities allowed; and
‘‘(5) any rules that change, affect, or determine
any part of the published rate.
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‘‘(d) The Transportation Board may permit carriers
to change rates, classifications, rules, and practices without
filing complete tariffs that cover matter that is not being
changed when the Transportation Board finds that action
to be consistent with the public interest. Those carriers may
either—
‘‘(1) 
publish 
new 
tariffs 
that 
incorporate
changes, or
‘‘(2) plainly indicate the proposed changes in the
tariffs then in effect and kept open for public inspec-
tion.
‘‘(e) The Transportation Board may reject a tariff sub-
mitted to it by a carrier under subsection (b) if that tariff
violates this section or regulation of the Transportation
Board carrying out this section.
‘‘(f)(1) A carrier providing transportation described in
subsection (a)(2) shall maintain rates and related rules and
practices in a published tariff. The tariff must be available
for inspection by the Transportation Board and by ship-
pers, upon reasonable request, at the offices of the carrier
and of each tariff publishing agent of the carrier.
‘‘(2) A carrier that maintains a tariff and makes it
available for inspection as provided in paragraph (1) may
not enforce the provisions of the tariff unless the carrier
has given notice that the tariff is available for inspection
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in its bill of lading or by other actual notice to individuals
whose shipments are subject to the tariff.
‘‘(3) A carrier that maintains a tariff under this sub-
section is bound by the tariff except as otherwise provided
in this subtitle. A carrier that does not maintain a tariff
as provided in this subsection may not enforce the tariff
against any individual shipper except as otherwise pro-
vided in this subtitle, and shall not transport household
goods described in section 13102(9)(A).
‘‘(4) A carrier may incorporate by reference the rates,
terms, and other conditions in a tariff in agreements cover-
ing the transportation of household goods (except those
household goods described in section 13102(9)(A)(i)), if the
tariff is maintained as provided in this subsection and the
agreement gives notice of the incorporation and of the avail-
ability of the tariff for inspection by the commercial ship-
per.
‘‘(5) A complaint that a rate or related rule or practice
maintained in a tariff under this subsection violates section
13701(a) may be filed with the Transportation Board.
‘‘§ 13703. Certain collective activities; exemption from
antitrust laws
‘‘(a) AGREEMENTS.—
‘‘(1) AUTHORITY TO ENTER.—A motor carrier
providing transportation or service subject to jurisdic-
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tion under chapter 135 may enter into an agreement
with one or more such carriers to establish—
‘‘(A) through routes and joint rates;
‘‘(B) rates for the transportation of house-
hold goods described in section 13102(9)(A);
‘‘(C) classifications;
‘‘(D) mileage guides;
‘‘(E) rules;
‘‘(F) divisions;
‘‘(G) rate adjustments of general applica-
tion based on industry average carrier costs (so
long as there is no discussion of individual mar-
kets or particular single-line rates); or
‘‘(H) procedures for joint consideration, ini-
tiation, or establishment of matters described in
subparagraphs (A) through (G).
‘‘(2) SUBMISSION OF AGREEMENT TO TRANSPOR-
TATION
BOARD; APPROVAL.—An agreement entered
into under subsection (a) may be submitted by any
carrier or carriers that are parties to such agreement
to the Transportation Board for approval and may be
approved by the Transportation Board only if it
finds that such agreement is in the public interest.
‘‘(3) CONDITIONS.—The Transportation Board
may require compliance with reasonable conditions
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consistent with this part to assure that the agreement
furthers the transportation policy set forth in section
13101.
‘‘(4) 
INVESTIGATIONS.—The 
Transportation
Board may suspend and investigate the reasonable-
ness of any classification or rate adjustment of gen-
eral application made pursuant to an agreement
under this section.
‘‘(5) EFFECT OF APPROVAL.—If the Transpor-
tation Board approves the agreement or renews ap-
proval of the agreement, it may be made and carried
out under its terms and under the conditions required
by the Transportation Board, and the antitrust laws,
as defined in the first section of the Clayton Act (15
U.S.C. 12), do not apply to parties and other persons
with respect to making or carrying out the agreement.
‘‘(b) RECORDS.—The Transportation Board may re-
quire an organization established or continued under an
agreement approved under this section to maintain records
and submit reports. The Transportation Board, or its dele-
gate, may inspect a record maintained under this section,
or monitor any organization’s compliance with this section.
‘‘(c) REVIEW.—The Transportation Board may review
an agreement approved under this section, on its own ini-
tiative or on request, and shall change the conditions of ap-
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proval or terminate it when necessary to protect the public
interest. Action of the Transportation Board under this sec-
tion—
‘‘(1) approving an agreement,
‘‘(2) denying, ending, or changing approval,
‘‘(3) prescribing the conditions on which ap-
proval is granted, or
‘‘(4) changing those conditions,
has effect only as related to application of the antitrust laws
referred to in subsection (a).
‘‘(d) EXPIRATION OF APPROVALS; RENEWALS.—Sub-
ject to subsection (c), approval of an agreement under sub-
section (a) shall expire 3 years after the date of approval
unless renewed under this subsection. The approval may be
renewed upon request of the parties to the agreement if such
parties resubmit the agreement to the Transportation
Board, the agreement is unchanged, and the Transportation
Board approves such renewal. The Transportation Board
shall approve the renewal unless it finds that the renewal
is not in the public interest.
‘‘(e) EXISTING AGREEMENTS.—Agreements approved
under former section 10706(b) and in effect on the day be-
fore the effective date of this section shall be treated for pur-
poses of this section as approved by the Transportation
Board under this section beginning on such effective date.
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‘‘(f) LIMITATIONS ON STATUTORY CONSTRUCTION.—
‘‘(1) UNDERCHARGE CLAIMS.—Nothing in this
section shall serve as a basis for any undercharge
claim.
‘‘(2) OBLIGATION OF SHIPPER.—Nothing in this
title, the Interstate Commerce Commission Sunset Act
of 1995, or any amendments or repeals made by such
Act shall be construed as creating any obligation for
a shipper based solely on a classification that was on
file with the Interstate Commerce Commission or else-
where on the day before the effective date of this sec-
tion.
‘‘(g) MILEAGE RATE LIMITATION.—No carrier subject
to jurisdiction under subchapter I or III of chapter 135 of
this title may enforce collection of its mileage rates or classi-
fications unless such carrier or forwarder maintains its
own independent publication of mileage or classification
which can be examined by any interested person upon rea-
sonable request or is a participant in a publication of mile-
ages or classifications formulated under an agreement ap-
proved under this section.
‘‘(h) SINGLE LINE RATE DEFINED.—In this section,
the term ‘single line rate’ means a rate, charge, or allowance
proposed by a single motor carrier that is applicable only
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over its line and for which the transportation can be pro-
vided by that carrier.
‘‘§ 13704. Household goods rates—estimates; guaran-
tees of service
‘‘(a)(1) Subject to the provisions of paragraph (2) of
this subsection, a motor carrier providing transportation
of household goods subject to jurisdiction under subchapter
I of chapter 135 of this title may establish a rate for the
transportation of household goods which is based on the car-
rier’s written, binding estimate of charges for providing
such transportation.
‘‘(2) Any rate established under this subsection must
be available on a nonpreferential basis to shippers and must
not result in charges to shippers which are predatory.
‘‘(b)(1) Subject to the provisions of paragraph (2) of
this subsection, a motor carrier providing transportation
of household goods subject to jurisdiction under subchapter
I of chapter 135 of this title may establish rates for the
transportation of household goods which guarantee that the
carrier will pick up and deliver such household goods at
the times specified in the contract for such services and pro-
vide a penalty or per diem payment in the event the carrier
fails to pick up or deliver such household goods at the speci-
fied time. The charges, if any, for such guarantee and pen-
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alty provision may vary to reflect one or more options
available to meet a particular shipper’s needs.
‘‘(2) Before a carrier may establish a rate for any serv-
ice under paragraph (1) of this subsection, the Secretary
of Transportation may require such carrier to have in effect
and keep in effect, during any period such rate is in effect
under such paragraph, a rate for such service which does
not guarantee the pick up and delivery of household goods
at the times specified in the contract for such services and
which does not provide a penalty or per diem payment in
the event the carrier fails to pick up or deliver household
goods at the specified time.
‘‘§ 13705. Requirements for through routes among
motor carriers of passengers
‘‘(a) A motor carrier of passengers shall establish
through routes with other carriers of the same type and
shall establish individual and joint rates applicable to
them.
‘‘(b) A through route between motor carriers providing
transportation of passengers subject to jurisdiction under
subchapter I of chapter 135 must be reasonable.
‘‘(c) When the Intermodal Surface Transportation
Board finds it necessary to enforce the requirements of this
section, the Transportation Board may prescribe through
routes and the conditions under which those routes must
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be operated for motor carriers providing transportation of
passengers subject to jurisdiction under subchapter I of
chapter 135.
‘‘§ 13706. Liability for payment of rates
‘‘(a) Liability for payment of rates for transportation
for a shipment of property by a shipper or consignor to
a consignee other than the shipper or consignor, is deter-
mined under this section when the transportation is pro-
vided by motor carrier under this part. When the shipper
or consignor instructs the carrier transporting the property
to deliver it to a consignee that is an agent only, not having
beneficial title to the property, the consignee is liable for
rates billed at the time of delivery for which the consignee
is otherwise liable, but not for additional rates that may
be found to be due after delivery if the consignee gives writ-
ten notice to the delivering carrier before delivery of the
property—
‘‘(1) of the agency and absence of beneficial title;
and
‘‘(2) of the name and address of the beneficial
owner of the property if it is reconsigned or diverted
to a place other than the place specified in the origi-
nal bill of lading.
‘‘(b) When the consignee is liable only for rates billed
at the time of delivery under subsection (a) of this section,
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the shipper or consignor, or, if the property is reconsigned
or diverted, the beneficial owner is liable for those addi-
tional rates regardless of the bill of lading or contract under
which the property was transported. The beneficial owner
is liable for all rates when the property is reconsigned or
diverted by an agent but is refused or abandoned at its ulti-
mate destination if the agent gave the carrier in the
reconsignment or diversion order a notice of agency and
the name and address of the beneficial owner. A consignee
giving the carrier erroneous information about the identity
of the beneficial owner of the property is liable for the addi-
tional rates.
‘‘§ 13707. Billing and collecting practices
‘‘(a) A motor carrier subject to jurisdiction under sub-
chapter I of chapter 135 shall disclose, when a document
is presented or electronically transmitted for payment to
the person responsible directly to the motor carrier for pay-
ment or agent of such responsible person, the actual rates,
charges, or allowances for any transportation service. No
person may cause a motor carrier to present false or mis-
leading information on a document about the actual rate,
charge, or allowance to any party to the transaction. When
the actual rate, charge, or allowance is dependent upon the
performance of a service by a party to the transportation
arrangement, such as tendering a volume of freight over a
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stated period of time, the motor carrier shall indicate in
any document presented for payment to the person respon-
sible directly to the motor carrier that a reduction, allow-
ance, or other adjustment may apply.
‘‘(b) The Transportation Board shall promulgate regu-
lations that prohibit a motor carrier subject to jurisdiction
under subchapter II of chapter 105 of this title from provid-
ing a reduction in a rate for the provision of transportation
of property to any person other than—
‘‘(1) the person paying the motor carrier directly
for the transportation service according to the bill of
lading, receipt, or contract; or
‘‘(2) an agent of the person paying for the trans-
portation.
‘‘§ 13708. Procedures for resolving claims involving
unfiled, negotiated transportation rates
‘‘(a) IN GENERAL.—When a claim is made by a motor
carrier of property (other than a household goods carrier)
providing transportation subject to jurisdiction under sub-
chapter II of chapter 105 of this title (as in effect on the
day before the effective date of this section) or subchapter
I of chapter 135 of this title, by a freight forwarder (other
than a household goods freight forwarder), or by a party
representing such a carrier or freight forwarder regarding
the collection of rates or charges for such transportation in
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addition to those originally billed and collected by the car-
rier or freight forwarder for such transportation, the person
against whom the claim is made may elect to satisfy the
claim under the provisions of subsection (b), (c), or (d),
upon showing that—
‘‘(1) the carrier or freight forwarder is no longer
transporting property or is transporting property for
the purpose of avoiding the application of this sec-
tion; and
‘‘(2) with respect to the claim—
‘‘(A) the person was offered a transpor-
tation rate by the carrier or freight forwarder
other than that legally on file at the time with
the Transportation Board or with the former
Interstate Commerce Commission, as required,
for the transportation service;
‘‘(B) the person tendered freight to the car-
rier or freight forwarder in reasonable reliance
upon the offered transportation rate;
‘‘(C) the carrier or freight forwarder did not
properly or timely file with the Transportation
Board or with the former Interstate Commerce
Commission, as required, a tariff providing for
such transportation rate or failed to enter into
an agreement for contract carriage;
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‘‘(D) such transportation rate was billed
and collected by the carrier or freight forwarder;
and
‘‘(E) the carrier or freight forwarder de-
mands additional payment of a higher rate filed
in a tariff.
If there is a dispute as to the showing under para-
graph (1), such dispute shall be resolved by the court
in which the claim is brought. If there is a dispute
as to the showing under paragraph (2), such dispute
shall be resolved by the Intermodal Surface Transpor-
tation Board. Pending the resolution of any such dis-
pute, the person shall not have to pay any additional
compensation to the carrier or freight forwarder. Sat-
isfaction of the claim under subsection (b), (c), or (d)
shall be binding on the parties, and the parties shall
not be subject to chapter 149 of this title or chapter
119 of this title, as such chapter was in effect on the
date before the date of enactment of the Interstate
Commerce Commission Sunset Act of 1995.
‘‘(b) CLAIMS INVOLVING SHIPMENTS WEIGHING 10,000
POUNDS OR LESS.—A person from whom the additional le-
gally applicable and effective tariff rate or charges are
sought may elect to satisfy the claim if the shipments each
weighed 10,000 pounds or less, by payment of 20 percent
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of the difference between the carrier’s applicable and effec-
tive tariff rate and the rate originally billed and paid. In
the event that a dispute arises as to the rate that was legally
applicable to the shipment, such dispute shall be resolved
by the Transportation Board .
‘‘(c) CLAIMS INVOLVING SHIPMENTS WEIGHING MORE
THAN 10,000 POUNDS.—A person from whom the addi-
tional legally applicable and effective tariff rate or charges
are sought may elect to satisfy the claim if the shipments
each weighed more than 10,000 pounds, by payment of 15
percent of the difference between the carrier’s applicable and
effective tariff rate and the rate originally billed and paid.
In the event that a dispute arises as to the rate that was
legally applicable to the shipment, such dispute shall be re-
solved by the Transportation Board.
‘‘(d) CLAIMS INVOLVING PUBLIC WAREHOUSEMEN.—
Notwithstanding subsections (b) and (c), a person from
whom the additional legally applicable and effective tariff
rate or charges are sought may elect to satisfy the claim
by payment of 5 percent of the difference between the car-
rier’s applicable and effective tariff rate and the rate origi-
nally billed and paid if such person is a public warehouse-
man. In the event that a dispute arises as to the rate that
was legally applicable to the shipment, such dispute shall
be resolved by the Transportation Board.
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‘‘(e) EFFECTS OF ELECTION.—When a person from
whom additional legally applicable freight rates or charges
are sought does not elect to use the provisions of subsection
(b), (c) or (d), the person may pursue all rights and rem-
edies existing under this part or, for transportation pro-
vided before the effective date of this section, all rights and
remedies that existed under this title on the day before the
date of enactment of the Interstate Commerce Commission
Sunset Act of 1995.
‘‘(f) STAY OF ADDITIONAL COMPENSATION.—When a
person proceeds under this section to challenge the reason-
ableness of the legally applicable freight rate or charges
being claimed by a carrier or freight forwarder described
in subsection (a) in addition to those already billed and
collected, the person shall not have to pay any additional
compensation to the carrier or freight forwarder until the
Transportation Board has made a determination as to the
reasonableness of the challenged rate as applied to the
freight of the person against whom the claim is made.
‘‘(g) NOTIFICATION OF ELECTION.—
‘‘(1) GENERAL RULE.—A person must notify the
carrier or freight forwarder as to its election to pro-
ceed under subsection (b), (c), or (d). Except as pro-
vided in paragraphs (2), (3), and (4), such election
may be made at any time.
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‘‘(2) DEMANDS FOR PAYMENT INITIALLY MADE
AFTER DECEMBER 3, 1993.—If the carrier or freight
forwarder or party representing such carrier or
freight forwarder initially demands the payment of
additional freight charges after December 3, 1993,
and notifies the person from whom additional freight
charges are sought of the provisions of subsections (a)
through (f) at the time of the making of such initial
demand, the election must be made not later than the
later of—
‘‘(A) the 60th day following the filing of an
answer to a suit for the collection of such addi-
tional legally applicable freight rate or charges,
or
‘‘(B) March 5, 1994.
‘‘(3) PENDING SUITS FOR COLLECTION MADE BE-
FORE DECEMBER 4, 1993.—If the carrier or freight
forwarder or party representing such carrier or
freight forwarder has filed, before December 4, 1993,
a suit for the collection of additional freight charges
and notifies the person from whom additional freight
charges are sought of the provisions of subsections (a)
through (f), the election must be made not later than
the 90th day following the date on which such notifi-
cation is received.
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‘‘(4) DEMANDS FOR PAYMENT MADE BEFORE DE-
CEMBER 4, 1993.—If the carrier or freight forwarder
or party representing such carrier or freight for-
warder has demanded the payment of additional
freight charges, and has not filed a suit for the collec-
tion of such additional freight charges, before Decem-
ber 4, 1993, and notifies the person from whom addi-
tional freight charges are sought of the provisions of
subsections (a) through (f), the election must be made
not later than the later of—
‘‘(A) the 60th day following the filing of an
answer to a suit for the collection of such addi-
tional legally applicable freight rate or charges,
or
‘‘(B) March 5, 1994.
‘‘(h) CLAIMS INVOLVING SMALL-BUSINESS CONCERNS,
CHARITABLE ORGANIZATIONS, AND RECYCLABLE MATE-
RIALS.—Notwithstanding subsections (b), (c), and (d), a
person from whom the additional legally applicable and ef-
fective tariff rate or charges are sought shall not be liable
for the difference between the carrier’s applicable and effec-
tive tariff rate and the rate originally billed and paid—
‘‘(1) if such person qualifies as a small-business
concern under the Small Business Act (15 U.S.C. 631
et seq.),
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‘‘(2) if such person is an organization which is
described in section 501(c)(3) of the Internal Revenue
Code of 1986 and exempt from tax under section
501(a) of such Code, or
‘‘(3) if the cargo involved in the claim is recycla-
ble materials. In this provision, ‘recyclable materials’
means waste products for recycling or reuse in the
furtherance of recognized pollution control programs.
‘‘§ 13709. Additional motor carrier undercharge provi-
sions
‘‘(a)(1) A motor carrier of property (other than a
motor carrier providing transportation in noncontiguous
domestic trade) shall provide to the shipper, on request of
the shipper, a written or electronic copy of the rate, classi-
fication, rules, and practices, upon which any rate agreed
to between the shipper and carrier may have been based.
‘‘(2) In those cases where a motor carrier (other than
a motor carrier providing transportation of household goods
or in noncontiguous domestic trade) seeks to collect charges
in addition to those billed and collected which are contested
by the payor, the carrier may request that the Transpor-
tation Board determine whether any additional charges
over those billed and collected must be paid. A carrier must
issue any bill for charges in addition to those originally
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billed within 180 days of the receipt of the original bill in
order to have the right to collect such charges.
‘‘(3) If a shipper seeks to contest the charges originally
billed, the shipper may request that the Transportation
Board determine whether the charges originally billed must
be paid. A shipper must contest the original bill within 180
days in order to have the right to contest such charges.
‘‘(4) Any tariff on file with the Interstate Commerce
Commission on August 26, 1994, not required to be filed
after that date is null and void beginning on that date.
Any tariff on file with the Interstate Commerce Commission
on the effective date of the Interstate Commerce Commission
Sunset Act of 1995 not required to be filed after that date
is null and void beginning on that date.
‘‘(b) If a motor carrier (other than a motor carrier
providing transportation of household goods) subject to ju-
risdiction under subchapter I of chapter 135 of this title
had authority to provide transportation as both a motor
common carrier and a motor contract carrier and a dispute
arises as to whether certain transportation that was pro-
vided prior to the effective date of the Interstate Commerce
Commission Sunset Act of 1995 was provided in its com-
mon carrier or contract carrier capacity and the parties
are not able to resolve the dispute consensually, the Trans-
portation Board shall resolve the dispute.
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‘‘§ 13710. Alternative Procedure for Resolving Under-
charge Disputes
‘‘(a) GENERAL RULE.—It shall be an unreasonable
practice for a motor carrier of property (other than a house-
hold goods carrier) providing transportation that is subject
to jurisdiction of subchapter I of chapter 135 of this title
or was subject to jurisdiction under subchapter II of chapter
105 of this title, a freight forwarder (other than a household
goods freight forwarder), or a party representing such a
carrier or freight forwarder to attempt to charge or to
charge for a transportation service the difference between—
‘‘(1) the applicable rate that was lawfully in ef-
fect pursuant to a tariff that was filed in accordance
with this chapter, or with respect to transportation
provided before the effective date of this section in ac-
cordance with chapter 107 of this title as in effect on
the date the transportation service was provided by
the carrier or freight forwarder applicable to such
transportation service; and
‘‘(2) the negotiated rate for such transportation
service if the carrier or freight forwarder is no longer
transporting property between places described in sec-
tion 13501(1) of this title or is transporting property
between places described in section 13501(1) of this
title for the purpose of avoiding the application of
this section.
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‘‘(b) JURISDICTION OF TRANSPORTATION BOARD.—
The Intermodal Surface Transportation Board shall have
jurisdiction to make a determination of whether or not at-
tempting to charge or the charging of a rate by a motor
carrier or freight forwarder or party representing a motor
carrier or freight forwarder is an unreasonable practice
under subsection (a). If the Transportation Board deter-
mines that attempting to charge or the charging of the rate
is an unreasonable practice under subsection (a), the car-
rier, freight forwarder, or party may not collect the dif-
ference described in subsection (a) between the applicable
rate and the negotiated rate for the transportation service.
In making such determination, the Transportation Board
shall consider—
‘‘(1) whether the person was offered a transpor-
tation rate by the carrier or freight forwarder or
party other than that legally on file with the Trans-
portation Board or with the Interstate Commerce
Commission, as required, at the time of the movement
for the transportation service;
‘‘(2) whether the person tendered freight to the
carrier or freight forwarder in reasonable reliance
upon the offered transportation rate;
‘‘(3) whether the carrier or freight forwarder did
not properly or timely file with the Transportation
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Board or with the Interstate Commerce Commission,
as required, a tariff providing for such transportation
rate or failed to enter into an agreement for contract
carriage;
‘‘(4) whether the transportation rate was billed
and collected by the carrier or freight forwarder; and
‘‘(5) whether the carrier or freight forwarder or
party demands additional payment of a higher rate
filed in a tariff.
‘‘(c) STAY OF ADDITIONAL COMPENSATION.—When a
person proceeds under this section to challenge the reason-
ableness of the practice of a motor carrier, freight forwarder,
or party described in subsection (a) to attempt to charge
or to charge the difference described in subsection (a) be-
tween the applicable rate and the negotiated rate for the
transportation service in addition to those charges already
billed and collected for the transportation service, the person
shall not have to pay any additional compensation to the
carrier, freight forwarder, or party until the Transpor-
tation Board has made a determination as to the reason-
ableness of the practice as applied to the freight of the per-
son against whom the claim is made.
‘‘(d) TREATMENT.—Subsection (a) is an exception to
the requirements of section 13702, and for transportation
prior to the effective date of the Interstate Commerce Com-
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mission Sunset Act of 1995, to the requirements of sections
10761(a) and 10762 of this title as in effect on the date
before the date of enactment of the Interstate Commerce
Commission Sunset Act of 1995, relating to a filed tariff
rate and other general tariff requirements.
‘‘(e) NONAPPLICABILITY OF NEGOTIATED RATE DIS-
PUTE RESOLUTION PROCEDURE.—If a person elects to seek
enforcement of subsection (a) with respect to a rate for a
transportation or service, section 13708 of this part shall
not apply to such rate.
‘‘(f) DEFINITIONS.—For purposes of this section, the
term ‘negotiated rate’ means a rate, charge, classification,
or rule agreed upon by a motor carrier or freight forwarder
and a shipper through negotiations pursuant to which no
tariff was lawfully and timely filed and for which there
is written evidence of such agreement.
‘‘§ 13711. Government traffic
‘‘A carrier providing transportation or service for the
United States Government may transport property or indi-
viduals for the United States Government without charge
or at a rate reduced from the applicable commercial rate.
Section 3709 of the Revised Statutes (41 U.S.C. 5) does not
apply when transportation for the United States Govern-
ment can be obtained from a carrier lawfully operating in
the area where the transportation would be provided.
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‘‘§ 13712. Food and grocery transportation
‘‘(a) CERTAIN
COMPENSATION
PROHIBITED.—Not-
withstanding any other provision of law, it shall not be un-
lawful for a seller of food and grocery products using a uni-
form zone delivered pricing system to compensate a cus-
tomer who picks up purchased food and grocery products
at the shipping point of the seller if such compensation is
available to all customers of the seller on a nondiscrim-
inatory basis and does not exceed the actual cost to the seller
of delivery to such customer.
‘‘(b) SENSE OF CONGRESS.—It is the sense of the Con-
gress that any savings accruing to a customer by reason
of compensation permitted by subsection (a) of this section
should be passed on to the ultimate consumer.
‘‘CHAPTER 139—REGISTRATION
‘‘§ 13901. Requirement for registration
‘‘A person may provide transportation or service sub-
ject to jurisdiction under subchapter I or III of chapter 135
of this title or be a broker for transportation subject to juris-
diction under subchapter I of that chapter, only if the per-
son is currently registered under this chapter to provide the
transportation or service.
‘‘§ 13902. Registration of motor carriers
‘‘(a)(1) Except as provided in this section, the Sec-
retary of Transportation shall register a person to provide
transportation subject to jurisdiction under subchapter I of
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chapter 135 of this title as a motor carrier if the Secretary
finds that the person is willing and able to comply with—
‘‘(A) this part, the applicable regulations of the
Secretary and the Intermodal Surface Transportation
Board, and any safety requirements imposed by the
Secretary,
‘‘(B) the safety fitness requirements established
by the Secretary under section 31144 of this title, and
‘‘(C) the minimum financial responsibility re-
quirements established by the Secretary pursuant to
sections 13906 and 31128 of this title.
‘‘(2) The Secretary shall consider and, to the extent
applicable, make findings on, any evidence demonstrating
that the registrant is unable to comply with the require-
ments of subparagraph (A), (B), or (C) of paragraph (1).
‘‘(3) The Secretary shall find any registrant as a
motor carrier under this section to be unfit if the registrant
does not meet the fitness requirements under paragraph (1)
of this subsection and shall withhold registration.
‘‘(4) The Secretary may hear a complaint from any
person concerning a registration under this subsection only
on the ground that the registrant fails or will fail to comply
with this part, the applicable regulations of the Secretary
and the Transportation Board, the safety requirements of
the Secretary, or the safety fitness or minimum financial
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responsibility requirements of paragraph (1) of this sub-
section.
‘‘(b) MOTOR CARRIERS OF PASSENGERS.—
‘‘(1) REGISTRATION OF PRIVATE RECIPIENTS OF
GOVERNMENT ASSISTANCE.—The Secretary shall reg-
ister under subsection (a)(1) a private recipient of
governmental assistance to provide special or charter
transportation subject to jurisdiction under sub-
chapter I of chapter 135 as a motor carrier of pas-
sengers if the Secretary finds that the recipient meets
the requirements of subsection (a)(1), unless the Sec-
retary finds, on the basis of evidence presented by any
person objecting to the registration, that the transpor-
tation to be provided pursuant to the registration is
not in the public interest.
‘‘(2) REGISTRATION OF PUBLIC RECIPIENTS OF
GOVERNMENTAL ASSISTANCE.—
‘‘(A) 
CHARTER
TRANSPORTATION.—The
Secretary shall register under subsection (a)(1) a
public recipient of governmental assistance to
provide special or charter transportation subject
to jurisdiction under subchapter I of chapter 135
as a motor carrier of passengers if the Secretary
finds that—
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‘‘(i) the recipient meets the require-
ments of subsection (a)(1); and
‘‘(ii)(I) no motor carrier of passengers
(other than a motor carrier of passengers
which is a public recipient of governmental
assistance) is providing, or is willing to
provide, the transportation; or
‘‘(II) the transportation is to be pro-
vided entirely in the area in which the pub-
lic recipient provides regularly scheduled
mass transportation services.
‘‘(B) REGULAR-ROUTE TRANSPORTATION.—
The Secretary shall register under subsection
(a)(1) a public recipient of governmental assist-
ance to provide regular-route transportation sub-
ject to jurisdiction under subchapter I of chapter
135 as a motor carrier of passengers if the Sec-
retary finds that the recipient meets the require-
ments of subsection (a)(1), unless the Secretary
finds, on the basis of evidence presented by any
person objecting to the registration, that the
transportation to be provided pursuant to the
registration is not in the public interest.
‘‘(C) TREATMENT OF CERTAIN PUBLIC RE-
CIPIENTS.—Any public recipient of governmental
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assistance which is providing or seeking to pro-
vide transportation of passengers subject to juris-
diction under subchapter I of chapter 135 shall,
for purposes of this part, be treated as a person
which is providing or seeking to provide trans-
portation of passengers subject to such jurisdic-
tion.
‘‘(3) INTRASTATE
TRANSPORTATION
BY
INTER-
STATE CARRIERS.—A motor carrier of passengers that
is registered by the Secretary under subsection (a) is
authorized to provide regular-route transportation en-
tirely in one State as a motor carrier of passengers
if such intrastate transportation is to be provided on
a route over which the carrier provides interstate
transportation of passengers.
‘‘(4) JURISDICTION OVER CERTAIN INTRASTATE
TRANSPORTATION.—Any 
intrastate 
transportation
authorized under this subsection, except as provided
in section 14501, shall be deemed to be transportation
subject to jurisdiction under subchapter I of chapter
135 of this title until such time, not later than 30
days after the date on which a motor carrier of pas-
sengers first begins providing transportation entirely
in one State pursuant to this paragraph, as the car-
rier takes such action as is necessary to establish
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under the laws of such State rates, rules, and prac-
tices applicable to such transportation.
‘‘(5) SPECIAL
OPERATIONS.—This subsection
shall not apply to any regular-route transportation of
passengers provided entirely in one State which is in
the nature of a special operation.
‘‘(6) REVOCATION
OF
AUTHORITY
FOR
INTRA-
STATE
TRANSPORTATION.—Notwithstanding 
para-
graph (3) of this subsection, intrastate transportation
authorized under this subsection may be suspended or
revoked by the Secretary under section 13905 of this
title at any time.
‘‘(7) PREEMPTION OF STATE REGULATION.—No
State or political subdivision thereof and no inter-
state agency or other political agency of two or more
States shall enact or enforce any law, rule, regulation,
standard or other provision having the force and ef-
fect of law relating to the provision of pickup and de-
livery of express packages, newspapers, or mail in a
commercial zone if the shipment has had or will have
a prior or subsequent movement by bus in intrastate
commerce and, if a city within the commercial zone,
is served by a motor carrier of passengers providing
regular-route transportation of passengers subject to
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jurisdiction under subchapter I of chapter 135 of this
title.
‘‘(8) DEFINITIONS.—In this subsection, the fol-
lowing definitions apply:
‘‘(A) PUBLIC RECIPIENT OF GOVERNMENTAL
ASSISTANCE.—The term ‘public recipient of gov-
ernmental assistance’ means—
‘‘(i) any State,
‘‘(ii) any municipality or other politi-
cal subdivision of a State,
‘‘(iii) any public agency or instrumen-
tality of one or more states and municipali-
ties and political subdivisions of a State,
‘‘(iv) any Indian tribe,
‘‘(v) any corporation, board, or other
person owned or controlled by any entity
described in clause (i), (ii), (iii), or (iv),
and
which, before, on, or after the effective date of
this subsection received governmental assistance
for the purchase or operation of any bus.
‘‘(B) PRIVATE RECIPIENT OF GOVERNMENT
ASSISTANCE.—The term ‘private recipient of gov-
ernment assistance’ means any person (other
than a person described in subparagraph (A))
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who before, on or after the effective date of this
paragraph received governmental financial as-
sistance in the form of a subsidy for the pur-
chase, lease, or operation of any bus.
‘‘(c) RESTRICTIONS ON MOTOR CARRIERS DOMICILED
IN OR OWNED OR CONTROLLED BY NATIONALS OF A CON-
TIGUOUS FOREIGN COUNTRY.—
‘‘(1) If the President of the United States, or his
or her delegate, determines that an act, policy, or
practice of a foreign country contiguous to the United
States, or any political subdivision or any instrumen-
tality of any such country is unreasonable or dis-
criminatory and burdens or restricts United States
transportation companies providing, or seeking to
provide, motor carrier transportation of property or
passengers to, from, or within such foreign country,
the President, or his or her delegate, may—
‘‘(A) seek elimination of such practices
through consultations; or
‘‘(B) notwithstanding any other provision
of law, suspend, modify, amend, condition, or re-
strict operations, including geographical restric-
tion of operations, in the United States by motor
carriers of property or passengers domiciled in
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such foreign country or owned or controlled by
persons of such foreign country.
‘‘(2) Any action taken under paragraph (1)(A)
to eliminate an act, policy, or practice shall be so de-
vised so as to equal to the extent possible the burdens
or restrictions imposed by such foreign country on
United States transportation companies.
‘‘(3) The President, or his or her delegate, may
remove or modify in whole or in part any action
taken under paragraph (1)(A) if the President, or his
or her delegate, determines that such removal or
modification is consistent with the obligations of the
United States under a trade agreement or with
United States transportation policy.
‘‘(4) Unless and until the President or his or her
delegate makes a determination under paragraphs (1)
or (3) above, nothing in this subsection shall affect—
‘‘(A) operations of motor carriers of prop-
erty or passengers domiciled in any contiguous
foreign country or owned or controlled by per-
sons of any contiguous foreign country permitted
in the commercial zones along the U.S.-Mexico
border as defined at the time of enactment of the
Interstate Commerce Commission Sunset Act of
1995; or
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‘‘(B) any existing restrictions on operations
of motor carriers of property or passengers domi-
ciled in any contiguous foreign country or owned
or controlled by persons of any contiguous for-
eign country or any modifications thereof pursu-
ant to section 6 of the Bus Regulatory Reform
Act of 1982.
‘‘(5) Unless the President, or his or her delegate,
determines that expeditious action is required, the
President shall publish in the Federal Register any
determination under paragraphs (1) or (3) together
with a description of the facts on which such a deter-
mination is based and any proposed action to be
taken pursuant to paragraphs (1)(B) or (3) and pro-
vide an opportunity for public comments.
‘‘(6) The President may delegate any or all au-
thority under this subsection to the Secretary of
Transportation, who shall consult with other agencies
as appropriate. In accordance with the directions of
the President, the Secretary of Transportation may
issue regulations to enforce this subsection.
‘‘(7) Either the Secretary of Transportation or
the Attorney General may bring a civil action in an
appropriate district court of the United States to en-
force this subsection or a regulation prescribed or
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order issued under this subsection. The court may
award appropriate relief, including injunctive relief.
‘‘(8) This subsection shall not affect the require-
ment for all foreign motor carriers and foreign motor
private carriers operating in the United States to
fully comply with all applicable laws and regulations
pertaining to fitness; safety of operations; financial
responsibility; and taxes imposed by section 4481 of
the Internal Revenue Code of 1994.
‘‘§ 13903. Registration of freight forwarders
‘‘(a) The Secretary of Transportation shall register a
person to provide service subject to jurisdiction under sub-
chapter III of chapter 135 as a freight forwarder, if the
Secretary finds that the person is fit, willing, and able to
provide the service and to comply with this part and appli-
cable regulations of the Secretary and the Intermodal Sur-
face Transportation Board.
‘‘(b) The freight forwarder may provide transportation
as the carrier itself only if the freight forwarder also has
been registered to provide transportation as a carrier under
this chapter.
‘‘§ 13904. Registration of motor carrier brokers
‘‘(a) The Secretary of Transportation shall register,
subject to section 13906(b) of this title, a person to be a
broker for transportation of property subject to jurisdiction
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under subchapter I of chapter 135 of this title, if the Sec-
retary finds that the person is fit, willing, and able to be
a broker for transportation and to comply with this part
and applicable regulations of the Secretary .
‘‘(b)(1) The broker may provide the transportation it-
self only if the broker also has been registered to provide
the transportation under this chapter.
‘‘(2) This subsection does not apply to a motor carrier
registered under this chapter or to an employee or agent
of the motor carrier to the extent the transportation is to
be provided entirely by the motor carrier, with other reg-
istered motor carriers, or with rail or water carriers.
‘‘(c) Regulations of the Secretary shall provide for the
protection of shippers by motor vehicle, to be observed by
brokers.
‘‘(d) The Secretary may impose on brokers for motor
carriers of passengers such requirements for bonds or insur-
ance or both as the Secretary determines are needed to pro-
tect passengers and carriers dealing with such brokers.
‘‘§ 13905. Effective periods of registration
‘‘(a) Each registration under section 13902, 13903, or
13904 of this title is effective from the date specified by the
Secretary of Transportation and remains in effect for a pe-
riod of 5 years except as otherwise provided in this section
or in section 13906. The Secretary may require any carrier
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or registrant to provide periodic updating of carrier infor-
mation.
‘‘(b) On application of the holder, the Secretary may
amend or revoke a registration. On complaint or on the
Secretary’s own initiative and after notice and an oppor-
tunity for a proceeding, the Secretary may suspend, amend,
or revoke any part of the registration of a motor carrier,
broker, or freight forwarder for willful failure to comply
with this part, an applicable regulation or order of the Sec-
retary or of the Intermodal Surface Transportation Board,
or a condition of its registration.
‘‘(c)(1) Except on application of the holder, the Sec-
retary may revoke a registration of a motor carrier, freight
forwarder, or broker, only after the Secretary has issued an
order to the holder under section 14701 of this title requir-
ing compliance with this part, a regulation of the Secretary,
or a condition of the registration of the holder, and the hold-
er willfully does not comply with the order.
‘‘(2) The Secretary may act under paragraph (1) of
this subsection only after giving the holder of the registra-
tion at least 30 days to comply with the order.
‘‘(d)(1) Without regard to subchapter II of chapter 5
of title 5, the Secretary may suspend the registration of a
motor carrier, a freight forwarder, or a broker for failure
to comply with safety requirements of the Secretary or the
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safety fitness requirements pursuant to section 13904(c),
13906, or 31144, of this title, or an order or regulation of
the Secretary prescribed under those sections.
‘‘(2) Without regard to subchapter II of chapter 5 of
title 5, the Secretary may suspend a registration of a motor
carrier of passengers if the Secretary finds that such carrier
is conducting unsafe operations which are an imminent
hazard to public health or property.
‘‘(3) The Secretary may suspend the registration only
after giving notice of the suspension to the holder. The sus-
pension remains in effect until the holder complies with
those applicable sections or, in the case of a suspension
under paragraph (2) of this subsection, until the Secretary
revokes such suspension.
‘‘§ 13906. Security of motor carriers, brokers, and
freight forwarders
‘‘(a)(1) The Secretary of Transportation may register
a motor carrier under section 13902 only if the registering
carrier (including a foreign motor carrier, and a foreign
motor private carrier) files with the Secretary a bond, in-
surance policy, or other type of security approved by the
Secretary, in an amount not less than such amount as the
Secretary prescribes pursuant to, or as is required by, sec-
tions 31138 and 31139 of this title, and the laws of the
State or States in which the carrier is operating, to the
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extent applicable. The security must be sufficient to pay,
not more than the amount of the security, for each final
judgment against the carrier for bodily injury to, or death
of, an individual resulting from the negligent operation,
maintenance, or use of motor vehicles, or for loss or damage
to property (except property referred to in paragraph (3)
of this subsection), or both. A registration remains in effect
only as long as the carrier continues to satisfy the security
requirements of this paragraph.
‘‘(2) A motor carrier and a foreign motor private car-
rier and foreign motor carrier operating in the United
States (when providing transportation between places in a
foreign country or between a place in one foreign country
and a place in another foreign country) shall comply with
the requirements of sections 13303 and 13304. To protect
the public, the Secretary may require any such motor car-
rier to file the type of security that a motor carrier is re-
quired to file under paragraph (1) of this subsection.
‘‘(3) The Secretary may require a registered motor car-
rier to file with the Secretary a type of security sufficient
to pay a shipper or consignee for damage to property of
the shipper or consignee placed in the possession of the
motor carrier as the result of transportation provided under
this part. A carrier required by law to pay a shipper or
consignee for loss, damage, or default for which a connecting
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motor carrier is responsible is subrogated, to the extent of
the amount paid, to the rights of the shipper or consignee
under any such security.
‘‘(b) The Secretary may register a person as a broker
under section 13904 of this title only if the person files with
the Secretary a bond, insurance policy, or other type of se-
curity approved by the Secretary to ensure that the trans-
portation for which a broker arranges is provided. The reg-
istration remains in effect only as long as the broker contin-
ues to satisfy the security requirements of this subsection.
‘‘(c)(1) The Secretary may register a person as a
freight forwarder under section 13903 of this title only if
the person files with the Secretary a bond, insurance policy,
or other type of security approved by the Secretary. The
security must be sufficient to pay, not more than the
amount of the security, for each final judgment against the
freight forwarder for bodily injury to, or death of, an indi-
vidual, or loss of, or damage to, property (other than prop-
erty referred to in paragraph (2) of this subsection), result-
ing from the negligent operation, maintenance, or use of
motor vehicles by or under the direction and control of the
freight forwarder when providing transfer, collection, or de-
livery service under this part.
‘‘(2) The Secretary may require a registered freight
forwarder to file with the Secretary a bond, insurance pol-
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icy, or other type of security approved by the Secretary suf-
ficient to pay, not more than the amount of the security,
for loss of, or damage to, property for which the freight for-
warder provides service.
‘‘(3) The freight forwarder’s registration remains in ef-
fect only as long as the freight forwarder continues to satisfy
the security requirements of this subsection.
‘‘(d) The Secretary may determine the type and
amount of security filed under this section. A motor carrier
may submit proof of qualifications as a self-insurer to sat-
isfy the security requirements of this section. The Secretary
shall adopt regulations governing the standards for ap-
proval as a self-insurer. Motor carriers which have been
granted authority to self-insure as of the date of enactment
of the Interstate Commerce Commission Sunset Act of 1995
shall retain that authority unless, for good cause shown and
after notice and an opportunity for a hearing, the Secretary
finds that the authority must be revoked.
‘‘(e) The Secretary shall promulgate regulations re-
quiring the submission to the Secretary of notices of insur-
ance cancellation sufficiently in advance of actual cancella-
tion so as to enable the Secretary to promptly revoke the
registration of any carrier or broker after the effective date
of the cancellation. The Secretary shall also prescribe the
appropriate form of endorsement to be appended to policies
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of insurance and surety bonds which will subject the insur-
ance policy or surety bond to the full security limits of the
coverage required under this section.
‘‘§ 13907. Household goods agents
‘‘(a) Each motor carrier providing transportation of
household goods subject to jurisdiction under subchapter I
of chapter 135 of this title shall be responsible for all acts
or omissions of any of its agents which relate to the per-
formance of household goods transportation services (includ-
ing accessorial or terminal services) subject to jurisdiction
under subchapter I of chapter 135 of this title and which
are within the actual or apparent authority of the agent
from the carrier or which are ratified by the carrier.
‘‘(b) Each motor carrier providing transportation of
household goods subject to jurisdiction under subchapter I
of chapter 135 of this title shall use due diligence and rea-
sonable care in selecting and maintaining agents who are
sufficiently knowledgeable, fit, willing, and able to provide
adequate household goods transportation services (including
accessorial and terminal services) and to fulfill the obliga-
tions imposed upon them by this part and by such carrier.
‘‘(c)(1) Whenever the Secretary of Transportation has
reason to believe from a complaint or investigation that an
agent providing household goods transportation services
(including accessorial and terminal services) under the au-
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thority of a motor carrier providing transportation of
household goods subject to jurisdiction under subchapter I
of chapter 135 of this title has violated section 14901(e) or
14912 of this title or is consistently not fit, willing, and
able to provide adequate household goods transportation
services (including accessorial and terminal services), the
Secretary may issue to such agent a complaint stating the
charges and containing notice of the time and place of a
hearing which shall be held no later than 60 days after serv-
ice of the complaint to such agent.
‘‘(2) Such agent shall have the right to appear at such
hearing and rebut the charges contained in the complaint.
‘‘(3) If such person does not appear at the hearing or
if the Secretary finds that the agent has violated section
14901(e) or 14912 of this title or is consistently not fit,
willing, and able to provide adequate household goods trans-
portation services (including accessorial and terminal serv-
ices), the Secretary may issue an order to compel compli-
ance with the requirement that the agent be fit, willing, and
able. Thereafter, the Secretary may issue an order to limit,
condition, or prohibit such agent from any involvement in
the transportation or provision of services incidental to the
transportation of household goods subject to jurisdiction
under subchapter I of chapter 135 of this title if, after notice
and an opportunity for a hearing, the Secretary finds that
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such agent, within a reasonable time after the date of issu-
ance of a compliance order under this section, but in no
event less than 30 days after such date of issuance, has will-
fully failed to comply with such order.
‘‘(4) Upon filing of a petition with the Secretary by
an agent who is the subject of an order issued pursuant
to the second sentence of paragraph (3) of this subsection
and after notice, a hearing shall be held with an oppor-
tunity to be heard. At such hearing, a determination shall
be made whether the order issued pursuant to paragraph
(3) of this subsection should be rescinded.
‘‘(5) Any agent adversely affected or aggrieved by an
order of the Secretary issued under this subsection may seek
relief in the appropriate United States court of appeals as
provided by and in the manner prescribed in chapter 158
of title 28, United States Code.
‘‘(d) The antitrust laws, as defined in the first section
of the Clayton Act (15 U.S.C. 12), do not apply to discus-
sions or agreements between a motor carrier providing
transportation of household goods subject to jurisdiction
under subchapter I of chapter 135 of this title and its agents
(whether or not an agent is also a carrier) related solely
to (1) rates for the transportation of household goods under
the authority of the principal carrier, (2) accessorial, termi-
nal, storage, or other charges for services incidental to the
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transportation of household goods transported under the au-
thority of the principal carrier, (3) allowances relating to
transportation of household goods under the authority of the
principal carrier, and (4) ownership of a motor carrier pro-
viding transportation of household goods subject to jurisdic-
tion under subchapter I of chapter 135 of this title by an
agent or membership on the board of directors of any such
motor carrier by an agent.
‘‘§ 13908. Registration and other reforms
‘‘(a) IN GENERAL.—Within 18 months after the date
of enactment of the Interstate Commerce Commission Sun-
set Act of 1995, the Secretary, in cooperation with the
States, industry groups, and other interested parties shall
conduct a study to determine whether, and to what extent,
the current Department of Transportation identification
number system, the single State registration system under
section 14505, the registration system contained in this
chapter, and the financial responsibility information sys-
tem under section 13906, should be modified or replaced
with a single, on-line Federal system.
‘‘(b) FACTORS TO BE CONSIDERED.—In conducting
the rulemaking under subsection (a), the Secretary shall,
at a minimum, consider the following factors:
‘‘(1) Funding for State enforcement of motor car-
rier safety regulations.
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‘‘(2) Whether the existing single State registra-
tion system is duplicative and burdensome.
‘‘(3) The justification and need for collecting the
statutory fee for such system under section 145-
5(c)(2)(B)(iv).
‘‘(4) The public safety.
‘‘(5) The efficient delivery of transportation serv-
ices.
‘‘(6) How, and under what conditions, to extend
the registration system to motor private carriers and
to carriers exempt under sections 13502, 13503, and
13506.
‘‘(c) FEE SYSTEM.—The Secretary may consider
whether to establish, under section 9701 of title 31, a fee
system for registration and filing evidence of financial re-
sponsibility under the new system under subsection (a).
‘‘(d) DEADLINE.—The Secretary shall conclude the
study under this section within 18 months and report to
Congress on the findings, together with recommendations
for any appropriate legislative changes that may be needed.
‘‘CHAPTER 141—OPERATIONS OF CARRIERS
‘‘SUBCHAPTER I—GENERAL REQUIREMENTS
‘‘§ 14101. Providing transportation and service
‘‘(a) A carrier providing transportation or service sub-
ject to jurisdiction under chapter 135 of this title shall pro-
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vide the transportation or service on reasonable request. In
addition, a motor carrier shall provide safe and adequate
service, equipment, and facilities.
‘‘(b) A carrier providing transportation or service sub-
ject to jurisdiction under chapter 135 of this title may enter
into a contract with a shipper, other than a shipper of
household goods described in section 13102(9)(A)(i), to pro-
vide specified services under specified rates and conditions.
If the shipper and carrier in writing expressly waives any
or all rights and remedies under this part for the transpor-
tation covered by the contract, the transportation provided
under that contract shall not be subject to those provisions
of this part, and may not be subsequently challenged on
the ground that it violates such provision. The parties may
not waive the provisions governing registration, insurance,
or safety fitness. The exclusive remedy for any alleged
breach of a contract entered into under this subsection shall
be an action in an appropriate State court or United States
district court, unless the parties otherwise agree.
‘‘§ 14102. Leased motor vehicles
‘‘(a) The Secretary of Transportation may require a
motor carrier providing transportation subject to jurisdic-
tion under subchapter I of chapter 135 of this title that
uses motor vehicles not owned by it to transport property
under an arrangement with another party to—
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‘‘(1) make the arrangement in writing signed by
the parties specifying its duration and the compensa-
tion to be paid by the motor carrier;
‘‘(2) carry a copy of the arrangement in each
motor vehicle to which it applies during the period
the arrangement is in effect;
‘‘(3) inspect the motor vehicles and obtain liabil-
ity and cargo insurance on them; and
‘‘(4) have control of and be responsible for oper-
ating those motor vehicles in compliance with require-
ments prescribed by the Secretary on safety of oper-
ations and equipment, and with other applicable law
as if the motor vehicles were owned by the motor car-
rier.
‘‘(b) The Secretary shall require, by regulation, that
any arrangement, between a motor carrier of property pro-
viding transportation subject to jurisdiction under sub-
chapter I of chapter 135 of this title and any other person,
under which such other person is to provide any portion
of such transportation by a motor vehicle not owned by the
carrier shall specify, in writing, who is responsible for load-
ing and unloading the property onto and from the motor
vehicle.
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‘‘§ 14103. Loading and unloading motor vehicles
‘‘(a) Whenever a shipper or receiver of property re-
quires that any person who owns or operates a motor vehicle
transporting property in interstate commerce (whether or
not such transportation is subject to jurisdiction under sub-
chapter I of chapter 135 of this title) be assisted in the load-
ing or unloading of such vehicle, the shipper or receiver
shall be responsible for providing such assistance or shall
compensate the owner or operator for all costs associated
with securing and compensating the person or persons pro-
viding such assistance.
‘‘(b) It shall be unlawful to coerce or attempt to coerce
any person providing transportation of property by motor
vehicle for compensation in interstate commerce (whether
or not such transportation is subject to jurisdiction under
subchapter I of chapter 135 of this title) to load or unload
any part of such property onto or from such vehicle or to
employ or pay one or more persons to load or unload any
part of such property onto or from such vehicle, except that
this subsection shall not be construed as making unlawful
any activity which is not unlawful under the National
Labor Relations Act or the Act of March 23, 1932 (47 Stat.
70; 29 U.S.C. 101 et seq.), commonly known as the Norris-
LaGuardia Act.
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‘‘§ 14104. Household goods carrier operations
‘‘(a)(1) The Secretary of Transportation may issue
regulations, including regulations protecting individual
shippers, in order to carry out this part with respect to
the transportation of household goods by motor carriers sub-
ject to jurisdiction under subchapter I of chapter 135 of this
title. The regulations and paperwork required of motor car-
riers providing transportation of household goods shall be
minimized to the maximum extent feasible consistent with
the protection of individual shippers.
‘‘(2) Regulations of the Secretary protecting individual
shippers shall include, where appropriate, reasonable per-
formance standards for the transportation of household
goods subject to jurisdiction under subchapter I of chapter
135 of this title. In establishing performance standards
under this paragraph, the Secretary shall take into account
at least the following:
‘‘(A) The level of performance that can be
achieved by a well-managed motor carrier transport-
ing household goods.
‘‘(B) The degree of harm to individual shippers
which could result from a violation of the regulation.
‘‘(C) The need to set the level of performance at
a level sufficient to deter abuses which result in harm
to consumers and violations of regulations.
‘‘(D) Service requirements of the carriers.
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‘‘(E) The cost of compliance in relation to the
consumer benefits to be achieved from such compli-
ance.
‘‘(F) The need to set the level of performance at
a level designed to encourage carriers to offer service
responsive to shipper needs.
‘‘(3) Nothing in this section shall be construed to limit
the Secretary’s authority to require reports from motor car-
riers providing transportation of household goods or to re-
quire such carriers to provide specified information to con-
sumers concerning their past performance.
‘‘(b)(1) Every motor carrier providing transportation
of household goods subject to jurisdiction under subchapter
I of chapter 135 of this title may, upon request of a prospec-
tive shipper, provide the shipper with an estimate of charges
for transportation of household goods and for the proposed
services. The Secretary shall not prohibit any such carrier
from charging a prospective shipper for providing a writ-
ten, binding estimate for the transportation and proposed
services.
‘‘(2) Any charge for an estimate of charges provided
by a motor carrier to a shipper for transportation of house-
hold goods subject to jurisdiction under subchapter I of
chapter 135 of this title shall be subject to the antitrust
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laws, as defined in the first section of the Clayton Act (15
U.S.C. 12).
‘‘(c) The Secretary shall issue regulations that provide
motor carriers providing transportation of household goods
subject to jurisdiction under subchapter I of chapter 135
of this title with the maximum possible flexibility in weigh-
ing shipments, consistent with assurance to the shipper of
accurate weighing practices. The Secretary shall not pro-
hibit such carriers from backweighing shipments or from
basing their charges on the reweigh weights if the shipper
observes both the tare and gross weighings (or, prior to such
weighings, waives in writing the opportunity to observe
such weighings) and such weighings are performed on the
same scale.
‘‘SUBCHAPTER II—REPORTS AND RECORDS
‘‘§ 14121. Definitions
‘‘In this subchapter—
‘‘(1) ‘carrier’ and ‘broker’ include a receiver or
trustee of a carrier and broker, respectively.
‘‘(2) ‘association’ means an organization main-
tained by or in the interest of a group of carriers or
brokers providing transportation or service subject to
jurisdiction under chapter 135 of this title that per-
forms a service, or engages in activities, related to
transportation under this part.
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‘‘§ 14122. Records: form; inspection; preservation
‘‘(a) The Secretary of Transportation or the Inter-
modal Surface Transportation Board, as applicable, may
prescribe the form of records required to be prepared or com-
piled under this subchapter by carriers and brokers, includ-
ing records related to movement of traffic and receipts and
expenditures of money.
‘‘(b) The Secretary or Transportation Board, or an
employee designated by the Secretary or Transportation
Board, may on demand and display of proper credentials—
‘‘(1) inspect and examine the lands, buildings,
and equipment of a carrier or broker; and
‘‘(2) inspect and copy any record of—
‘‘(A) a carrier, broker, or association; and
‘‘(B) a person controlling, controlled by, or
under common control with a carrier if the Sec-
retary or Transportation Board, as applicable,
considers inspection relevant to that person’s re-
lation to, or transaction with, that carrier.
‘‘(c) The Secretary or Transportation Board, as appli-
cable, may prescribe the time period during which operat-
ing, accounting, and financial records must be preserved
by carriers.
‘‘§ 14123. Reports by carriers, brokers, and associa-
tions
‘‘(a) The Secretary—
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‘‘(1) shall require class I and class II motor car-
riers (as defined by the Secretary) to file annual re-
ports with the Secretary, including a detailed balance
sheet and income statement, information related to
the ownership or lease of equipment operated by the
motor carrier, and data related to the movement of
traffic and safety performance, the form and sub-
stance of which shall be prescribed by the Secretary
and may vary for different classes of motor carriers;
‘‘(2) may require carriers, freight forwarders,
brokers, lessors, and associations, or classes of them as
the Secretary may prescribe, to file quarterly, peri-
odic, or special reports with the Secretary and to re-
spond to surveys concerning their operations; and
‘‘(3) shall have the authority upon good cause
shown to exempt any party from the financial report-
ing requirements prescribed by subsection (a)(1) or
(a)(2).
‘‘(b) Any request for exemption under paragraph (3)
of subsection (a) must demonstrate, at a minimum, that
an exemption is required to avoid competitive harm and
preserve confidential business information that is not other-
wise publicly available. Exemptions shall only be granted
for one-year periods.’’.
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‘‘(c) The Intermodal Surface Transportation Board
may require carriers to file special reports containing infor-
mation needed by the Transportation Board.
‘‘CHAPTER 143—FINANCE
‘‘§ 14301. Security interests in certain motor vehicles
‘‘(a) In this section—
‘‘(1) ‘motor vehicle’ means a truck of rated ca-
pacity (gross vehicle weight) of at least 10,000
pounds, a highway tractor of rated capacity (gross
combination weight) of at least 10,000 pounds, a
property-carrying trailer or semitrailer with at least
one load-carrying axle of at least 10,000 pounds, or
a motor bus with a seating capacity of at least 10 in-
dividuals.
‘‘(2) ‘lien creditor’ means a creditor having a
lien on a motor vehicle and includes an assignee for
benefit of creditors from the date of assignment, a
trustee in a case under title 11 from the date of filing
of the petition in that case, and a receiver in equity
from the date of appointment of the receiver.
‘‘(3) ‘security interest’ means an interest (includ-
ing an interest established by a conditional sales con-
tract, mortgage, equipment trust, or other lien or title
retention contract, or lease) in a motor vehicle when
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the interest secures payment or performance of an ob-
ligation.
‘‘(4) ‘perfection’, as related to a security interest,
means taking action (including public filing, record-
ing, notation on a certificate of title, and possession
of collateral by the secured party), or the existence of
facts, required under law to make a security interest
enforceable against general creditors and subsequent
lien creditors of a debtor, but does not include compli-
ance with requirements related only to the establish-
ment of a valid security interest between the debtor
and the secured party.
‘‘(b) A security interest in a motor vehicle owned by,
or in the possession and use of, a carrier registered under
section 13902 of this title and owing payment or perform-
ance of an obligation secured by that security interest is
perfected in all jurisdictions against all general, and subse-
quent lien, creditors of, and all persons taking a motor vehi-
cle by sale (or taking or retaining a security interest in
a motor vehicle) from, that carrier when—
‘‘(1) a certificate of title is issued for a motor ve-
hicle under a law of a jurisdiction that requires or
permits indication, on a certificate or title, of a secu-
rity interest in the motor vehicle if the security inter-
est is indicated on the certificate;
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‘‘(2) a certificate of title has not been issued and
the law of the State where the principal place of busi-
ness of that carrier is located requires or permits pub-
lic filing or recording of, or in relation to, that secu-
rity interest if there has been such a public filing or
recording; and
‘‘(3) a certificate of title has not been issued and
the security interest cannot be perfected under para-
graph (2) of this subsection, if the security interest
has been perfected under the law (including the con-
flict of laws rules) of the State where the principal
place of business of that carrier is located.
‘‘§ 14302. Pooling and division of transportation or
earnings
‘‘(a) A carrier providing transportation subject to ju-
risdiction under subchapter I of chapter 135 of this title
may not agree or combine with another such carrier to pool
or divide traffic or services or any part of their earnings
without the approval of the Intermodal Surface Transpor-
tation Board under this section.
‘‘(b) The Transportation Board may approve and au-
thorize an agreement or combination between or among
motor carriers of passengers, or between a motor carrier of
passengers and a rail carrier of passengers, if the carriers
involved assent to the pooling or division and the Transpor-
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tation Board finds that a pooling or division of traffic, serv-
ices, or earnings—
‘‘(1) will be in the interest of better service to the
public or of economy of operation; and
‘‘(2) will not unreasonably restrain competition.
‘‘(c)(1) Any motor carrier of property may apply to
the Transportation Board for approval of an agreement or
combination with another such carrier to pool or divide
traffic or any services or any part of their earnings by fil-
ing such agreement or combination with the Transportation
Board not less than 50 days before its effective date. Prior
to the effective date of the agreement or combination, the
Transportation Board shall determine whether the agree-
ment or combination is of major transportation importance
and whether there is substantial likelihood that the agree-
ment or combination will unduly restrain competition. If
the Transportation Board determines that neither of these
two factors exists, it shall, prior to such effective date and
without a hearing, approve and authorize the agreement or
combination, under such rules and regulations as the
Transportation Board may issue, and for such consider-
ation between such carriers and upon such terms and condi-
tions as shall be found by the Transportation Board to be
just and reasonable. If the Transportation Board deter-
mines either that the agreement or combination is of major
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transportation importance or that there is substantial like-
lihood that the agreement or combination will unduly re-
strain competition, the Transportation Board shall hold a
hearing concerning whether the agreement or combination
will be in the interest of better service to the public or of
economy in operation and whether it will unduly restrain
competition and shall suspend operation of such agreement
or combination pending such hearing and final decision
thereon. After such hearing, the Transportation Board shall
indicate to what extent it finds that the agreement or com-
bination will be in the interest of better service to the public
or of economy in operation and will not unduly restrain
competition and if assented to by all the carriers involved,
shall to that extent, approve and authorize the agreement
or combination, under such rules and regulations as the
Transportation Board may issue, and for such consider-
ation between such carriers and upon such terms and condi-
tions as shall be found by the Transportation Board to be
just and reasonable.
‘‘(2) In the case of an application for Transportation
Board approval of an agreement or combination between
a motor carrier providing transportation of household goods
and its agents to pool or divide traffic or services or any
part of their earnings, such agreement or combination shall
be presumed to be in the interest of better service to the
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public and of economy in operation and not to restrain
competition unduly if the practices proposed to be carried
out under such agreement or combination are the same as
or similar to practices carried out under agreements and
combinations between motor carriers providing transpor-
tation of household goods to pool or divide traffic or service
of any part of their earnings approved by the Interstate
Commerce Commission before the date of enactment of the
Interstate Commerce Commission Sunset Act of 1995.
‘‘(3) The Transportation Board shall streamline, sim-
plify, and expedite, to the maximum extent practicable, the
process (including, but not limited to, any paperwork) for
submission and approval of applications under this section
for agreements and combinations between motor carriers
providing transportation of household goods and their
agents.
‘‘(d) The Transportation Board may impose condi-
tions governing the pooling or division and may approve
and authorize payment of a reasonable consideration be-
tween the carriers.
‘‘(e) The Transportation Board may begin a proceed-
ing under this section on its own initiative or on applica-
tion.
‘‘(f) A carrier may participate in an arrangement ap-
proved by or exempted by the Transportation Board under
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this section without the approval of any other federal, State,
or municipal body. A carrier participating in an approved
or exempted arrangement is exempt from the antitrust laws
and from all other law, including State and municipal law,
as necessary to let that person carry out the arrangement.
‘‘(g) Any agreements in operation under the provisions
of this title on the date of enactment of the Interstate Com-
merce Commission Sunset Act of 1995 that are succeeded
by this section shall remain in effect until further order of
the Transportation Board.
‘‘§ 14303. Consolidation, merger, and acquisition of
control of motor carriers of passengers
‘‘(a) APPROVAL REQUIRED.—The following trans-
actions involving motor carriers of passengers subject to ju-
risdiction under subchapter I of chapter 135 of this title
may be carried out only with the approval of the Inter-
modal Surface Transportation Board:
‘‘(1) Consolidation or merger of the properties or
franchises of at least 2 carriers into one operation for
the ownership, management, and operation of the pre-
viously separately owned properties.
‘‘(2) A purchase, lease, or contract to operate
property of another carrier by any number of car-
riers.
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‘‘(3) Acquisition of control of a carrier by any
number of carriers.
‘‘(4) Acquisition of control of at least 2 carriers
by a person that is not a carrier.
‘‘(5) Acquisition of control of a carrier by a per-
son that is not a carrier but that controls any number
of carriers.
‘‘(b) The Board shall approve and authorize a trans-
action under this section when it finds the transaction is
consistent with the public interest. The Board shall consider
at least the following:
‘‘(1) The effect of the proposed transaction on the
adequacy of transportation to the public.
‘‘(2) The total fixed charges that result from the
proposed transaction.
‘‘(3) The interest of carrier employees affected by
the proposed transaction.
The Board may impose conditions governing the trans-
action.
‘‘(c) Within 30 days after an application is filed under
this section, the Board shall either publish a notice of the
application in the Federal Register or (2) reject the applica-
tion if it is incomplete.
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‘‘(d) Written comments about an application may be
filed with the Board within 45 days after notice of the ap-
plication is published under subsection (c).
‘‘(e) The Board shall conclude evidentiary proceedings
by the 240th day after notice of the application is published
under subsection (c). The Board shall issue a final decision
by the 180th day after the conclusion of the evidentiary pro-
ceedings. The Board may extend a time period under this
subsection, except that the total of all such extensions with
respect to any application shall not exceed 90 days.
‘‘(f) A carrier or corporation participating in or re-
sulting from a transaction approved by the Board under
this section, or exempted by the Board from the application
of this section pursuant to section 13541, may carry out
the transaction, own and operate property, and exercise
control or franchises acquired through the transaction with-
out the approval of a State authority. A carrier, corpora-
tion, or person participating in that approved or exempted
transaction is exempt from the antitrust laws and from all
other law, including State and municipal law, as necessary
to let that person carry out the transaction, hold, maintain,
and operate property, and exercise control or franchises ac-
quired through the transaction.
‘‘(g) This section shall not apply to transactions in-
volving carriers whose aggregate gross operating revenues
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were not more than $2,000,000 during a period of 12 con-
secutive months ending not more than 6 months before the
date of the agreement of the parties.
‘‘CHAPTER 145—FEDERAL-STATE RELATIONS
‘‘§ 14501. Federal authority over intrastate transpor-
tation
‘‘(a) MOTOR CARRIERS OF PASSENGERS.—No State or
political subdivision thereof and no interstate agency or
other political agency of two or more States shall enact or
enforce any law, rule, regulation, standard, or other provi-
sions having the force and effect of law relating to schedul-
ing of interstate or intrastate transportation (including dis-
continuance or reduction in the level of service) provided
by motor carrier of passengers subject to jurisdiction under
subchapter I of chapter 135 of this title on an interstate
route or relating to the implementation of any change in
the rates for such transportation or for charter transpor-
tation except to the extent that notice, not in excess of 30
days, of changes in schedules may be required. This sub-
section shall not apply to intrastate commuter bus oper-
ations.
‘‘(b) FREIGHT FORWARDERS AND TRANSPORTATION
BROKERS.—
‘‘(1) GENERAL RULE.—Subject to paragraph (2)
of this subsection, no State or political subdivision
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thereof and no intrastate agency or other political
agency of two or more States shall enact or enforce
any law, rule, regulation, standard, or other provi-
sion having the force and effect of law relating to
intrastate rates, intrastate routes, or intrastate serv-
ices of any freight forwarder or transportation broker.
‘‘(2) CONTINUATION OF HAWAII’S AUTHORITY.—
Nothing in this subsection and the amendments made
by the Surface Freight Forwarder Deregulation Act of
1986 shall be construed to affect the authority of the
State of Hawaii to continue to regulate a motor car-
rier operating within the State of Hawaii.
‘‘(c) MOTOR CARRIERS OF PROPERTY.—
‘‘(1) GENERAL
RULE.—Except as provided in
paragraphs (2) and (3), a State, political subdivision
of a State, or political authority of 2 or more States
may not enact or enforce a law, regulation, or other
provision having the force and effect of law related to
a price, route, or service of any motor carrier (other
than a carrier affiliated with a direct air carrier cov-
ered by section 41713(b)(4) of this title) or any motor
private carrier or any transportation intermediary
(as defined in sections 13102(1) and 13102(7) of this
subtitle) with respect to the transportation of prop-
erty.
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‘‘(2) MATTERS NOT COVERED.—Paragraph (1)—
‘‘(A) shall not restrict the safety regulatory
authority of a State with respect to motor vehi-
cles, the authority of a State to impose highway
route controls or limitations based on the size or
weight of the motor vehicle or the hazardous na-
ture of the cargo, or the authority of a State to
regulate motor carriers with regard to minimum
amounts of financial responsibility relating to
insurance requirements and self-insurance au-
thorization;
‘‘(B) does not apply to the transportation of
household goods; and
‘‘(C) does not apply to the authority of a
State or a political subdivision of a State to
enact or enforce a law, regulation, or other pro-
vision relating to the price and related condi-
tions of for-hire motor vehicle transportation by
a tow truck, if such transportation is per-
formed—
‘‘(i) at the request of a law enforcement
agency; or
‘‘(ii) without the prior consent or au-
thorization of the owner or operator of the
motor vehicle.
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‘‘(3) STATE STANDARD TRANSPORTATION PRAC-
TICES.—
‘‘(A) CONTINUATION.—Paragraph (1) shall
not affect any authority of a State, political sub-
division of a State, or political authority of 2 or
more States to enact or enforce a law, regulation,
or other provision, with respect to the intrastate
transportation of property by motor carriers, re-
lated to—
‘‘(i) uniform cargo liability rules,
‘‘(ii) uniform bills of lading or receipts
for property being transported,
‘‘(iii) uniform cargo credit rules, or
‘‘(iv) antitrust immunity for joint line
rates or routes, classifications, and mileage
guides,
if such law, regulation, or provision meets the re-
quirements of subparagraph (B).
‘‘(B) REQUIREMENTS.—A law, regulation,
or provision of a State, political subdivision, or
political authority meets the requirements of this
subparagraph if—
‘‘(i) the law, regulation, or provision
covers the same subject matter as, and com-
pliance with such law, regulation, or provi-
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sion is no more burdensome than compli-
ance with, a provision of this part or a reg-
ulation issued by the Secretary of Transpor-
tation or the Intermodal Surface Transpor-
tation Board under this part; and
‘‘(ii) the law, regulation, or provision
only applies to a carrier upon request of
such carrier.
‘‘(C) 
ELECTION.—Notwithstanding 
any
other provision of law, a carrier affiliated with
a direct air carrier through common controlling
ownership may elect to be subject to a law, regu-
lation, or provision of a State, political subdivi-
sion, or political authority under this para-
graph.
‘‘(4) This subsection shall not apply with respect
to the State of Hawaii until August 22, 1997.
‘‘§ 14502. Tax discrimination against motor carrier
transportation property
‘‘(a) In this section—
‘‘(1) ‘assessment’ means valuation for a property
tax levied by a taxing district;
‘‘(2) ‘assessment jurisdiction’ means a geographi-
cal area in a State used in determining the assessed
value of property for ad valorem taxation;
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‘‘(3) ‘motor carrier transportation property’
means property, as defined by the Secretary of Trans-
portation, owned or used by a motor carrier provid-
ing transportation in interstate commerce whether or
not such transportation is subject to jurisdiction
under subchapter I of chapter 135 of this title; and
‘‘(4) ‘commercial and industrial property’ means
property, other than transportation property and
land used primarily for agricultural purposes or tim-
ber growing, devoted to a commercial or industrial
use and subject to a property tax levy.
‘‘(b) The following acts unreasonably burden and dis-
criminate against interstate commerce and a State, sub-
division of a State, or authority acting for a State or sub-
division of a State may not do any of them:
‘‘(1) Assess motor carrier transportation prop-
erty at a value that has a higher ratio to the true
market value of the motor carrier transportation
property than the ratio that the assessed value of
other commercial and industrial property in the same
assessment jurisdiction has to the true market value
of the other commercial and industrial property.
‘‘(2) Levy or collect a tax on an assessment that
may not be made under paragraph (1) of this sub-
section.
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‘‘(3) Levy or collect an ad valorem property tax
on motor carrier transportation property at a tax
rate that exceeds the tax rate applicable to commer-
cial and industrial property in the same assessment
jurisdiction.
‘‘(c) Notwithstanding section 1341 of title 28 and with-
out regard to the amount in controversy or citizenship of
the parties, a district court of the United States has juris-
diction, concurrent with other jurisdiction of courts of the
United States and the States, to prevent a violation of sub-
section (b) of this section. Relief may be granted under this
subsection only if the ratio of assessed value to true market
value of motor carrier transportation property exceeds by
at least 5 percent, the ratio of assessed value to true market
value of other commercial and industrial property in the
same assessment jurisdiction. The burden of proof in deter-
mining assessed value and true market value is governed
by State law. If the ratio of the assessed value of other com-
mercial and industrial property in the assessment jurisdic-
tion to the true market value of all other commercial and
industrial property cannot be determined to the satisfaction
of the district court through the random-sampling method
known as a sales assessment ratio study (to be carried out
under statistical principles applicable to such a study), the
court shall find, as a violation of this section—
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‘‘(1) an assessment of the motor carrier transpor-
tation property at a value that has a higher ratio to
the true market value of the motor carrier transpor-
tation property than the assessment value of all other
property subject to a property tax levy in the assess-
ment jurisdiction has to the true market value of all
such other property; and
‘‘(2) the collection of ad valorem property tax on
the motor carrier transportation property at a tax
rate that exceeds the tax ratio rate applicable to tax-
able property in the taxing district.
‘‘§ 14503. Withholding State and local income tax by
certain carriers
‘‘(a)(1) No part of the compensation paid by a motor
carrier providing transportation subject to jurisdiction
under subchapter I of chapter 135 of this title or by a motor
private carrier to an employee who performs regularly as-
signed duties in 2 or more States as such an employee with
respect to a motor vehicle shall be subject to the income tax
laws of any State or subdivision of that State, other than
the State or subdivision thereof of the employee’s residence.
‘‘(2) In this subsection ‘employee’ has the meaning
given such term in section 31132 of this title.
‘‘(b)(1) In this subsection, an employee is deemed to
have earned more than 50 percent of pay in a State or
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subdivision of that State in which the time worked by the
employee in the State or subdivision is more than 50 per-
cent of the total time worked by the employee while em-
ployed during the calendar year.
‘‘(2) A water carrier providing transportation subject
to the jurisdiction of the Secretary of Transportation under
subchapter II of chapter 135 of this title shall file income
tax information returns and other reports only with—
‘‘(A) the State and subdivision of residence of the
employee (as shown on the employment records of the
carrier); and
‘‘(B) the State and subdivision in which the em-
ployee earned more than 50 percent of the pay re-
ceived by the employee from the carrier during the
preceding calendar year.
‘‘(3) This subsection applies to pay of a master, officer,
or sailor who is a member of the crew on a vessel engaged
in foreign, coastwise, intercoastal or noncontiguous trade
or in the fisheries of the United States.
‘‘(c) A motor and motor private carrier withholding
pay from an employee under subsection (a) of this section
shall file income tax information returns and other reports
only with the State and subdivision of residence of the em-
ployee.
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‘‘§ 14504. State tax
‘‘A State or political subdivision thereof may not col-
lect or levy a tax, fee, head charge, or other charge on—
‘‘(1) a passenger traveling in interstate com-
merce by motor carrier;
‘‘(2) the transportation of a passenger traveling
in interstate commerce by motor carrier;
‘‘(3) the sale of passenger transportation in
interstate commerce by motor carrier; or
‘‘(4) the gross receipts derived from such trans-
portation.
‘‘§ 14505. Single State registration system
‘‘(a) DEFINITIONS.—In this section, the terms ‘stand-
ards’ and ‘amendments to standards’ mean the specification
of forms and procedures required by regulations of the Sec-
retary to prove the lawfulness of transportation by motor
carrier referred to in section 13501.
‘‘(b) GENERAL RULE.—The requirement of a State
that a motor carrier, providing transportation subject to
jurisdiction under subchapter I of chapter 135 and provid-
ing transportation in that State, must register with the
State is not an unreasonable burden on transportation re-
ferred to in section 13501 when the State registration is
completed under standards of the Secretary under sub-
section (c). When a State registration requirement imposes
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obligations in excess of the standards of the Secretary, the
part in excess is an unreasonable burden.
‘‘(c) SINGLE STATE REGISTRATION SYSTEM.—
‘‘(1) IN GENERAL.—The Secretary shall main-
tain standards for implementing a system under
which—
‘‘(A) a motor carrier is required to register
annually with only one State by providing evi-
dence of its Federal registration under chapter
139;
‘‘(B) the State of registration shall fully
comply with standards prescribed under this sec-
tion; and
‘‘(C) such single State registration shall be
deemed to satisfy the registration requirements of
all other States.
‘‘(2) SPECIFIC REQUIREMENTS.—
‘‘(A) EVIDENCE OF CERTIFICATE; PROOF OF
INSURANCE; 
PAYMENT
OF
FEES.—Under the
standards of the Secretary implementing the sin-
gle State registration system described in para-
graph (1) of this subsection, only a State acting
in its capacity as registration State under such
single State system may require a motor carrier
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holding a certificate or permit issued under this
part—
‘‘(i) to file and maintain evidence of
such certificate or permit;
‘‘(ii) to file satisfactory proof of re-
quired insurance or qualification as a self-
insurer;
‘‘(iii) to pay directly to such State fee
amounts in accordance with the fee system
established under subparagraph (B)(iv) of
this paragraph, subject to allocation of fee
revenues among all States in which the car-
rier operates and which participate in the
single State registration system; and
‘‘(iv) to file the name of a local agent
for service of process.
‘‘(B) RECEIPTS; FEE SYSTEM.—The stand-
ards of the Secretary—
‘‘(i) shall require that the registration
State issue a receipt, in a form, reflecting
that the carrier has filed proof of insurance
as provided under subparagraph (A)(ii) of
this subsection and has paid fee amounts in
accordance with the fee system established
under clause (iv) of this subparagraph;
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‘‘(ii) shall require that copies of the re-
ceipt issued under clause (i) of this para-
graph be kept in each of the carrier’s com-
mercial motor vehicles;
‘‘(iii) shall not require decals, stamps,
cab cards, or any other means of registering
or identifying specific vehicles operated by
the carrier;
‘‘(iv) shall establish a fee system for the
filing of proof of insurance as provided
under subparagraph (A)(ii) of this sub-
section that—
‘‘(i) is based on the number of commer-
cial motor vehicles the carrier operates in a
State and on the number of States in which
the carrier operates,
‘‘(ii) minimizes the costs of complying
with the registration system, and
‘‘(iii) results in a fee for each partici-
pating State that is equal to the fee, not to
exceed $10 per vehicle, that such State col-
lected or charged as of November 15, 1991;
and
‘‘(v) shall not authorize the charging or
collection of any fee for filing and main-
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taining a certificate or permit under sub-
paragraph (A)(i) of this paragraph.
‘‘(C) PROHIBITED FEES.—The charging or
collection of any fee under this section that is not
in accordance with the fee system established
under subparagraph (B)(iv) of this paragraph
shall be deemed to be a burden on interstate com-
merce.
‘‘(D) LIMITATION
ON
PARTICIPATION
BY
STATES.—Only a State which, as of January 1,
1991, charged or collected a fee for a vehicle
identification stamp or number under part 1023
of title 49, Code of Federal Regulations, shall be
eligible to participate as a registration State
under this subsection or to receive any fee reve-
nue under this subsection.
‘‘CHAPTER 147—ENFORCEMENT;
INVESTIGATIONS; RIGHTS; REMEDIES
‘‘§ 14701. General authority
‘‘(a) The Secretary of Transportation or the Inter-
modal Surface Transportation Board, as applicable, may
begin an investigation under this part on the Secretary’s
or the Transportation Board’s own initiative or on com-
plaint. If the Secretary or Transportation Board, as appli-
cable finds that a carrier or broker is violating this part,
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the Secretary or Transportation Board, as applicable, shall
take appropriate action to compel compliance with this
part. If the Secretary finds that a foreign motor carrier
or foreign motor private carrier is violating chapter 139
of this title, the Secretary shall take appropriate action to
compel compliance with that chapter. The Secretary or
Transportation Board, as applicable, may take action
under this subsection only after giving the carrier or broker
notice of the investigation and an opportunity for a pro-
ceeding.
‘‘(b) A person, including a governmental authority,
may file with the Secretary or Transportation Board, as
applicable, a complaint about a violation of this part by
a carrier providing, or broker for, transportation or service
subject to jurisdiction under this part or a foreign motor
carrier or foreign motor private carrier providing transpor-
tation registered under section 13902 of this title. The com-
plaint must state the facts that are the subject of the viola-
tion. The Secretary or Transportation Board, as applicable,
may dismiss a complaint that it determines does not state
reasonable grounds for investigation and action.
‘‘(c) A formal investigative proceeding begun by the
Secretary or Transportation Board under subsection (a) of
this section is dismissed automatically unless it is con-
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‘‘(3) a person participating with a carrier or
broker in a violation may be joined in the civil action
without regard to the residence of the person.
‘‘(c) The Transportation Board, through its own attor-
neys, may bring or participate in any civil action involv-
ing motor carrier undercharges.
‘‘§ 14703. Enforcement by the Attorney General
‘‘The Attorney General may, and on request of either
the Secretary of Transportation or Intermodal Surface
Transportation Board shall, bring court proceedings (1) to
enforce this part or a regulation or order of the Secretary
or Transportation Board or terms of registration under this
part and (2) to prosecute a person violating this part or
a regulation or order of the Secretary or Transportation
Board or term of registration under this part.
‘‘§ 14704. Rights and remedies of persons injured by
carriers or brokers
‘‘(a) A person injured because a carrier or broker pro-
viding transportation or service subject to jurisdiction
under chapter 135 of this title does not obey an order of
the Secretary of Transportation or the Intermodal Surface
Transportation Board, as applicable, under this part, ex-
cept an order for the payment of money, may bring a civil
action to enforce that order under this subsection.
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‘‘(b)(1) A carrier providing transportation or service
subject to jurisdiction under chapter 135 of this title is lia-
ble to a person for amounts charged that exceed the applica-
ble rate for transportation or service contained in a tariff
filed under section 13702 of this title.
‘‘(2) A carrier or broker providing transportation or
service subject to jurisdiction under chapter 135 of this title
is liable for damages sustained by a person as a result of
an act or omission of that carrier or broker in violation
of this part.
‘‘(c)(1) A person may file a complaint with the Trans-
portation Board or the Secretary, as applicable, under sec-
tion 14701(b) of this title or bring a civil action under sub-
section (b) (1) or (2) of this section to enforce liability
against a carrier or broker providing transportation or
service subject to jurisdiction under chapter 135 of this title.
‘‘(2) When the Transportation Board or Secretary, as
applicable, makes an award under subsection (b) of this sec-
tion, the Transportation Board or Secretary, as applicable,
shall order the carrier to pay the amount awarded by a
specific date. The Transportation Board or Secretary, as
applicable, may order a carrier or broker providing trans-
portation or service subject to jurisdiction under chapter
135 of this title to pay damages only when the proceeding
is on complaint. The person for whose benefit an order of
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the Transportation Board or Secretary requiring the pay-
ment of money is made may bring a civil action to enforce
that order under this paragraph if the carrier or broker
does not pay the amount awarded by the date payment was
ordered to be made.
‘‘(d)(1) When a person begins a civil action under sub-
section (b) of this section to enforce an order of the Trans-
portation Board or Secretary requiring the payment of
damages by a carrier or broker providing transportation
or service subject to jurisdiction under chapter 135 of this
title, the text of the order of the Transportation Board or
Secretary must be included in the complaint. In addition
to the district courts of the United States, a State court
of general jurisdiction having jurisdiction of the parties has
jurisdiction to enforce an order under this paragraph. The
findings and order of the Transportation Board or Sec-
retary are competent evidence of the facts stated in them.
Trial in a civil action brought in a district court of the
United States under this paragraph is in the judicial dis-
trict in which the plaintiff resides or in which the principal
operating office of the carrier or broker is located. In a civil
action under this paragraph, the plaintiff is liable for only
those costs that accrue on an appeal taken by the plaintiff.
‘‘(2) All parties in whose favor the award was made
may be joined as plaintiffs in a civil action brought in a
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district court of the United States under this subsection and
all the carriers that are parties to the order awarding dam-
ages may be joined as defendants. Trial in the action is
in the judicial district in which any one of the plaintiffs
could bring the action against any one of the defendants.
Process may be served on a defendant at its principal oper-
ating office when that defendant is not in the district in
which the action is brought. A judgment ordering recovery
may be made in favor of any of those plaintiffs against
the defendant found to be liable to that plaintiff.
‘‘(3) The district court shall award a reasonable attor-
ney’s fee as a part of the damages for which a carrier or
broker is found liable under this subsection. The district
court shall tax and collect that fee as a part of the costs
of the action.
‘‘§ 14705. Limitation on actions by and against car-
riers
‘‘(a) A carrier providing transportation or service sub-
ject to jurisdiction under chapter 135 of this title must
begin a civil action to recover charges for transportation
or service provided by the carrier within 18 months after
the claim accrues.
‘‘(b) A person must begin a civil action to recover over-
charges within 18 months after the claim accrues. If the
claim is against a carrier providing transportation subject
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to jurisdiction under chapter 135 of this title and an elec-
tion to file a complaint with the Intermodal Surface Trans-
portation Board or Secretary of Transportation, as appli-
cable, is made under section 14704(c)(1), the complaint
must be filed within 3 years after the claim accrues.
‘‘(c) A person must file a complaint with the Trans-
portation Board or Secretary, as applicable, to recover
damages under section 14704(b)(2) of this title within 2
years after the claim accrues.
‘‘(d) The limitation periods under subsection (b) of this
section are extended for 6 months from the time written
notice is given to the claimant by the carrier of disallow-
ance of any part of the claim specified in the notice if a
written claim is given to the carrier within those limitation
periods. The limitation periods under subsection (b) of this
section and the 2-year period under subsection (c) of this
section are extended for 90 days from the time the carrier
begins a civil action under subsection (a) of this section
to recover charges related to the same transportation or
service, or collects (without beginning a civil action under
that subsection) the charge for that transportation or service
if that action is begun or collection is made within the ap-
propriate period.
‘‘(e) A person must begin a civil action to enforce an
order of the Transportation Board or Secretary against a
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carrier for the payment of money within one year after the
date the order required the money to be paid.
‘‘(f) This section applies to transportation for the
United States Government. The time limitations under this
section are extended, as related to transportation for or on
behalf of the United States Government, for 3 years from
the date of (1) payment of the rate for the transportation
or service involved, (2) subsequent refund for overpayment
of that rate, or (3) deduction made under section 3726 of
title 31, whichever is later.
‘‘(g) A claim related to a shipment of property accrues
under this section on delivery or tender of delivery by the
carrier.
‘‘§ 14706. Liability of carriers under receipts and bills
of lading
‘‘(a)(1) A carrier providing transportation or service
subject to jurisdiction under subchapter I or III of chapter
135 of this title shall issue a receipt or bill of lading for
property it receives for transportation under this part. That
carrier and any other carrier that delivers the property and
is providing transportation or service subject to jurisdiction
under subchapter I or III of chapter 135 or chapter 105
of this title are liable to the person entitled to recover under
the receipt or bill of lading. The liability imposed under
this paragraph is for the actual loss or injury to the prop-
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erty caused by (1) the receiving carrier, (2) the delivering
carrier, or (3) another carrier over whose line or route the
property is transported in the United States or from a place
in the United States to a place in an adjacent foreign coun-
try when transported under a through bill of lading and,
except in the case of a freight forwarder, applies to property
reconsigned or diverted under a tariff filed under section
13702 of this title. Failure to issue a receipt or bill of lading
does not affect the liability of a carrier. A delivering carrier
is deemed to be the carrier performing the line-haul trans-
portation nearest the destination but does not include a car-
rier providing only a switching service at the destination.
‘‘(2) A freight forwarder is both the receiving and de-
livering carrier. When a freight forwarder provides service
and uses a motor carrier providing transportation subject
to jurisdiction under subchapter I of chapter 135 of this
title to receive property from a consignor, the motor carrier
may execute the bill of lading or shipping receipt for the
freight forwarder with its consent. With the consent of the
freight forwarder, a motor carrier may deliver property for
a freight forwarder on the freight forwarder’s bill of lading,
freight bill, or shipping receipt to the consignee named in
it, and receipt for the property may be made on the freight
forwarder’s delivery receipt.
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‘‘(b) The carrier issuing the receipt or bill of lading
under subsection (a) of this section or delivering the prop-
erty for which the receipt or bill of lading was issued is
entitled to recover from the carrier over whose line or route
the loss or injury occurred the amount required to be paid
to the owners of the property, as evidenced by a receipt,
judgment, or transcript, and the amount of its expenses rea-
sonably incurred in defending a civil action brought by that
person.
‘‘(c)(1) A carrier may limit liability imposed under
subsection (a) by establishing rates for the transportation
of property (other than household goods) under which the
liability of the carrier for such property is limited to a
value established by written or electronic declaration of the
shipper or by a mutual written agreement between the car-
rier and shipper.
‘‘(2) If loss or injury to property occurs while it is
in the custody of a water carrier, the liability of that carrier
is determined by its bill of lading and the law applicable
to water transportation. The liability of the initial or deliv-
ering carrier is the same as the liability of the water car-
rier.
‘‘(d)(1) A civil action under this section may be
brought against a delivering carrier (other than a rail car-
rier) in a district court of the United States or in a State
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court. Trial, if the action is brought in a district court of
the United States is in a judicial district, and if in a State
court, is in a State through which the defendant carrier
operates.
‘‘(2)(A) A civil action under this section may be
brought against the carrier alleged to have caused the loss
or damage, in the judicial district in which such loss or
damage is alleged to have occurred.
‘‘(B) A civil action under this section may be brought
in a United States district court or in a State court.
‘‘(C) In this section, ‘judicial district’ means (i) in the
case of a United States district court, a judicial district
of the United States, and (ii) in the case of a State court,
the applicable geographic area over which such court exer-
cises jurisdiction.
‘‘(e) A carrier may not provide by rule, contract, or
otherwise, a period of less than 9 months for filing a claim
against it under this section and a period of less than 2
years for bringing a civil action against it under this sec-
tion. The period for bringing a civil action is computed
from the date the carrier gives a person written notice that
the carrier has disallowed any part of the claim specified
in the notice. For the purposes of this subsection—
‘‘(1) an offer of compromise shall not constitute
a disallowance of any part of the claim unless the
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carrier, in writing, informs the claimant that such
part of the claim is disallowed and provides reasons
for such disallowance; and
‘‘(2) communications received from a carrier’s
insurer shall not constitute a disallowance of any
part of the claim unless the insurer, in writing, in-
forms the claimant that such part of the claim is dis-
allowed, provides reason for such disallowance, and
informs the claimant that the insurer is acting on be-
half of the carrier.
‘‘(f) A carrier or group of carriers subject to jurisdic-
tion under subchapter I or III of chapter 135 of this title
may petition the Transportation Board to modify, elimi-
nate, or establish rates for the transportation of household
goods under which the liability of the carrier for that prop-
erty is limited to a value established by written declaration
of the shipper or by a written agreement.
‘‘(g) Within one year after enactment of the Interstate
Commerce Commission Sunset Act of 1995, the Secretary
shall deliver to the appropriate Congressional authorizing
committees a report on the benefit of revising or modifying
the terms or applicability of this section, together with any
proposed legislation to implement the study’s recommenda-
tions, if any.
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‘‘§ 14707. Private enforcement of registration require-
ment
‘‘(a) If a person provides transportation by motor ve-
hicle or service in clear violation of section 13901–13904
or 13906 of this title, a person injured by the transportation
or service may bring a civil action to enforce any such sec-
tion. In a civil action under this subsection, trial is in the
judicial district in which the person who violated that sec-
tion operates.
‘‘(b) A copy of the complaint in a civil action under
subsection (a) of this section shall be served on the Secretary
of Transportation and a certificate of service must appear
in the complaint filed with the court. The Secretary may
intervene in a civil action under subsection (a) of this sec-
tion. The Secretary may notify the district court in which
the action is pending that the Secretary intends to consider
the matter that is the subject of the complaint in a proceed-
ing before the Secretary. When that notice is filed, the court
shall stay further action pending disposition of the proceed-
ing before the Secretary.
‘‘(c) In a civil action under subsection (a) of this sec-
tion, the court may determine the amount of and award
a reasonable attorney’s fee to the prevailing party. That fee
is in addition to costs allowable under the Federal Rules
of Civil Procedure.
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‘‘§ 14708. Dispute settlement program for household
goods carriers
‘‘(a)(1) As a condition of registration under section
13902 or 13903 of this title, a carrier providing transpor-
tation of household goods subject to jurisdiction under sub-
chapter I or III of chapter 135 of this title must agree to
offer to shippers neutral arbitration as a means of settling
disputes between such carriers and shippers of household
goods concerning the transportation of household goods.
‘‘(b)(1) The arbitration that is offered must be designed
to prevent a carrier from having any special advantage in
any case in which the claimant resides or does business at
a place distant from the carrier’s principal or other place
of business.
‘‘(2) The carrier must provide the shipper an adequate
notice of the availability of neutral arbitration, including
a concise easy-to-read, accurate summary of the arbitration
procedure and disclosure of the legal effects of election to
utilize arbitration. Such notice must be given to persons
for whom household goods are to be transported by the car-
rier before such goods are tendered to the carrier for trans-
portation.
‘‘(3) Upon request of a shipper, the carrier must
promptly provide such forms and other information as are
necessary for initiating an action to resolve a dispute under
arbitration.
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‘‘(4) Each person authorized to arbitrate or otherwise
settle disputes must be independent of the parties to the dis-
pute and must be capable, as determined under such regula-
tions as the Secretary of Transportation may issue, to re-
solve such disputes fairly and expeditiously. The carrier
must ensure that each person chosen to settle the disputes
is authorized and able to obtain from the shipper or carrier
any material and relevant information to the extent nec-
essary to carry out a fair and expeditious decision making
process.
‘‘(5) No fee for instituting an arbitration proceeding
may be charged the shipper; except that, if the arbitration
is binding solely on the carrier, the shipper may be charged
a fee of not more than $25 for instituting an arbitration
proceeding. In any case in which a shipper is charged a
fee under this paragraph for instituting an arbitration pro-
ceeding and such dispute is settled in favor of the shipper,
the person settling the dispute must refund such fee to the
shipper unless the person settling the dispute determines
that such refund is inappropriate.
‘‘(6) The carrier must not require the shipper to agree
to utilize arbitration prior to the time that a dispute arises.
‘‘(7) The arbitrator may provide for an oral presen-
tation of a dispute concerning transportation of household
goods by a party to the dispute (or a party’s representa-
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tive), but such oral presentation may be made only if all
parties to the dispute expressly agree to such presentation
and the date, time, and location of such presentation.
‘‘(8) The arbitrator must, as expeditiously as possible
but at least within 60 days of receipt of written notification
of the dispute, render a decision based on the information
gathered, except that, in any case in which a party to the
dispute fails to provide in a timely manner any informa-
tion concerning such dispute which the person settling the
dispute may reasonably require to resolve the dispute, the
arbitrator may extend such 60-day period for a reasonable
period of time. A decision resolving a dispute may include
any remedies appropriate under the circumstances, includ-
ing repair, replacement, refund, reimbursement for ex-
penses, and compensation for damages.
‘‘(c) Materials and information obtained in the course
of a decision making process to settle a dispute by arbitra-
tion under this section may not be used to bring an action
under section 14905 of this title.
‘‘(d) In any court action to resolve a dispute between
a shipper of household goods and a motor carrier providing
transportation or service subject to jurisdiction under sub-
chapter I or III of chapter 135 of this title concerning the
transportation of household goods by such carrier, the ship-
per shall be awarded reasonable attorney’s fees if—
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‘‘(1) the shipper submits a claim to the carrier
within 120 days after the date the shipment is deliv-
ered or the date the delivery is scheduled, whichever
is later;
‘‘(2) the shipper prevails in such court action;
and
‘‘(3)(A) a decision resolving the dispute was not
rendered through arbitration under this section with-
in the period provided under subsection (b)(8) of this
section or an extension of such period under such sub-
section; or
‘‘(B) the court proceeding is to enforce a decision
rendered through arbitration under this section and is
instituted after the period for performance under such
decision has elapsed.
‘‘(e) In any court action to resolve a dispute between
a shipper of household goods and a carrier providing trans-
portation, or service subject to jurisdiction under sub-
chapter I or III of chapter 135 of this title concerning the
transportation of household goods by such carrier, such car-
rier may be awarded reasonable attorney’s fees by the court
only if the shipper brought such action in bad faith—
‘‘(1) after resolution of such dispute through ar-
bitration under this section; or
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‘‘(2) after institution of an arbitration proceed-
ing by the shipper to resolve such dispute under this
section but before (A) the period provided under sub-
section (b)(8) for resolution of such dispute (includ-
ing, if applicable, an extension of such period under
such subsection) ends, and (B) a decision resolving
such dispute is rendered.
‘‘(f) The provisions of this section shall apply only in
the case of collect-on-delivery transportation of those types
of household goods described in section 13102(9)(A) of this
title.
‘‘§ 14709. Tariff reconciliation rules for motor carriers
of property
‘‘Subject to review and approval by the Intermodal
Surface Transportation Board, motor carriers subject to ju-
risdiction under subchapter I of chapter 135 of this title
(other than motor carriers providing transportation of
household goods) and shippers may resolve, by mutual con-
sent, overcharge and under-charge claims resulting from in-
correct tariff provisions or billing errors arising from the
inadvertent failure to properly and timely file and main-
tain agreed upon rates, rules, or classifications in compli-
ance with section 13702 of this part or sections 10761 and
10762 of this title prior to the effective date of the Interstate
Commerce Commission Sunset Act of 1995. Resolution of
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such claims among the parties shall not subject any party
to the penalties for departing from a filed tariff.
‘‘CHAPTER 149—CIVIL AND CRIMINAL PENALTIES
‘‘§ 14901. General civil penalties
‘‘(a) A person required to make a report to the Sec-
retary of Transportation or to the Intermodal Surface
Transportation Board, answer a question, or make, pre-
pare, or preserve a record under this part concerning trans-
portation subject to jurisdiction under subchapter I or III
of chapter 135 of this title or transportation by a foreign
carrier registered under section 13902 of this title, or an
officer, agent, or employee of that person that (1) does not
make the report, (2) does not specifically, completely, and
truthfully answer the question, (3) does not make, prepare,
or preserve the record in the form and manner prescribed,
(4) does not comply with section 13901 of this title, or (5)
does not comply with section 13902(c) of this title is liable
to the United States Government for a civil penalty of not
less than $500 for each violation and for each additional
day the violation continues; except that, in the case of a
person who does not have authority under this part to pro-
vide transportation of passengers, or an officer, agent, or
employee of such person, that does not comply with section
13901 of this title with respect to providing transportation
of passengers, the amount of the civil penalty shall not be
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less than $2,000 for each violation and for each additional
day the violation continues.
‘‘(b) A person subject to jurisdiction under subchapter
I of chapter 135 of this title, or an officer, agent, or em-
ployee of that person, and who is required to comply with
section 13901 of this title but does not so comply with re-
spect to the transportation of hazardous wastes as defined
by the Environmental Protection Agency pursuant to sec-
tion 3001 of the Solid Waste Disposal Act (but not includ-
ing any waste the regulation of which under the Solid
Waste Disposal Act has been suspended by Congress) shall
be liable to the United States for a civil penalty not to ex-
ceed $20,000 for each violation.
‘‘(c) In determining and negotiating the amount of a
civil penalty under subsection (a) or (d) concerning trans-
portation of household goods, the degree of culpability, any
history of prior such conduct, the degree of harm to shipper
or shippers, ability to pay, the effect on ability to do busi-
ness, whether the shipper has been adequately compensated
before institution of the proceeding, and such other matters
as fairness may require shall be taken into account.
‘‘(d) If a carrier providing transportation of household
goods subject to jurisdiction under subchapter I or III of
chapter 135 of this title or a receiver or trustee of such car-
rier fails or refuses to comply with any regulation issued
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by the Secretary or the Transportation Board relating to
protection of individual shippers, such carrier, receiver, or
trustee is liable to the United States for a civil penalty of
not less than $1,000 for each violation and for each addi-
tional day during which the violation continues.
‘‘(e) Any person that knowingly engages in or know-
ingly authorizes an agent or other person (1) to falsify doc-
uments used in the transportation of household goods subject
to jurisdiction under subchapter I or III of chapter 135 of
this title which evidence the weight of a shipment, or (2)
to charge for accessorial services which are not performed
or for which the carrier is not entitled to be compensated
in any case in which such services are not reasonably nec-
essary in the safe and adequate movement of the shipment,
is liable to the United States for a civil penalty of not less
than $2,000 for each violation and of not less than $5,000
for each subsequent violation. Any State may bring a civil
action in the United States district courts to compel a per-
son to pay a civil penalty assessed under this subsection.
‘‘(f) A person, or an officer, employee, or agent of that
person, that knowingly pays accepts, or solicits a reduced
rate or rates in violation of the regulations issued under
section 13707 of this title is liable to the injured party or
the United States for a civil penalty of not less than $5,000
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and not more than $10,000 plus 3 times the amount of
damages which a party incurs because of such violation.
‘‘(g) Trial in a civil action under subsections (a)
through (f) of this section is in the judicial district in which
(1) the carrier or broker has its principal office, (2) the
carrier or broker was authorized to provide transportation
or service under this part when the violation occurred, (3)
the violation occurred, or (4) the offender is found. Process
in the action may be served in the judicial district of which
the offender is an inhabitant or in which the offender may
be found.
‘‘§ 14902. Civil penalty for accepting rebates from
carrier
‘‘A person—
‘‘(1) delivering property to a carrier providing
transportation or service subject to jurisdiction under
chapter 135 of this title for transportation under this
part or for whom that carrier will transport the prop-
erty as consignor or consignee for that person from a
State or territory or possession of the United States
to another State or possession, territory, or to a for-
eign country; and
‘‘(2) knowingly accepting or receiving by any
means a rebate or offset against the rate for transpor-
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tation for, or service of, that property contained in a
tariff required under section 13702 of this title,
is liable to the United States Government for a civil penalty
in an amount equal to 3 times the amount of money that
person accepted or received as a rebate or offset and 3 times
the value of other consideration accepted or received as a
rebate or offset. In a civil action under this section, all
money or other consideration received by the person during
a period of 6 years before an action is brought under this
section may be included in determining the amount of the
penalty, and if that total amount is included, the penalty
shall be 3 times that total amount.
‘‘§ 14903. Tariff violations
‘‘(a) A person that knowingly offers, grants, gives, so-
licits, accepts, or receives by any means transportation or
service provided for property by a carrier subject to juris-
diction under chapter 135 of this title at less than the rate
in effect under section 13702 of this title shall be fined at
least $1,000 but not more than $20,000, imprisoned for not
more than 2 years, or both.
‘‘(b) A carrier providing transportation or service sub-
ject to jurisdiction under chapter 135 of this title or an
officer, director, receiver, trustee, lessee, agent, or employee
of a corporation that is subject to jurisdiction under that
chapter, that willfully does not observe its tariffs as required
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under section 13702 of this title, shall be fined at least
$1,000 but not more than $20,000, imprisoned for not more
than 2 years, or both.
‘‘(c) When acting in the scope of their employment, the
actions and omissions of persons acting for or employed by
a carrier or shipper that is subject to subsection (a) or (b)
of this section are considered to be the actions and omissions
of that carrier or shipper as well as that person.
‘‘(d) Trial in a criminal action under this section is
in the judicial district in which any part of the violation
is committed or through which the transportation is con-
ducted.
‘‘§ 14904. Additional rate violations
‘‘(a) A person, or an officer, employee, or agent of that
person, that—
‘‘(1) knowingly offers, grants, gives, solicits, ac-
cepts, or receives a rebate for concession, in violation
of a provision of this part related to motor carrier
transportation subject to jurisdiction under sub-
chapter I of chapter 135 of this title; or
‘‘(2) by any means knowingly and willfully as-
sists or permits another person to get transportation
that is subject to jurisdiction under that subchapter
at less than the rate in effect for that transportation
under section 13702 of this title,
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‘‘(b) Any person who knowingly violates section
14103(b) of this title shall be fined not more than $10,000,
imprisoned for not more than 2 years, or both.
‘‘§ 14906. Evasion of regulation of carriers and bro-
kers
‘‘A person, or an officer, employee, or agent of that
person that by any means knowingly and willfully tries to
evade regulation provided under this part for carriers or
brokers shall be fined at least $200 for the first violation
and at least $250 for a subsequent violation.
‘‘§ 14907. Record keeping and reporting violations
‘‘A person required to make a report to the Secretary
of Transportation or to the Intermodal Surface Transpor-
tation Board, as applicable, answer a question, or make,
prepare, or preserve a record under this part about trans-
portation subject to jurisdiction under subchapter I or III
of chapter 135 of this title, or an officer, agent, or employee
of that person, that (1) willfully does not make that report,
(2) willfully does not specifically, completely, and truthfully
answer that question in 30 days from the date the Secretary
or Transportation Board, as applicable, requires the ques-
tion to be answered, (3) willfully does not make, prepare,
or preserve that record in the form and manner prescribed,
(4) knowingly and willfully falsifies, destroys, mutilates, or
changes that report or record, (5) knowingly and willfully
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files a false report or record, (6) knowingly and willfully
makes a false or incomplete entry in that record about a
business related fact or transaction, or (7) knowingly and
willfully makes, prepares, or preserves a record in violation
of an applicable regulation or order of the Secretary or
Transportation Board shall be fined not more than $5,000.
‘‘§ 14908. Unlawful disclosure of information
‘‘(a)(1) A carrier or broker providing transportation
subject to jurisdiction under subchapter I, II, or III of chap-
ter 135 of this title or an officer, receiver, trustee, lessee,
or employee of that carrier or broker, or another person au-
thorized by that carrier or broker to receive information
from that carrier or broker may not knowingly disclose to
another person, except the shipper or consignee, and another
person may not solicit, or knowingly receive, information
about the nature, kind, quantity, destination, consignee, or
routing of property tendered or delivered to that carrier or
broker for transportation provided under this part without
the consent of the shipper or consignee if that information
may be used to the detriment of the shipper or consignee
or may disclose improperly to a competitor the business
transactions of the shipper or consignee.
‘‘(2) A person violating paragraph (1) of this sub-
section shall be fined not less than $2,000. Trial in a crimi-
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nal action under this paragraph is in the judicial district
in which any part of the violation is committed.
‘‘(b) This part does not prevent a carrier or broker pro-
viding transportation subject to jurisdiction under chapter
135 of this title from giving information—
‘‘(1) in response to legal process issued under au-
thority of a court of the United States or a State;
‘‘(2) to an officer, employee, or agent of the Unit-
ed States Government, a State, or a territory or pos-
session of the United States; or
‘‘(3) to another carrier or its agent to adjust mu-
tual traffic accounts in the ordinary course of busi-
ness.
‘‘§ 14909. Disobedience to subpenas
‘‘A person not obeying a subpena or requirement of
the Secretary of Transportation or the Intermodal Surface
Transportation Board to appear and testify or produce
records shall be fined not less than $5,000, imprisoned for
not more than one year, or both.
‘‘§ 14910. General criminal penalty when specific pen-
alty not provided
‘‘When another criminal penalty is not provided under
this chapter, a person that knowingly and willfully violates
a provision of this part or a regulation or order prescribed
under this part, or a condition of a registration under this
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part related to transportation that is subject to jurisdiction
under subchapter I or III of chapter 135 of this title or
a condition of a registration under section 13902 of this
title, shall be fined at least $500 for the first violation and
at least $500 for a subsequent violation. A separate viola-
tion occurs each day the violation continues.
‘‘§ 14911. Punishment of corporation for violations
committed by certain individuals
‘‘An act or omission that would be a violation of this
part if committed by a director, officer, receiver, trustee,
lessee, agent, or employee of a carrier providing transpor-
tation or service subject to jurisdiction under chapter 135
of this title that is a corporation is also a violation of this
part by that corporation. The penalties of this chapter
apply to that violation. When acting in the scope of their
employment, the actions and omissions of individuals act-
ing for or employed by that carrier are considered to be
the actions and omissions of that carrier as well as that
individual.
‘‘§ 14912. Weight-bumping in household goods trans-
portation
‘‘(a) For the purposes of this section, ‘weight-bumping’
means the knowing and willful making or securing of a
fraudulent weight on a shipment of household goods which
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is subject to jurisdiction under subchapter I or III of chap-
ter 135 of this title.
‘‘(b) Any individual who has been found to have com-
mitted weight-bumping shall, for each offense, be fined at
least $1,000 but not more than $10,000, imprisoned for not
more than 2 years, or both.
‘‘§ 14913. Conclusiveness of rates in certain prosecu-
tions
‘‘When a carrier publishes or files a particular rate
under section 13702 or participates in such a rate, the pub-
lished or filed rate is conclusive proof against that carrier,
its officers, and agents that it is the legal rate for that trans-
portation or service in a proceeding begun under section
14902 or 14903 of this title. A departure, or offer to depart,
from that published or filed rate is a violation of those sec-
tions.’’.
Subtitle B—Motor Carrier Registra-
tion 
and 
Insurance 
Require-
ments
SEC. 451. AMENDMENT OF SECTION 31102.
Section 31102(b)(1) is amended by—
(1) striking ‘‘and’’ at the end of subparagraph
(O);
(2) striking the period at the end of subpara-
graph (P) and inserting a semicolon and ‘‘and’’; and
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(3) adding at the end thereof the following:
‘‘(Q) ensures that the State will cooperate in the
enforcement of registration and financial responsibil-
ity requirements under sections 31140 and 31146 of
this title, or regulations issued thereunder.’’
SEC. 452. AMENDMENT OF SECTION 31138.
(a) Section 31138(c) is amended by adding at the end
thereof the following new paragraph:
‘‘(3) A motor carrier may obtain the required
amount of financial responsibility from more than
one source provided the cumulative amount is equal
to the minimum requirements of this section.’’.
(b) Section 31138(e) is amended—
(1) by striking ‘‘or’’ at the end of paragraph (2);
(2) by striking the period at the end of para-
graph (3) and inserting ‘‘; or’’; and
(3) by adding at the end the following:
‘‘(4) providing mass transportation service with-
in a transit service area under an agreement with a
Federal, State, or local government funded, in whole
or in part, with a grant under section 5307, 5310, or
5311, including transportation designed and carried
out to meet the special needs of elderly individuals
and individuals with disabilities; Provided That, in
any case in which the transit service area is located