Court upholds L.A. port concession rules
Disappointed ATA calls decision ‘clearly erroneous’
U.S. District Judge Christina Snyder in late August ruled in favor of the City of Los Angeles and the Port of Los Angeles in a lawsuit brought by the American Trucking Associations over the port’s Clean Truck Program. The court awarded judgment in favor of the city and ruled that the Concession Agreement provisions banning owner-operators are enforceable. “We are disappointed with the decision, and believe it is clearly erroneous as a matter of law,” ATA said in a statement. ATA attorneys filed formal notice that they are appealing Snyder’s ruling.
Snyder rejected ATA’s arguments that the plan was not in compliance with federal laws regarding interstate commerce and transportation safety. Snyder ruled that the agreement’s employee provision would protect the port’s financial investment in subsidized vehicles and ensure that drivers have the available funds to maintain the new, cleaner truck fleet. The 57-page ruling said air pollution from trucks had jeopardized the port’s future as a commercial enterprise, with emissions-related lawsuits stalling its growth.
“Our ability to have direct enforcement of the truck bans and other important features of our concession agreements with the trucking companies that call at the port thousands of times a day will help provide a safer and secure trucking system for the long term,” said Geraldine Knatz, the port’s executive director.
* FedEx Corp. will combine its FedEx Freight and FedEx National LTL operations effective Jan. 30, 2011, to increase efficiencies and reduce operational costs. The company says the program will cost $150 to $200 million and reduce headcount by about 1,700 full-time employees. About 100 facilities will be closed.
* James Brown Contracting Inc., a dedicated short-haul truckload carrier based east of Atlanta, acquired Schrader Trucking Co. Inc. Terms were not announced. Schrader, a Jefferson City, Tenn.-based dry van truckload carrier with 95 trucks and 201 trailers, operates across the Southeast as well as in the Midwest, Mid-Atlantic, Texas and Canada.
* US 1 Industries Inc. received a stock purchase proposal from Trucking Investment Co., which was formed by Harold Antonson and Michael Kibler, who combined own about 52 percent of US 1’s stock. The proposal was contingent upon Valparaiso, Ind.-based US 1 entering into a definitive merger agreement with TIC and allowing it to acquire all shares currently not held by Antonson and Kibler.
* Schneider Logistics agreed to sell its freight forwarding and customs house brokerage business in the United States and China to Norbert Dentressangle, a European transportation, logistics and freight forwarding company. Terms were not announced.
* State highway conditions are the best they’ve been in 19 years, according to Reason Foundation’s 19th Annual Highway Report that says the recession is causing people to drive less, slowing pavement deterioration and reducing traffic congestion and fatalities. To view the report, go to http://www.reason.org/news/show/19th-annual-highway-report.
Truck dealers urge sales incentives
The American Truck Dealers led a coalition of trucking industry executives Sept. 1 to meet with senior members of the Obama administration and to discuss the state of the industry, the impact of higher costs resulting from new emissions mandates and options to boost medium- and heavy-duty truck sales.
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