Prime Inc. cannot recover attorneys fees despite its victory in a recent round of litigation with the Owner Operator Independent Drivers Association, the U.S. Court of Appeals for the Eighth Circuit ruled. In reversing a lower court ruling, the appeals court said it did not believe Congress intended to single out truck owner-operators “to bear the unique burden of a mandatory fee shifting provision in favor of defendants.” (OOIDA vs. New Prime; Case No. 04-1788)
OOIDA may pursue a class-action lawsuit against USIS Commercial Services to obtain damages and court and legal costs for alleged violations of the Fair Credit Reporting Act by DAC Services, a federal judge in Denver ruled. (See “Law,” August 2004.) U.S. District Judge Robert Blackburn declared, however, that private parties may not seek an injunction, declaratory judgment or similar relief under FCRA. (Civil Case No. 04-RB-1384)
U.S. Supreme Court will hear Volvo Trucks North America’s appeal of a dealer’s lawsuit that led to a $4 million jury verdict against the manufacturer. Fort Smith, Ark.-based Reeder-Simco GMC had argued that Volvo gave other dealerships deeper price discounts on trucks as part of an effort to drive consolidation among dealer owners.
Parties representing International and Volvo truck dealers filed suit in U.S. District Court in Philadelphia against Detroit Diesel contending that the engine maker forced them to pay higher prices for Detroit Diesel engine parts than dealers whose brands were affiliated with DaimlerChrysler.
Q We have been told that if our driver signs for a shipment in good order and damage is noted at time of delivery, as a carrier we are liable for the damage regardless of its cause. Can this be right?
A With limited exceptions, which I will discuss, under the Carmack Amendment (49 U.S.C. 14706) a carrier is liable for damage to goods in its care, custody and control, regardless of the cause. When you accept a shipment in apparent good order and damage is noted upon delivery, the law presumes you are liable. You bear the burden of proving that one of five common law exceptions applies.
In 1964, the Supreme Court in Missouri Pacific Railroad Co. v. Elmore & Stahl (377 U.S. 134) held that a motor carrier is liable for the cargo transported unless it can prove that the loss was caused by any of the five following defenses:
