First circuit finds FLSA motor carrier does not apply to intra-island transport within U.S. territoriesBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, June 2001The First Circuit Court of Appeals recently decided an interesting issue in Herman v. Nieves 2001 Fed. Car. Cases ¶84,180 (3/26/2001) regarding the application of overtime law provisions of the Fair Labor Standards Act, ("FLSA") to motor carriers who operate only within an island that is a United States' territory or possession.
Illinois appellate court allows motor carrier to pursue claim for cargo damageBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, June 2001The Illinois Appellate Court for the First District has reversed a trial court ruling that barred auto carrier Cassens Transportation from recovering for cargo damage it suffered in a highway crash with J.B. Hunt Transport and American Boat Carriers in Behn v. Eppard, No. 1-99-1478 (2001 WL 314691 decided March 30, 2001).
DOT’s equipment leasing regulations and the owner-operator independent contractor status issue: two different approachesBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, April 2001The Illinois Appellate Court recently issued a troubling decision for motor carriers, finding that an owner-operator who had leased his truck to a motor carrier under the U.S. Department of Transportation's equipment leasing regulations was an employee of the lessee motor carrier and thus entitled to receive workers' compensation benefits.
Employee termination for drug possession No ADA violationBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, April 2001The U.S. Court of Appeals for the Seventh Circuit has affirmed the dismissal of an Americans with Disabilities Act (ADA) suit under 42 U.S.C. §2101 et seq. by an employee terminated from his job due to cocaine possession in Pernice v. City of Chicago, 237 F.3d 793 (7th Cir., 1/11/01).
Seventh Circuit reverses withdrawal liability judgment against owners of bankrupt motor carrierBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, April 2001The U.S. Court of Appeals for the Seventh Circuit has reversed a withdrawal liability judgment against shareholders of bankrupt motor carrier Holmes Freight Lines, Inc. in Central States Southeast And Southwest Areas Pension Fund v. Fulkerson, 238 F.3d 891 (7th Cir. 1/29/01).
Surface Transportation Board decides last trucking industry “undercharge” case, marking final resolution of the undercharge crisisEnergy, Utilities, Telecommunications, and Transportation, April 2001Surface Transportation Board (Board) Chairman Linda J. Morgan announced that, with the issuance of the Board's decision in the proceeding entitled Shuford Mills, Inc.--Petition for Declaratory Order--Certain Rates and Practices of Willig Freight Lines, Inc., STB No. 42018, the agency has resolved the last remaining case arising out of the trucking industry "undercharge crisis" of the 1990's.
Declining rail rates publication Surface Transportation BoardEnergy, Utilities, Telecommunications, and Transportation, January 2001Surface Transportation Board (Board) Chairman Linda J. Morgan announced on December 14, 2000 that the Board's Office of Economics, Environmental Analysis, and Administration (OEEAA) has issued a study finding that railroad rates overall continued their multi-year decline in 1999, led by reductions in the rates charged to eastern coal and western grain.
Legal challenge to Aurora merchant power plant dismissed by circuit courtBy Boyd J. SpringerEnergy, Utilities, Telecommunications, and Transportation, January 2001In response to the growing demand for electricity in Illinois and the Midwest, more than 40 natural gas-fired peaker and combined-cycle power plants are either under construction or planned for construction in Illinois.
Seventh Circuit rejects driver’s breach of contract suit against a motor carrier employerBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, January 2001The U.S. Court of Appeals in Chicago has rejected an employee's breach of contract and promissory estoppel claims that were based on an employment policy handbook in Workman v. United Parcel Service, Inc., 00-2159.
Suspended solids trading receives green light from Illinois Pollution Control BoardBy Sue A. SchultzEnergy, Utilities, Telecommunications, and Transportation, January 2001As anyone who has seen the Mississippi River will attest, it comes honestly by its nickname, "The Big Muddy." The river contains an enormous amount of silt and sediment.
Appellate court upholds $2.3 million jury verdict In owner operator class action suitBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, September 2000The Illinois Appellate Court has upheld a jury verdict for $2.3 million dollars in an owner operator class action lawsuit that was brought against a motor carrier.
Carmack claim against motor, rail carriers dismissed due to late shipper claimBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, September 2000In LTA Group v. J.B. Hunt Transport, Inc., 101 F.Supp. 2d 93 (N.D.N.Y. 6/21/00), the United States district court for the Northern District of New York granted the defendants' motions for summary judgment on a shipper/freight forwarder's Carmack Amendment claim against both a motor and rail carrier due to the shipper's failure to file timely loss and damage claims.
FMCSA issues new rules for motor carrier numbers, names and reportsBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, September 2000All motor carriers need to know about a new final rule the Federal Motor Carrier Safety Administration ("FMCSA") adopted on June 2, 2000. This new rule became effective on July 1, 2000.
No consequential damages on Carmack Amendment claimBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, September 2000The U.S. district court for the Northern District of Illinois recently issued an important decision in Linc Equipment Services, Inc. v. Signal Medical Services, Inc., 1999 WL 1144919 (N.D.Ill. 12/2/99).
No federal jurisdiction over broker claim for unpaid freight chargesBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, May 2000In S&B Transportation Inc. v. Allan Distributors, 1999 Fed. Car. Cases ¶84, 104 (E.D.N.Y. 3/30/1999), the U.S. district court dismissed a broker's freight charge collection suit relating to interstate transportation for lack of federal jurisdiction.
OSHA remedy preempts truck driver’s wrongful discharge claimBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, May 2000The U.S. Court of Appeals for the Sixth Circuit has affirmed the dismissal of a truck driver's common law wrongful discharge claim in Barlow v. The Martin-Brower Company, 2000 U.S. App. LEXIS 443 (6th Cir., 1/5/2000).
U.S. District Court addresses broker cargo liability issuesBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, May 2000The pending U.S. District Court action in Custom Cartage, Inc. v. Motorola, Inc. is providing well reasoned and important transportation law opinions addressing a number of issues, including broker responsibility for cargo loss and damage claims.
ADA claimant must request reasonable accommodationBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, February 2000The U.S. Court of Appeals in Chicago affirmed a trial court's summary judgment in favor of an employer and against a former employee in an Americans With Disabilities Act case brought under 42 U.S.C. § 1201 in Robin v. Espo Engineering Corp., No. 98-3909 (served 1/13/00).
Illinois Court OOIDA’s challenge to Illinois Motor Fuel Use Tax ActBy William D. BrejchaEnergy, Utilities, Telecommunications, and Transportation, February 2000On December 2, 1999, the Circuit Court of Cook County, Illinois rejected a constitutional attack on the Illinois Motor Fuel Use Tax Act, 35 ILCS 505/13a, in Owner-Operator Independent Drivers Association ("OOIDA") v. Bower, 99 CH-02632, on a number of grounds.
Illinois unemployment insurance agency announces trucking industry auditBy Dennis J. DuffyEnergy, Utilities, Telecommunications, and Transportation, February 2000In October, 1999, the Illinois Department of Employment Security (IDES) initiated a one year audit program targeting trucking companies in Illinois for compliance with the owner-operator/independent contractor employment exemption, as codified at 820 ILCS 405/212.1
Liability issues stemming from the use of owner-operatorsBy Timothy W. WisemanEnergy, Utilities, Telecommunications, and Transportation, February 2000Over the past two years, there have been several class action lawsuits filed across the country against various motor carriers for alleged unfair and illegal leasing practices.
Using watershed partnerships to manage source water qualityBy Daniel J. KuceraEnergy, Utilities, Telecommunications, and Transportation, February 2000Under the current legal regulatory scheme, water utilities are responsible to treat source water to specified standards, regardless of the cause of any contamination in the source water.
Recent news releasesEnergy, Utilities, Telecommunications, and Transportation, May 1999Surface Transportation Board (board) Chairman Linda J. Morgan announced today that the board has terminated its consideration of two more rail rate complaints after the parties reached negotiated settlements.