Broker liability · After Montgomery
Negligent selection claims are live. Keep the file that answers them.
In May 2026 the Supreme Court ruled that federal law does not preempt negligent-hiring claims against freight brokers. Nobody can tell you exactly what reasonable care will look like to a jury. You can decide what your file will look like when someone asks.
Happy Tactic is not a law firm. This page is general information, not legal advice.
The ruling
What the Court decided, and what it left open
Montgomery v. Caribe Transport II, LLC began with a crash on an Illinois road. A truck hauling a load arranged by C.H. Robinson struck Shawn Montgomery’s stopped tractor-trailer, and he sued the broker, alleging it negligently hired a carrier with a conditional safety rating.
The Court’s answer, written by Justice Barrett, was unanimous: “A claim that one company negligently hired another to transport goods is not preempted by the FAAAA.” Requiring a broker “to exercise ordinary care in selecting a carrier,” the Court said, concerns motor vehicles, “most obviously, the trucks that will transport the goods.”
It is a narrower decision than some headlines suggest. Justice Kavanaugh, joined by Justice Alito, wrote that it “should not be read to mean that brokers will routinely be subject to state tort liability,” and that brokers can defend themselves if they “have acted reasonably and arranged transportation with reputable trucking companies.”
What nobody can tell you yet
What reasonable care actually requires. Asked that question, transportation law firm Benesch wrote: “The honest answer is that no one knows.” It will turn on individual judges and juries, state by state. That uncertainty is the argument for a process you can show, rather than one you have to describe from memory.
Sources: the opinion, No. 24-1238 (Cornell LII) · Benesch client alert, May 18, 2026
The file
What a carrier selection file should be able to show
Benesch’s first recommendation is that every broker have a written policy. Its sharpest line is about what comes next: “The only practice worse than not having a policy in place is having a policy and routinely violating that policy.”
A process that can’t be skipped on a busy day
Thirteen steps, enforced by the server. A rep in a hurry can’t jump past the owner call or the insurance step, so the policy you wrote is the policy that ran.
Active authority at the moment you chose them
The federal record is pulled when the verification runs: authority, out-of-service status, docket numbers and safety data, kept with the file.
The safety record, and how it changed
Safety rating and operating status are tracked over time. A change shows up as an entry in the carrier’s history rather than disappearing into today’s snapshot.
Who you were actually dealing with
A recorded interview on the number of public record, a code sent only to the registered contact, and an e-signed authorization naming the dispatcher.
Insurance you didn’t have to take on faith
Policy data comes direct from the insurance source, not an emailed PDF. A named-insured mismatch fails the verification.
The driver and the truck on the load
Camera-only license and VIN captures, checked against the state record and the VINs listed on the policy.
That you kept watching
Verified carriers are monitored for adverse changes to authority, out-of-service status and insurance. Verifications expire, and an expired carrier can’t take a new tender.
All of it, in one document
Every decision ships with an Evidence Packet PDF: the finding-by-finding trail, ready for your file, your insurer or your attorney.
The difference
A folder of screenshots vs. a file
| Question | Manual vetting | Happy Tactic |
|---|---|---|
| Was the process followed? | Depends who was on the desk that day | Server-enforced; steps can’t be skipped |
| What did you check? | Whatever someone saved | Every source and finding, listed |
| When did you check it? | A file date, if you’re lucky | Audit trail of each step and event |
| Was the insurance real? | An emailed certificate | Policy data direct from the source |
| Did anything change later? | Only if someone looks again | Monitored, with alerts and an expiry date |
Questions brokers ask
Straight answers.
What is negligent selection in freight brokerage?
It is a claim that a broker failed to use reasonable care when it chose a motor carrier, and that the failure contributed to someone being hurt. It is a state-law negligence theory, usually brought after a serious crash.
What did the Supreme Court decide in Montgomery v. Caribe Transport II?
On May 14, 2026 the Court held that a claim that one company negligently hired another to transport goods is not preempted by the FAAAA, because the statute preserves state safety authority with respect to motor vehicles. The practical effect is that these claims can go forward in state-law terms rather than being dismissed on federal preemption grounds.
Does Montgomery mean brokers are liable whenever a carrier crashes?
No. The ruling removes one defense. A plaintiff still has to prove negligence under state law. Justice Kavanaugh’s concurrence says the decision should not be read to mean brokers will routinely be subject to state tort liability, and that brokers may defend themselves if they acted reasonably and arranged transportation with reputable trucking companies.
What counts as reasonable care when selecting a carrier?
The Court did not define it, and it will vary by state and by jury. Transportation counsel generally advise a written selection policy, active federal authority as a starting point, staff training, and consistent documentation. Ask your own counsel and your liability insurer what they expect.
Will carrier vetting software protect me from a lawsuit?
No software can promise that, and you should be wary of any that does. What it can do is make your process consistent and leave a record of what you checked, when, and what you found. Happy Tactic is not a law firm and this page is not legal advice.
What do I get at the end of a verification?
A green, yellow or red decision on a 0 to 100 score, with an Evidence Packet PDF that lists each finding. You can keep it with the load file or send it to a shipper.
Start the file on your next carrier.
Type the MC number. The owner, the insurer and the driver do the rest, and you keep the evidence.