Broker compliance guide
Montgomery v. Caribe: what freight brokers must do now
In Montgomery v. Caribe Transport II, LLC (No. 24-1238), the U.S. Supreme Court ruled unanimously, 9-0, on May 14, 2026 that a freight broker can be sued under state negligence law for selecting an unsafe motor carrier — stripping brokers of the federal-preemption shield they had used for years to get these cases dismissed. The practical takeaway is simple: documenting how you vet carriers — and when — is now part of building a defensible record.
What the Court decided
The case asked whether the Federal Aviation Administration Authorization Act (FAAAA) — which preempts state laws related to a broker’s price, route, or service — shields brokers from state negligence claims over the carriers they choose. In a 9-0 opinion by Justice Amy Coney Barrett, the Court held it does not: a negligent-selection claim falls within the FAAAA’s safety exception, because applying state negligence law to a broker’s choice of carrier is an exercise of a state’s “safety regulatory authority… with respect to motor vehicles.” In plain terms: a broker can be sued for negligently choosing a carrier, and “we’re just a middleman” is no longer a reliable defense. The ruling ends the Ye v. GlobalTranz line of cases the freight industry had relied on as its main preemption defense since 2023.
Why it changes how you book
You can’t control how a carrier drives. What you can control — and what a court will look at — is whether you checked the carrier’s federal record before you handed them a load, and whether you kept proof. A vetting habit you can show beats a vetting habit you can only describe.
What to check before you book
- Operating authority. Is the carrier's MC/DOT authority active — not revoked, inactive, or pending?
- Insurance on file. Is liability insurance filed with FMCSA, and is a cancellation pending?
- Safety rating. Satisfactory, conditional, unsatisfactory, or unrated — and what does the inspection history show?
- Out-of-service status. Is the carrier currently ordered out of service?
Check a carrier now
Enter any carrier’s MC or DOT number. Free, no account, straight from FMCSA federal records.
Just the number works — with or without the MC/DOT prefix, and spaces are fine. Tip: prefix an MC number with “MC” (e.g. MC123456) so it isn't read as a DOT number.
How to build a defensible vetting record
A single screenshot in an inbox isn’t a system. Three things make a vetting record defensible:
- A dated check at booking. CarrierClear gives you a timestamped vetting record (PDF) on every free lookup — keep it on file.
- Ongoing monitoring. Authority and insurance lapse. Monitoring re-checks your saved carriers daily and emails you the moment something changes.
- A verification log. When the data can't confirm something, you call and confirm it yourself — and record that call as an attestation in the audit trail. The human decides; the tool keeps the record.
See monitoring plans → or read the free carrier-vetting guide →
Questions brokers are asking
- Does the Montgomery v. Caribe ruling apply to my brokerage?
- If you arrange freight as a broker, it's relevant to you. The Supreme Court held unanimously (9-0) that a negligent-selection claim against a broker is not preempted by the FAAAA, so any broker that selects carriers can face the same theory of liability. Size doesn't exempt you.
- What records should I keep when I book a carrier?
- At minimum, a dated record of what you checked at the time you booked — operating authority, insurance on file, and safety status — plus any follow-up you did to confirm something the data couldn't. Documenting when you checked is as important as what you checked.
- Is a one-time check enough?
- A point-in-time check shows you vetted at booking, but a carrier's authority or insurance can lapse afterward. Ongoing monitoring that flags a change — and a saved history — is what shows continued diligence over a relationship.
- What will a plaintiff's attorney ask for in discovery?
- Your vetting file for that specific load: what you checked the day you tendered, what the data showed at that moment, whether you followed your own written process, and what you did when something needed follow-up. A timestamped record answers those questions. A vetting process you can describe but not document — or one you documented and then skipped once — is what plaintiff's counsel builds a case around.
- Is CarrierClear legal advice?
- No. CarrierClear is an information tool that shows the government's FMCSA record and lets you record your own verification. It is not legal advice and not a certification of any carrier's fitness or insurance. Talk to a transportation attorney about your specific obligations.
Sources
- 1.Montgomery v. Caribe Transport II, LLC, No. 24-1238 — slip opinion (decided May 14, 2026) — Supreme Court of the United States, May 14, 2026
- 2.Montgomery v. Caribe Transport II, LLC, 608 U.S. ___ (2026) — Justia U.S. Supreme Court Center
- 3.Supreme Court Decides Montgomery v. Caribe Transport II, LLC — Faegre Drinker Biddle & Reath LLP, May 2026
This guide is general information, not legal advice, and is not a summary you should rely on for your specific situation. CarrierClear displays public FMCSA records and records your own verification; it does not certify any carrier’s fitness or insurance. Consult a transportation attorney about your obligations.