WARNING: $25,000 Violation for Inactive Licenses

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Categories: Legal Compliance for Interstate Movers

1200 New Jersey Avenue SE, 20590 Washington
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WARNING: The US DOT has been enforcing a new law where a motor carrier will be fined $25,000.00 for each job performed while their license was “inactive” or when the carrier went “out of service.” 49 USC § 14901(d)(3) states that if a motor carrier or a broker operates without a license (Out of Service or Inactive) the carrier must be fined $25,000.00.

Frequently carriers will go “Inactive” based on an insurance lapse or during the time when they are changing insurance policies. Unfortunately, many carriers do not even know that they went “inactive.” It is the carrier’s duty to monitor and maintain their authority in an “Active” status. Not knowing that your license went “Inactive” is not a defense to the violation and penalty. To check your authority history please check FMCSA Licensing & Insurance website.

If a carrier’s license goes “inactive” they should not perform any services during that period of time. Performing services includes: booking jobs, picking up, loading, transporting, off loading, or using an agent to perform on your behalf under your authority.

Check Your Authority NOW!

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