Freight broker liability just got real: What the Supreme Court decision means for trucking

May 15, 2026

A recent U.S. Supreme Court decision is expected to change how freight broker liability is evaluated, with direct implications for brokers, shippers, and carriers. In Montgomery v. Caribe Transport II, LLC, the Court held that negligent hiring claims against brokers aren’t blocked by federal law when safety is involved.

The ruling turns on the safety exception in the Federal Aviation Administration Authorization Act, which preserves a state’s ability to regulate safety with respect to motor vehicles, even when other state rules related to prices, routes, or services may be preempted.

The case arose from a crash in which driver Shawn Montgomery alleged that broker C.H. Robinson failed to use reasonable care when it selected a motor carrier. Reports on the decision noted allegations that the carrier had a conditional Federal Motor Carrier Safety Administration (FMCSA) safety rating and a history of safety problems tied to driver qualification, hours of service, maintenance, and crash history — all factors plaintiffs will emphasize when challenging broker selection decisions.

The Court didn’t say brokers will always be liable, but it did make clear that these cases can proceed under state negligence standards when they concern motor vehicle safety.

Properly vet carriers

The ruling reinforces that carrier selection is a safety and risk management responsibility. This raises the bar for due diligence. Brokers should be able to show how and why a carrier was deemed safe to use. Broker files, screens, and decision logs may be examined with the same intensity carriers already face during audits and post-crash investigations. That expectation will reshape everyday broker workflows nationwide.

This decision pushes three operational changes.

First, brokers may be held accountable for the carriers they select, so onboarding and tendering should be tied to consistent criteria rather than informal judgment.
Second, safety history and driver qualification signals carry more weight because litigants will look for red flags and argue that a reasonable broker should have acted differently.
Third, brokers should assume their vetting records and exception approvals will be requested and analyzed after a serious incident.

How J. J. Keller & Associates, Inc. can help

Now’s the time to evaluate how safety data is reviewed, which criteria guide carrier selection, and whether decisions are clearly documented. J. J. Keller teams have already pointed to a Carrier Review Risk Assessment as a practical fit for this environment. Learn more at https://www.jjkellerconsulting.com/transportation-consulting/carrier-risk-review-service.

Publish Date

May 15, 2026

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Industry News

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