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Thread: Owner Operator Contract or Agreement

  1. #1
    turbotransit is offline Rookie
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    Default Owner Operator Contract or Agreement

    Hello,

    I am a new trucking company looking to lease on Owner Operators. I am determined to be one of the better ones in the industry. I am having a hard time finding a sample agreement of which I can modify to fit our needs, I really do not want to hire a lawyer to do this when I can find an agreement from Landstar or a larger company that can be modified to suit our needs. If anybody has one could you please email me a copy, I would be very appreciative.

    If anyone has leased on drivers and knows of a link to purchase these agreement templates I would appreciate that as well.

    scott@turbotransit.com

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  3. #2
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    I think you would be better off getting a Lawyer. If you cant afford a lawyer, how you going to pay your drivers? Just my .02

  4. #3
    turbotransit is offline Rookie
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    Default In Response

    Quote Originally Posted by xcarsalesman View Post
    I think you would be better off getting a Lawyer. If you cant afford a lawyer, how you going to pay your drivers? Just my .02
    I can afford a lawyer, I said I would rather not use one when I can find an agreement that has already been written by a company like Landstar. Do you think there agreements are wrong? I think they got all the bases covered.

  5. #4
    chris1's Avatar
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    So you think your operation is going to mirror someone like landstars? Your lease agreement should be structured for your own operation. There are federal regs that need to be complied with(usually called *truth in leaseing") Plagiarism won't get you very far if there is a problem.

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    try this

    OOIDA is a good resource. Google "sample owner operator agreement" -- lots of hits.

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    GMAN's Avatar
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    AC120 is correct. OOIDA does have a sample lease. If you are a member they may make a copy available to you that you could modify for your specific needs. There are certain elements that you must include in any lease agreement. The federal website should have those things which must be included. If you want to see a copy of Landstar's agreement you might just call them up and ask to see one. In fact, OOIDA may have a copy of Landstar's lease agreement since they were in a lawsuit against them at one time about the contract.

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    allan5oh is offline Senior Board Member
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    Also the FMCSR's have certain requirements of any contract, and I wouldn't be surprised if a few big name carriers didn't fully comply with the FMCSR's:

    All Regulations - Federal Motor Carrier Safety Administration

  9. #8
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    AND BURN.................

    If any said company finds out you took their lease, such as Landstar, expect to pay millions in court costs because they are not going to like that, especially Landstar. I worked for them for 4 years and to be honest, they were prob the most pain in the ***** company I ever ran for. On-top of them taking all kinds of fee's and other things, they have a giant legal department. When I left them, I had just made my last payment on my 50T lowboy and they tried to take it back. After 3 years, and $12,000 in legal fee's I got to keep the trailer (thank god the judge also made them pay for my fee's) Dont mess around

    Like everyone else has said, call OOIDA. Honestly you should already be a member owning your own company.
    Last edited by Steel Horse Cowboy; 07-28-2010 at 04:50 PM.

  10. #9
    Musicman's Avatar
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    I read OOIDA's sample lease and placed it in the circular file. The lease is written 100% to protect the o/o you are trying to lease on and it does absolutely nothing to protect YOU as the carrier except ensure compliance with the federal regs. In fact, it was the turning point in our relationship when I’d realized I’d outgrown them in many respects. I still maintain a membership, but really don’t know why, since they do pretty much nothing for the small carrier.

    I know you just got started 8 weeks ago and might be a little thin on spare cash, but you really need to consult an attorney. Not only does the lease need to be tailored to YOUR operation, but you must also ensure it complies with the state of Illinois’ contract law, which varies from other jurisdictions. Landstar’s lease would be not only tailored to their operation, but also to their own state, which would most assuredly have some differences in its contract law from Illinois. You screw up in your contract and lease on a bad apple, you could end up in a world of financial and maybe even legal hurt. Don’t be cheap and lazy and take unnecessary chances with your business. Just because you are incorporated doesn’t mean that you can personally be sued. More and more judges are allowing “the corporate veil” to be pierced in litigation.
    "The Breakfast of Champions isn't cereal, it's the competition!" - "Success is how high you bounce when you hit bottom." - "An appeaser is one who feeds a crocodile, hoping it will eat him last."

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    You must comply with 49 CFR 376,every thing else must comply with your states contract law,unless it contradicts 376.

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    I would advise against using any companies lease as your own. It might be good to read over other carriers leases, but it may save you some grief if you designed your own agreement. It should not cost too much for an attorney to either check over a lease that you write yourself or one that he writes for you. I would think that any good lawyer would have a cookie cutter contract for motor carriers that he could modify or customize for your operation.

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    I have to say there is something I find strange that a co, who is up & running already with a real nice websight boasting all types of great freight service would already have a lease contract ready to go, & already have a co, attorney. info taken form turbo transit websight below. I dont understand how you CANNOT have averything you could possibly need, by your services being offered already. maybe I am missing something.

    Why Turbo Transit?Financial StabilityTurbo Transportation Group is one of the most financially stable asset-based carriers in the U.S.A. We provide immediate compensation for our carriers, which ensures carrier loyalty and the best rates available. Turbo Transportation Group provides the tools and quality necessary to establish a long-term partnership with your company.Wholesale Shipping SolutionsTurbo Transportation Group allows your company to take advantage of our discounts to ship your freight. Turbo Transportation Group will help your company qualify your shipments for large discounts, usually only afforded to corporate customers. We combine your LTL shipments with other customers to increase volume and pass the savings on to you!Customer ServicesWe can meet all of your logistics needs, including:
    Pallet Exchanges
    Residential Services
    Climate Controlled
    Automobile Transport
    Hazardous MaterialsTime TestedTurbo Transportation Group uses a combination of our own trucks, and a network of over 10,000 motor carriers that provide reliability and on-time delivery. We can move your freight anywhere in the continental U.S. at any time. We are a full service logistics provider with complete cargo protection. All shipments arranged by our company come with complete insurance during the linehaul.

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    I will say I'll give you an A on the web design. it looks real nice.

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    Musicman's Avatar
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    I know this is an old post, but I usually stay out for a month at a time and don’t do much posting when I’m away from home and I just can’t let this one lie.
    “Posers” really get under my skin. When I first looked up this idiot’s SAFERS profile and saw a DOT number in the two millions and a MCS-150 date of June 2010, one truck and no inspections it was obvious that this was a guy (or gal) who had just been granted authority and had no clue what to do next. I can live with that… we all have to start somewhere. After two years of running under my authority I only have one truck, so who am I to talk? Then I see this website where this jackass is pretending to be something he or she is not and it makes me want to go kick some azz. These are exactly the sort of people who give trucking a bad name. They have no clue what they are doing and yet promise the world to anybody who will listen. When they can’t deliver (no pun intended) it looks bad on all of us. Do you know why this person wanted a contract to copy? Because it is probably all he has ever known how to do… imitate others. Hopefully the OP changes his user name to “Walter Mitty”, which would at least be more appropriate.
    "The Breakfast of Champions isn't cereal, it's the competition!" - "Success is how high you bounce when you hit bottom." - "An appeaser is one who feeds a crocodile, hoping it will eat him last."

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    turbotransit is offline Rookie
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    Default Poser, LMAO Music Man I believe Thats You!

    Quote Originally Posted by Musicman View Post
    I know this is an old post, but I usually stay out for a month at a time and don’t do much posting when I’m away from home and I just can’t let this one lie.
    “Posers” really get under my skin. When I first looked up this idiot’s SAFERS profile and saw a DOT number in the two millions and a MCS-150 date of June 2010, one truck and no inspections it was obvious that this was a guy (or gal) who had just been granted authority and had no clue what to do next. I can live with that… we all have to start somewhere. After two years of running under my authority I only have one truck, so who am I to talk? Then I see this website where this jackass is pretending to be something he or she is not and it makes me want to go kick some azz. These are exactly the sort of people who give trucking a bad name. They have no clue what they are doing and yet promise the world to anybody who will listen. When they can’t deliver (no pun intended) it looks bad on all of us. Do you know why this person wanted a contract to copy? Because it is probably all he has ever known how to do… imitate others. Hopefully the OP changes his user name to “Walter Mitty”, which would at least be more appropriate.
    First of all Music MAn, I am not a poser. I have been running freight brokerages and trucking ompanies for over 10 years. I just decided to start my own freight brokerage 18 months ago and my own trucking company 6 months ago. This is the time to really make money in this industry with the changes coming in November.

    Now as far as the contracts and agreements, I have had all of them designed by one of the top transportation lawyers in the country. I am pleased to say I know longer need the advise. Now as far as the p]trivial attempt at a personal attack by you Music Man. I am doing just fine. I am not worried about CSA 2010 or inspections as I work 20 hours a day on this **** and I am on top of the game. I am buying (4) more trucks in the next 3 months and (3) Double Drops. My trucks are averaging $6800 per week in gross and the long term will be better than that once I have the new APU's installed.

    Now I am not going to criticize the way you do your business and honestly man You could never touch mine. I know this industry very well. The peaks and valleys always come and I can sell freight like no other. If you want to try an dmatch wits you should do it with the "Guesser" at the carnival you would fair much better.

  17. #16
    turbotransit is offline Rookie
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    Thank You, I have a great web team that I use out of Florida. They are affordable and help me achieve top notch SEO

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    turbotransit is offline Rookie
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    Quote Originally Posted by heavyhaulerss View Post
    I will say I'll give you an A on the web design. it looks real nice.
    Thanks for the compliment in the design. I have a great web team who does it quite effectively and economically.

  19. #18
    Musicman's Avatar
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    Quote Originally Posted by turbotransit View Post
    First of all Music MAn, I am not a poser. I have been running freight brokerages and trucking ompanies for over 10 years. I just decided to start my own freight brokerage 18 months ago and my own trucking company 6 months ago. This is the time to really make money in this industry with the changes coming in November.

    Now as far as the contracts and agreements, I have had all of them designed by one of the top transportation lawyers in the country. I am pleased to say I know longer need the advise. Now as far as the p]trivial attempt at a personal attack by you Music Man. I am doing just fine. I am not worried about CSA 2010 or inspections as I work 20 hours a day on this **** and I am on top of the game. I am buying (4) more trucks in the next 3 months and (3) Double Drops. My trucks are averaging $6800 per week in gross and the long term will be better than that once I have the new APU's installed.

    Now I am not going to criticize the way you do your business and honestly man You could never touch mine. I know this industry very well. The peaks and valleys always come and I can sell freight like no other. If you want to try an dmatch wits you should do it with the "Guesser" at the carnival you would fair much better.
    Show me where in ANY post since I joined this board in 2005 where I have ever, one time, pretended to be something that I am not or more than I am. I have one truck that I and my wife run under our own authority. I have no website where I portray myself to be some big player in the transportation industry. You didn’t do that here with your post because you probably knew you’d be called out for what you are in two seconds.

    You filed your MCS-150 in June of this year… that’s not six months by any math you want to use. If you have so much experience in the trucking and brokerage fields, why were you seeking to copy somebody else’s lease agreements? That is just plain stupid, irrespective what industry it would pertain to. As previously stated by myself and others on here, not only would that be theft of intellectual property, but it would also most likely not offer you the legal protection you were seeking.

    Look Scott, or William or Robert K. Bruning, or whoever you are, you live in whatever fantasy world you want, but I’m not buying it or supporting it. I have no hard proof that you are a complete fraud, but so many things just don’t add up. You have all kinds of trucks, but three months ago, when you filed the paperwork to start your trucking company you had one, according to your MCS-150. Then you have all this vast knowledge of both the brokerage and carrier sides of our industry but yet you are so stupid and ignorant that you want / need to copy another carrier’s lease. Then, your website portrays you to be a vast logistics mogul… to quote your home page:

    “Turbo Transportation Group is one of the most financially stable asset-based carriers in the U.S.A. We provide immediate compensation for our carriers, which ensures carrier loyalty and the best rates available.”

    One of the most financially stable asset based carriers in the USA, huh? Really? I’m calling BULL***** on that. Then you say you pay your carriers immediately, but yet in your carrier contract you say it’s thirty days. Which is it? Which one of those statements is a lie? Oh wait, you offer “Quick Pay” which in your world means 48 hours after POD is received, then by a check in the mail, then for a FIVE PERCENT fee. Boy, that must be how you build those solid relationships with all those carriers you boast about working with on your website.

    One of the many questions I have about your contracts is if your Carrier / Broker Agreement was written long before your post here in July (as indicated on page three where the date line has “200__” typed, indicating it was written in 2009 or earlier) , why wouldn’t you have the same person write your Carrier / Owner Operator Agreement? I mean, surely one of the most stable asset based carriers in the United States would have an attorney or ten on staff, right? If not, you’d have one on retainer you could consult with. Not YOU though, you were portraying yourself to be some bigshot on your webpage and yet you were skulking around on CAD looking for some charity. It is completely inconsistent behavior.

    Also, according to checkfreightbroker.com, when I searched your MC# (MC #683731) you have 1 paid transaction on file in the last 12 months, 0 in the last 6 months, 0 in the last 3 months and it took you 55 days to pay.

    There are so many holes in your fantasy about who and what you are that it looks like Lorraine Cheese, my friend. Why not just be honest about who you are on your website and on CAD? I’m sure you WANT to be more than you are, but why lie about it?
    "The Breakfast of Champions isn't cereal, it's the competition!" - "Success is how high you bounce when you hit bottom." - "An appeaser is one who feeds a crocodile, hoping it will eat him last."

  20. #19
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    Remind me never to get on the wrong side of musicman

  21. #20
    Musicman's Avatar
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    Quote Originally Posted by sjmay View Post
    Remind me never to get on the wrong side of musicman
    Look, people like this poser are a rotting cancerous tumor in our industry. Trucking has enough problems without wannabe’s and pretenders jumping in and screwing it up more than it is. People like the OP must be shown for who and what they are as quickly as possible. They are like noxious weeds… once they get rooted… forget it… the damage is done.

    Those who have been around CAD for a while know that I generally don’t post much and when I do, I usually try to keep the peace with those I have a difference of opinion with; but people like this guy really tick me off. Does he have some brokering experience? Sure… he worked for another broker some time ago as evidenced by his response to a Ripoff Report for BackHauLine Inc where he says he’s the operations manager. The link is below:
    Backhauline,Inc Philip Nenadov, backhauline.com Truck Broker Con Artist Review | Rip-off Report #331820

    Here’s his website where he says he’s “one of the most financially stable asset-based carrier in the U.S.A.”
    Turbo Transit - Freight Brokers, Freight Quotes, LTL Quotes,Heavy Haul Shipping, Refrigerated Shipping, Flatbed Shipping

    Here’s a link to his “Broker Training” website where one of the three testimonials listed (complete with photos) is probably from his son or other close relative (same last name: Woods)
    Freight Broker Agent Training | Online Freight Broker Training | Truck Dispatcher Training | Freight Broker Shipper Databases | Freight Broker Websites | Freight Broker Training Manuals

    Here a link to his SAFERS carrier profile:
    SAFER Web - Company Snapshot TURBO TRANSIT INC TRANSIT INC

    It’s just not right for jackasses like this to try to fool shippers, carriers or even drivers into thinking that they're more experienced or capable than they really are when most of the people on here, especially the owner operators are HONEST hard working guys and gals who are doing things the right way.
    "The Breakfast of Champions isn't cereal, it's the competition!" - "Success is how high you bounce when you hit bottom." - "An appeaser is one who feeds a crocodile, hoping it will eat him last."

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