1980 ACT

This amends section 10923(b)(2) to make a technical change to conform to the source provision by setting out the 5 criteria separately.

REFERENCES IN TEXT

Section 18 of the Bus Regulatory Reform Act of 1982, referred to in subsec. (b)(2), is section 18 of Pub. L. 97-261, Sept. 20, 1982, 96 Stat. 1120, of which subsecs. (a) to (g) are set out as a note under section 10927 of this title and subsec. (h) amended section 10927 of this title.

AMENDMENTS

1982-Subsec. (b)(2). Pub. L. 97-261 substituted provision that par. (2) of subsec. (a) of this section shall not apply to applications under this section for authority to provide transportation as a motor contract carrier of passengers, and that the requirement that persons issued permits under this section as motor contract carriers of passengers be fit, willing, and able means safety fitness and proof of minimum financial responsibility under section 18 of the Bus Regulatory Reform Act of 1982, for provision that in deciding whether to approve the application of a person for a permit as a motor contract carrier of passengers, the Commission would consider the number of shippers to be served by the carrier, the nature of the transportation proposed to be provided, the effect that granting the permit would have on the transportation of carriers protesting the granting of the permit, the effect that denying the permit would have on the person applying for the permit, its shippers, or both, and the changing character of the requirements of those shippers.

1980-Subsec. (b)(2). Pub. L. 96–296, § 10(a)(2)(A), inserted "of passengers" following "motor contract carrier".

Pub. L. 96-258, in subpar. (D), substituted “; and" for ", and the changing character of the requirements of those shippers." and added subpar. (E).

Subsec. (b)(3). Pub. L. 96-296, § 10(a)(2)(B), added par. (3). Former par. (3) redesignated (7).

Subsec. (b)(4) to (6). Pub. L. 96-296, § 10(a)(2)(B), added pars. (4) to (6).

Subsec. (b)(7). Pub. L. 96-296, § 10(a)(2)(B), redesignated former par. (3) as (7).

Subsec. (d)(1). Pub. L. 96-296, § 10(a)(3)(A), inserted ", except that in the case of a motor contract carrier of property, the Commission may not require such carrier to limit its operations to carriage for a particular industry or within a particular geographic area" following "or service".

Subsec. (d)(2). Pub. L. 96-296, § 10(a)(3)(B), substituted "including each person or class of persons (and, in the case of a motor contract carrier of passengers, the number of persons)" for "including each person or number or class of persons".

Subsec. (e). Pub. L. 96-296, § 34(b), added subsec. (e).

EFFECTIVE DATE OF 1982 AMENDMENT

Amendment by Pub. L. 97-261 effective on the 60th day after Sept. 20, 1982, see section 31(a) of Pub. L. 97-261, set out as a note under section 10101 of this title.

EFFECTIVE DATE OF 1980 AMENDMENT Amendment by Pub. L. 96-258 effective Oct. 17, 1978, see section 3(d) of Pub. L. 96-258, set out as a note under section 10525 of this title.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 10328, 10528, 10762, 10922, 10925, 10926, 10927, 11145, 11304, 11506, 11708 of this title.

§ 10924. Licenses of motor carrier brokers

(a) The Interstate Commerce Commission shall issue, subject to section 10927(b) of this

title, a license to a person authorizing the person to be a broker for transportation of household goods subject to the jurisdiction of the Commission under subchapter II of chapter 105 of this title, if the Commission finds that(1) the person is fit, willing, and able

(A) to be a broker for transportation to be authorized by the license; and

(B) to comply with this subtitle and regulations of the Commission; and

(2) the transportation for which the person is to be a broker will be consistent with the public interest and the transportation policy of section 10101 of this title.

(b) The Interstate Commerce Commission shall issue, subject to section 10927(b) of this title, a license to a person authorizing the person to be a broker for transportation of property (other than household goods) subject to the jurisdiction of the Commission under subchapter II of chapter 105 of this title, if the Commission finds that the person is fit, willing, and able

(1) to be a broker for transportation to be authorized by the license; and

(2) to comply with this subtitle and regula. tions of the Commission.

(c)(1) The broker may provide the transportation itself only if the broker also has been issued a certificate or permit to provide the transportation under this subchapter. A broker may use only the transportation of a motor carrier holding a certificate or permit issued under this subchapter.

(2) This subsection does not apply to a motor carrier having a certificate or permit issued under this subchapter or to an employee or agent of the motor carrier to the extent the transportation is to be provided entirely by the motor carrier, with other motor carriers holding certificates or permits, or with rail, express, or water common carriers.

(d) A person must file an application with the Commission for a license to be a broker for motor carrier transportation. The Commission may approve the application or any part of it, or deny the application.

(e) Commission regulations shall provide for the protection shippers by motor vehicle, to be observed by brokers.

(f) The Commission may impose on brokers for motor carriers of passengers such requirements for bonds or insurance or both as the Commission determines are needed to protect passengers and carriers dealing with such brokers.

(Pub. L. 95-473, Oct. 17, 1978, 92 Stat. 1412; Pub. L. 96-296, § 17(a), July 1, 1980, 94 Stat. 810; Pub. L. 97-261, § 14(a)-(c), Sept. 20, 1982, 96 Stat. 1114.)

'So in original. Probably should be followed by "of".

The words "requirements, rules" are omitted as being included in regulations and for consistency. The words "reasonable rules and regulations" are omitted in view of section 10321(a) of the revised title giving the Interstate Commerce Commission general authority to carry out the subtitle.

In subsection (a), the last sentence of 49:311(b) is omitted as executed. The words "subject to section 10927(b) of this title" are inserted for clarity. The words "qualified applicant therefor" are omitted as unnecessary in view of the provisions of the section specifying the necessary qualifications of brokers.

In subsection (a)(1), the word "properly" is omitted as surplus. The words "to be authorized by the license" are substituted for "to perform the service proposed" for clarity in view of the authority of the Commission to approve only part of an application.

In subsection (b)(2), the word "motor" is inserted before "carrier" the first time it appears for clarity. The words "bona fide" are omitted as unnecessary.

AMENDMENTS

1982-Subsec. (a). Pub. L. 97-261, § 14(a), struck out "passengers or" after "for transportation of”.

Subsec. (e). Pub. L. 97-261, § 14(b), struck out "of travelers and" after "for the protection".

Subsec. (f). Pub. L. 97-261, § 14(c), added subsec. (f). 1980-Subsec. (a). Pub. L. 96-296, § 17(a)(1), substituted "transportation of passengers or household goods subject" for "transportation subject".

Subsec. (b). Pub. L. 96-296, § 17(a)(2), added subsec. (b). Former subsec. (b) redesignated (c).

Subsecs. (c) to (e). Pub. L. 96-296, § 17(a)(2), redesignated former subsecs. (b) to (d) as (c) to (e), respectively.

EFFECTIVE DATE OF 1982 AMENDMENT

Amendment by Pub. L. 97-261 effective on the 60th day after Sept. 20, 1982, see section 31(a) of Pub. L. 97-261, set out as a note under section 10101 of this title.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 10328, 10526, 10925, 10927, 11708 of this title.

§ 10925. Effective periods of certificates, permits, and licenses

(a) Each certificate, permit, and license issued under section 10922, 10923, or 10924 of this title is effective from the date specified in it and remains in effect except as otherwise provided in this section.

(b) On application of the holder of a certificate, permit, or license, the Interstate Commerce Commission may amend or revoke any part of the certificate, permit, or license. On complaint or on its own initiative and after notice and an opportunity for a proceeding, the Commission may suspend, amend, or revoke any part of a certificate, permit, or license

(1) if a motor carrier, broker, or freight forwarder, for willful failure to comply with this subtitle, a regulation or order of the Commission, or a condition of its certificate, permit, or license; and

(2) if a water carrier, for willful failure to comply with section 10701(a) or 11101(a) of this title, a regulation or order of the Commission, or a condition of its certificate or permit.

(c)(1) Except on application of the holder, the Commission may revoke a certificate or permit of a motor carrier or freight forwarder, or a license of a broker, only after the Commission has issued an order to the holder under section 11701 of this title requiring compliance with this subtitle, a regulation of the Commission, or a condition of the certificate, permit, or license of the holder, and the holder willfully does not comply with the order.

(2) Except on application of the holder, the Commission may suspend, amend, or revoke a certificate or permit of a water carrier only after the Commission has issued an order to the holder under section 11701 of this title requiring compliance with section 10701(a) or 11101(a) of this title, and the holder willfully does not comply with the order.

(3) The Commission may act under paragraph (1) or (2) of this subsection only after giving the holder of the certificate, permit, or license at least 30 days to comply with the order.

(d)(1) Without regard to subchapter II of chapter 103 of this title and subchapter II of chapter 5 of title 5, the Commission may suspend a certificate or permit of a motor carrier, a permit of a freight forwarder, or a license of a broker

(A) if a motor carrier or broker, for failure to comply with section 10701, 10702, 10761, 10762, 10924(e), or 10927(b) or (d) of this title, or an order or regulation of the Commission prescribed under those sections; and

(B) if a freight forwarder, for failure to comply with section 10762 or 10927(c) or (d) of this title, or an order or regulation of the Commission prescribed under those sections.

(2) Without regard to subchapter II of chapter 103 of this title and subchapter II of chapter 5 of title 5, upon petition by the Secretary of Transportation, the Commission may suspend a certificate or permit of a motor carrier of passengers if the Commission finds that such carrier has been conducting unsafe operations which are an imminent hazard to public health or property.

(3) The Commission may suspend the certificate, permit, or license only after it gives notice of the suspension to the holder at least 15 days before the date the suspension is to begin. The suspension remains in effect until the holder complies with those applicable sections or, in the case of a suspension under paragraph (2) of this subsection, until the Commission revokes such suspension.

(e)(1) On application of a motor contract carrier who holds a permit issued under section 10923 of this title, or on complaint of a competing motor common carrier who holds a certifi

cate under section 10922 of this title, or on its own initiative, if the Commission, after notice and an opportunity for a proceeding, determines that the operations under the permit or any part thereof

(A) do not conform with the operations of a motor contract carrier; and

(B) are those of a motor common carrier; the Commission may amend or revoke such permit or part thereof to conform the operations under such permit or part thereof to the operations of a motor contract carrier.

(2) The Commission may issue in place of any permit or part thereof revoked under this subsection a certificate under section 10922 of this title which authorizes the holder of such certificate to provide as a motor common carrier the same type of transportation between the same points or within the same territory as authorized in the permit or part thereof.

(Pub. L. 95-473, Oct. 17, 1978, 92 Stat. 1412; Pub. L. 96-296, §§ 10(e), 17(b), July 1, 1980, 94 Stat. 801, 811; Pub. L. 97-261, §§ 13(b), 22, Sept. 20, 1982, 96 Stat. 1114, 1123; Pub. L. 97-449, § 5(g)(6), Jan. 12, 1983, 96 Stat. 2443.)

HISTORICAL AND REVISION NOTES

Source (Statutes at Large)

Feb. 4, 1887, ch. 104, 24 Stat. 379, § 212(a); added Aug. 9, 1935, ch. 498, § 1, 49 Stat. 555; restated June 29, 1938, ch. 811, § 11, 52 Stat. 1238; Sept. 18, 1940, ch. 722, 21(c), 54 Stat. 924; Oct. 15, 1966, Pub. L. 89-670, 8(d), 80 Stat. 943.

Feb. 4, 1887, ch. 104, 24 Stat.

379, 312a; added Sept. 6, 1965, Pub. L. 89-170, § 8, 79 Stat. 652.

Feb. 4, 1887, ch. 104, 24 Stat. 379, 8410(f); added May 16, 1942, ch. 318, § 1, 56 Stat. 292.

In subsection (a), the words "except as otherwise provided in this section" are substituted for "until suspended or terminated as herein provided" in 49:312(a) and 49:1010(f) and for "until suspended or revoked as provided in this section" in 49:912a, for clarity.

In subsections (b) and (c), the word "amend" is substituted for "changed" in 49:312a(a) and 49:912a and for "modified" in 49:1010(f) for consistency.

In subsection (b), the words "in the discretion of the Commission" are omitted as surplus. The words "after notice and an opportunity for a proceeding" are substituted for "after notice and hearing” in 49:312(a) and 49:1010(f), and for "after reasonable notice and opportunity for hearing" in 49:912a, for clarity and consist

ency.

In subsections (b)(1) and (c)(1), the words "term", "lawful", "rule", and "or limitation" in 49:312(a) and 49:1010(f) are omitted for consistency and to eliminate surplus language.

In subsections (b)(2) and (c)(2), the words "section 10701(a) or 11101(a) of this title" are substituted for "section 905(a) of this title with respect to performing, providing, and furnishing transportation upon reasonable request therefor" in each place in 49:1010(f) as the result of the codification of 49:905(a) to those sections and to eliminate surplus language.

In subsection (d), the words "Without regard to subchapter II of chapter 103 of this title and subchapter II of chapter 5 of title 5" are substituted for "without hearing or other proceedings" as being more precise. The words "lawful" and "rule or" are omitted for consistency and to eliminate surplus language.

AMENDMENTS

1983-Subsec. (d)(1). Pub. L. 97-449 inserted "or permit" after "certificate".

1982-Subsec. (d)(2). Pub. L. 97-261, § 22(a), added par. (2) and redesignated former par. (2) as (3).

Subsec. (d)(3). Pub. L. 97-261, § 22, redesignated former par. (2) as (3), and in par. (3) as so redesignated, added provision that a suspension under par. (2) of subsec. (d) remains in effect until the Commission revokes it.

Subsec. (e). Pub. L. 97-261, § 13(b), struck out "of property" following "carrier" wherever appearing and substituted "section 10922" for "section 10922(b)" wherever appearing, and in par. (2) struck out “transportation" after "provide" and substituted "the same type of transportation" for "of the same property".

1980-Subsec. (d)(1)(A). Pub. L. 96-296, § 17(b), substituted "section 10924(e) of this title" for "section 10924(d) of this title".

Subsec. (e). Pub. L. 96-296, § 10(e), added subsec. (e).

EFFECTIVE DATE OF 1982 AMENDMENT

Amendment by Pub. L. 97-261 effective on the 60th day after Sept. 20, 1982, see section 31(a) of Pub. L. 97-261, set out as a note under section 10101 of this title.

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 10922, 10931, 10932, 10935 of this title.

§ 10926. Transfers of certificates and permits

Except as provided in this subtitle, a certificate or permit issued under section 10922 or 10923 of this title

(1) if a certificate or permit of a motor car. rier, may be transferred under regulations of the Interstate Commerce Commission;

(2) if a certificate or permit of a water carri er, may be transferred under regulations prescribed by the Commission to protect the public interest and to ensure compliance with this subtitle; and

(3) if a permit of a freight forwarder, may be transferred under regulations prescribed by the Commission to ensure compliance with this subtitle, if the Commission finds that the person to whom the permit is to be transferred satisfies section 10923(a) and (b) of this title. However, if the proposed transfer would affect the interests of employees of a freight forwarder, the Commission shall require a fair and equitable arrangement to protect the interests of those employees before the transfer is effective.

(Pub. L. 95-473, Oct. 17, 1978, 92 Stat. 1413.)

Feb. 4, 1887, ch. 104, 24 Stat. 379, 212(b); added Aug. 9, 1935, ch. 498, 1, 49 Stat. 555; Sept. 18, 1940, ch. 722, 21(d), 54 Stat. 924. Feb. 4, 1887, ch. 104, 24 Stat. 379, 312; added Sept. 18, 1940, ch. 722, § 201, 54 Stat. 944.

Feb. 4, 1887, ch. 104, 24 Stat. 379, 410(g); added May 16, 1942, ch. 318, § 1, 56 Stat. 292.

In the introductory matter before clause (1), the words "in this subtitle" are substituted for “in section 5 of this title" for consistency and as being more precise in view of other sections of the subtitle limiting the authority to transfer.

In clauses (1) and (3), the words "rules and" are omitted as surplus.

In clause (3), the words "or any right to engage in service subject to this chapter pending disposition of any application made to the Commission for a permit" are omitted as executed in view of 49:1010(a)(1) that provided for freight forwarder operations for a limited period of time after enactment of 49:1010 on May 16, 1942, and that period has expired. The words "and any right to a permit when issued" are omitted as unnecessary.

810927. Security of motor carriers, brokers, and freight forwarders

(a)(1) The Interstate Commerce Commission may issue a certificate or permit to a motor carrier under section 10922 or 10923 of this title only if the carrier files with the Commission a bond, insurance policy, or other type of security approved by the Commission, in an amount not less than such amount as the Secretary of Transportation prescribes pursuant to, or as is required by, the provisions of section 30 the 5 Motor Carrier Act of 1980, in the case of a motor carrier of property, or section 18 of the Bus Regulatory Reform Act of 1982, in the case of a motor carrier of passengers. The security must be sufficient to pay, not more than the amount of the security, for each final judgment against the carrier for bodily injury to, or death of, an individual resulting from the negligent operation, maintenance, or use of motor vehicles under the certificate or permit, or for loss or damage to property (except property referred to in paragraph (3) of this subsection), or both. A certificate or permit remains in effect only as long as the carrier satisfies the requirements of this paragraph.

(2) A motor carrier operating in the United States when providing transportation between places in a foreign country or between a place in one foreign country and a place in another foreign country shall comply with the requirements of sections 10329 and 10330 that apply to a motor carrier providing transportation subject to the jurisdiction of the Commission under subchapter II of chapter 105 of this title. To protect the public, the Commission may require any such motor carrier to file the type of security that a motor carrier is required to file under paragraph (1) of this subsection.

'So in original. Probably should be preceded by "of".

(3) The Commission may require a motor common carrier providing transportation under a certificate to file with the Commission a type of security sufficient to pay a shipper or consignee for damage to property of the shipper or consignee placed in the possession of the motor common carrier as the result of transportation provided under this subtitle. A carrier required by law to pay a shipper or consignee for loss, damage, or default for which a connecting motor common carrier is responsible is subrogated, to the extent of the amount paid, to the rights of the shipper or consignee under any such security.

(b) The Commission may issue a broker's license to a person under section 10924 of this title only if the person files with the Commission a bond, insurance policy, or other type of security approved by the Commission to ensure that the transportation for which a broker arranges is provided. The license remains in effect only as long as the broker complies with this subsection.

(c)(1) The Commission may require a freight forwarder providing service under a permit issued under section 10923 of this title to file with the Commission a bond, insurance policy, or other type of security approved by the Commission. The security must be sufficient to pay, not more than the amount of the security, for each final judgment against the freight forwarder for bodily injury to, or death of, an individual, or loss of, or damage to, property (other than property referred to in paragraph (2) of this subsection), resulting from the negligent operation, maintenance, or use of motor vehicles by or under the direction and control of the freight forwarder when providing transfer, collection, or delivery service under this subtitle.

(2) The Commission may require a freight forwarder providing service under a permit to file with the Commission a bond, insurance policy, or other type of security approved by the Commission sufficient to pay, not more than the amount of the security, for loss of, or damage to, property for which the freight forwarder provides service under this subtitle.

(d) The Commission may determine the type and amount of security filed with it under this section.

(Pub. L. 95-473, Oct. 17, 1978, 92 Stat. 1413; Pub. L. 96-296, § 29, July 1, 1980, 94 Stat. 820; Pub. L. 97-261, § 18(h), Sept. 20, 1982, 96 Stat. 1121.)

HISTORICAL AND REVISION NOTES

In subsection (a), the word "reasonable" is omitted as unnecessary. The words "rules and regulations as the Commission shall prescribe", "rules and regulations as it shall prescribe" and "regulations" are omitted in view of section 10321(a) of the revised title giving the Interstate Commerce Commission general authority to carry out the subtitle.

In subsection (a)(1), the word "each" is inserted for clarity. The phrase "(except property referred to in paragraph (3) of this subsection)" is inserted for clarity and consistency.

In subsection (a)(2), the words "and these provisions of section 304 of this title which relate to qualifications and maximum hours of service of employees and safety of operation and equipment" in the last sentence of 49:303(a)(11) are omitted because, under section 6(e)(6)(C) of Public Law 89-670, those provisions were transferred to the Secretary of Transportation. The balance of that sentence is omitted as unnecessary in view of this subsection since it specifically gives authority to impose requirements under the circumstances referred to in the last sentence.

In subsection (a)(3), the words "motor common carrier providing transportation under a certificate" are substituted for "such common carrier" for clarity. The words "in its discretion" and "legally" are omitted as surplus. The word "service" is omitted for consistency and because the jurisdictional grant to the Commission under subchapter II of chapter 105 of the revised title is jurisdiction over transportation and service is included in the definition of "transportation".

In subsection (b), the words "in such form and amount" are omitted as unnecessary in view of section 10321(a) of the revised title giving the Commission general authority to carry out the subtitle.

In subsection (c), the words "to prescribe reasonable rules and regulations" are omitted in view of section 10321(a) of the revised title giving the Commission general authority to carry out the subtitle. The word "providing" is substituted for "performance" for consistency.

REFERENCES IN TEXT

Section 30 of the Motor Carrier Act of 1980, referred to in subsec. (a)(1), is section 30 of Pub. L. 96-296, July 1, 1980, 94 Stat. 820, as amended, which is set out as a note below.

Section 18 of the Bus Regulatory Reform Act of 1982, referred to in subsec. (a)(1), is section 18 of Pub. L. 97-261, Sept. 20, 1982, 96 Stat. 1120, of which subsecs. (a) to (g) are set out as a note below and subsec. (h) amended subsec. (a)(1) of this section.

AMENDMENTS

1982-Subsec. (a)(1). Pub. L. 97-261 added ", in the case of a motor carrier of property, or section 18 of the Bus Regulatory Reform Act of 1982, in the case of a motor carrier of passengers" after "Motor Carrier Act of 1980".

Page 934

1980-Subsec. (a)(1). Pub. L. 96-296 substituted "approved by the Commission, in an amount not less than such amount as the Secretary of Transportation prescribes pursuant to, or as is required by, the provisions of section 30 the Motor Carrier Act of 1980" for "approved by the Commission".

EFFECTIVE DATE OF 1982 AMENDMENT

Amendment by Pub. L. 97-261 effective on the 60th day after Sept. 20, 1982, see section 31(a) of Pub. L. 97-261, set out as a note under section 10101 of this title.

FINANCIAL RESPONSIBILITY

Section 18(a)-(g) of Pub. L. 97-261 provided that: "(a) The Secretary of Transportation shall establish regulations to require minimal levels of financial responsibility sufficient to satisfy liability amounts to be determined by the Secretary covering public liability and property damage for the transportation of passengers for hire by motor vehicle in the United States from a place in a State to a place in another State, from a place in a State to another place in such State through a place outside of such State, and between a place in a State and a place outside of the United States.

"(b) The minimal level of financial responsibility established by the Secretary under subsection (a) of this section

"(1) for any vehicle with a seating capacity of 16 passengers or more shall not be less than $5,000,000, except that the Secretary, by regulation, may reduce such amount (but not to an amount less than $2,500,000) for any class of such vehicles or operations for the 2-year period beginning on the effective date of the regulations issued under such subsection or any part of such period if the Secretary finds that such reduction will not adversely affect public safety and will prevent a serious disruption in transportation service; and

"(2) for any vehicle with a seating capacity of 15 passengers or less shall not be less than $1,500,000, except that the Secretary, by regulation, may reduce such amount (but not to an amount less than $750,000) for any class of such vehicles or operations for the 2-year period beginning on the effective date of the regulations issued under such subsection or any part of such period if the Secretary finds that such reduction will not adversely affect public safety and will prevent a serious disruption in transportation service.

"(c)(1) If, at the end of the one-year period beginning on the effective date of this section [the 60th day after Sept. 20, 1982], the Secretary has not established regulations to require minimal levels of financial responsibility as required by subsection (a) of this sec tion for any class of transportation of passengers, the levels of financial responsibility for such class of transportation shall be the $5,000,000 amount set forth in subsection (b)(1) of this section in the case of motor vehicles with a seating capacity of 16 passengers or more and the $1,500,000 amount set forth in subsection (b)(2) of this section in the case of motor vehicles having a seating capacity of 15 passengers or less, until such time as the Secretary, by regulation, changes such amount under this section.

"(2) Notwithstanding the provisions of subsection (b) of this section, the Secretary may only make reductions in the $5,000,000 and $1,500,000 amounts set forth in such subsection for the two-year period begin. ning on the 366th day following the effective date of this section or any part of such period.

"(d) Financial responsibility may be established under this section by any one or combination of the following methods acceptable to the Secretary: evidence of insurance, including high self-retention, guarantee, or surety bond. Any bond filed shall be issued by a bonding company authorized to do business in