CTB Transportation Law & Regulatory Compliance 3

Question 1

Under the Interstate Commerce Commission Termination Act (ICCTA) of 1995, economic regulation of motor carriers was largely transferred to which body?

Accepted Answer

Surface Transportation Board (STB)

Answer

The ICCTA transferred remaining economic regulation of surface transportation from the ICC to the newly created Surface Transportation Board.

Question 2

What does 'double brokering' mean in freight brokerage, and what is its primary legal concern?

Accepted Answer

A broker re-brokering a load to another broker without shipper consent, creating liability gaps

Answer

Double brokering occurs when a broker illegally re-brokers a load to another broker without shipper knowledge, creating confusion over liability and often associated with fraud.

Question 3

The Staggers Rail Act of 1980 is relevant to multimodal freight brokers primarily because it:

Accepted Answer

Deregulated rail rates, allowing negotiated contracts that brokers can leverage in intermodal shipments

Answer

The Staggers Act deregulated railroad pricing, enabling confidential contracts and competitive rates that benefit intermodal brokerage arrangements.

Question 4

A broker's written transportation contract with a shipper contains a clause limiting carrier liability below Carmack Amendment defaults. For this clause to be enforceable, what is required?

Accepted Answer

Signed agreement by both shipper and carrier with a reduced rate offered in exchange

Answer

Carmack Amendment liability limitations require a signed written agreement between shipper and carrier, with a lower freight rate offered as consideration for the reduced liability.

Question 5

Under 49 CFR Part 376 (Lease and Interchange of Vehicles), which scenario is directly regulated?

Accepted Answer

A motor carrier leasing equipment from an owner-operator

Answer

49 CFR Part 376 governs the lease of commercial motor vehicles between motor carriers and independent owner-operators, establishing required lease terms.

(CTB) Certified Transportation Broker Practice Test

(CTB) Certified Transportation Broker Practice Test

CTB Transportation Law & Regulatory Compliance 3