Regulations and Legal Liabilities Flashcards

Which federal statute governs liability for cargo loss and damage in domestic rail transportation?

Answer: The Carmack Amendment

The Carmack Amendment applies to both motor carrier and rail carrier liability for loss and damage to goods shipped in interstate commerce.

Under what circumstances may a motor carrier lawfully limit its liability for cargo loss below the Carmack Amendment's full actual loss standard?

Answer: If the carrier offers the shipper a choice of rates tied to different liability levels and the shipper agrees in writing

Under the Carmack Amendment, carriers may limit liability if they offer a rate choice based on liability levels, give the shipper a fair opportunity to choose, and the shipper agrees in writing.

The Interstate Commerce Commission Termination Act (ICCTA) transferred freight railroad economic regulation to which agency?

Answer: Surface Transportation Board (STB)

When the ICC was abolished in 1995, economic regulation of railroads and certain other surface transportation was transferred to the newly created Surface Transportation Board.

A motor carrier's 'MCS-90 endorsement' on a liability policy is specifically designed to:

Answer: Ensure the public is compensated when the carrier's policy would otherwise not cover a loss

The MCS-90 endorsement is a federally mandated surety mechanism ensuring the public can recover bodily injury and property damage from the carrier even when the underlying policy has exclusions or lapses.

Under FMCSA rules, a motor carrier must retain records of driver qualification files for how long after a driver leaves employment?

Answer: 3 years

FMCSA regulations require carriers to retain driver qualification file records for three years after the driver's employment ends.

Which doctrine holds that a motor carrier may be liable for an accident that occurs after a driver's work shift ends if the carrier exercised control over the driver's off-duty activities?

Answer: Continuing employment doctrine

The continuing employment doctrine can extend employer liability beyond formal work hours when the employer controls or directs off-duty driver activities that contribute to the incident.

Under 49 CFR Part 171, which entity is primarily responsible for classifying hazardous materials before they are offered for transportation?

Answer: The offeror (shipper) who tenders the material for transport

The offeror (shipper) bears primary responsibility for correctly identifying, classifying, packaging, marking, and labeling hazardous materials before offering them to a carrier.