The Broker Shipper Agreement Packet is essential for establishing clear terms and expectations in freight transportation arrangements within the United States. This document is typically used when a shipper needs to engage a licensed freight broker to arrange for the transportation of goods through qualified carriers. The agreement includes critical elements such as service specifications, payment terms, insurance requirements, and liability provisions, while ensuring compliance with FMCSA regulations. It serves as a comprehensive framework for the ongoing relationship between parties and helps prevent disputes by clearly defining roles and responsibilities.
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1. Parties: Identification of the broker and shipper with full legal names and addresses
2. Background: Context of the agreement and relationship between parties
3. Definitions: Key terms used throughout the agreement including broker services, transportation services, and carrier
4. Services: Detailed description of broker services, obligations, and scope of work
5. Broker Responsibilities: Specific duties of the broker including carrier selection, rate negotiation, and documentation
6. Shipper Responsibilities: Obligations of the shipper including accurate shipment information and payment terms
7. Payment Terms: Rates, payment schedules, invoicing procedures, and credit terms
8. Insurance Requirements: Mandatory insurance coverage, minimum limits, and certificate requirements
9. Liability and Indemnification: Risk allocation, limitations of liability, and indemnification provisions
10. Term and Termination: Duration of agreement, renewal terms, and termination conditions
11. Governing Law: Applicable law, jurisdiction, and dispute resolution procedures
12. Miscellaneous: Standard legal provisions including assignment, amendments, and severability
1. Hazardous Materials: Special provisions and requirements for transportation of hazardous materials
2. Temperature Controlled Services: Specific requirements and procedures for temperature-sensitive shipments
3. International Shipping: Additional terms and requirements for cross-border transportation
4. Force Majeure: Provisions for unforeseen circumstances and events beyond parties' control
5. Confidentiality: Protection of confidential information and trade secrets
1. Schedule A - Rate Schedule: Detailed pricing structure, rates, and surcharges
2. Schedule B - Service Level Agreement: Performance metrics, KPIs, and service standards
3. Appendix 1 - Insurance Certificates: Required insurance documentation and certificates
4. Appendix 2 - Operating Procedures: Standard operating procedures and protocols
5. Appendix 3 - Claims Procedures: Process and procedures for handling loss and damage claims
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