What is double brokering?

A carrier accepting a load from a broker and secretly passing it to another carrier to haul, usually for less, keeping the difference — without the shipper's or broker's knowledge.

Who loses when a load is double brokered?

Usually the carrier that hauled it, which may never be paid; the shipper, whose goods travel with a carrier it never vetted; and the original broker, which may end up paying twice.

Term

Double brokering

Double brokering is a carrier taking a load from a broker and handing it, without the shipper's or broker's knowledge, to another carrier that actually hauls it. Done without broker authority it breaks US law: the civil penalty is up to USD 13,676 per violation after inflation, and the offender is liable for every valid claim.

Also called double brokerage, unauthorized brokerage, freight double brokeringApplies in USUpdated 13 October 2026

How the scheme works

FMCSA describes the usual pattern: a motor carrier accepts a load from a broker, then transfers it without the shipper's or the original broker's knowledge to another carrier, which delivers it. The original broker pays the carrier it contracted with and believes the transaction is complete; the carrier that did the work often goes unpaid.

Worked example: a case the US DOT Inspector General brought

Brokers agreed a price with the defendant's company to move their freight.
The defendant then contracted legitimate carriers to haul it for lower prices.
He pocketed the difference — the scheme the Inspector General charged as a conspiracy on 29 January 2025.

Nobody in the chain chose the carrier that actually hauled the freight: the shipper's goods travel with a company it never vetted, and that company is paid — if at all — by a middleman, not by the broker that booked the load.

The law

Brokering without authority carries a civil penalty of up to USD 10,000 per violation in the statute (49 U.S.C. § 14916), USD 13,676 after inflation adjustment (49 CFR part 386, Appendix B).
The offender is liable to the injured party for all valid claims, without regard to amount — jointly and severally, reaching officers, directors and principals.
A licensed broker must keep USD 75,000 of financial security (49 U.S.C. § 13906).

What FMCSA is doing about it

FMCSA began rolling out Motus, its new registration system, on 8 December 2025, citing a significant increase in presumed fraud — including identity theft, hijacked FMCSA carrier accounts and the selling of motor carrier numbers.

The mistake people make

Treating the load as done once the contracted carrier is paid. That is exactly when, in FMCSA's description, the original broker believes the transaction complete while the carrier that hauled goes unpaid. Check at pickup that the truck belongs to the carrier on the rate confirmation.

FAQ