Top court says U.S. law does not shield freight brokers from negligent-hiring claims

The Supreme Court of the United States has ruled that federal law does not bar certain state-level negligence claims against freight brokers, a decision with potential implications for the North American logistics sector.

In a unanimous decision in Montgomery v. Caribe Transport II, LLC, the court found that the Federal Aviation Administration Authorization Act does not pre-empt claims that a broker negligently hired an unsafe motor carrier.

The case stems from a crash in Illinois that left a truck driver with severe injuries after a collision involving a carrier selected by broker C.H. Robinson Worldwide, Inc.. Lower courts had sided with the company, finding the federal law blocked the claim.

But the Supreme Court reversed that outcome, holding that such claims fall within the law’s “safety exception,” which preserves states’ authority to regulate motor vehicle safety.

“A claim that one company negligently hired another to transport goods is not pre-empted,” the court said, concluding that states retain authority over safety matters involving motor vehicles.

Justice Amy Coney Barrett, writing for the court, said requiring brokers to exercise reasonable care in selecting carriers “concerns” motor vehicles and therefore fits within the exception.

The ruling sends the case back to lower courts for further proceedings.

In a concurring opinion, Justice Brett Kavanaugh noted the decision was a close call but emphasized it should not be seen as opening the floodgates to lawsuits against brokers.

“Importantly, the Court’s decision today should not be read to mean that brokers will routinely be subject to state tort liability in the wake of truck accidents,” he wrote.

In a statement, C.H. Robinson said it was disappointed with the outcome but would comply with the ruling.

“Our hearts continue to go out to the victims of truck accidents,” said Dorothy Capers, chief legal officer at C.H. Robinson. “Safety is foundational to who we are—our employees and their families travel these same roads, and our business depends on safe freight delivery. While we are disappointed in the Court’s decision, we will continue to operate responsibly, support stronger federal enforcement and work constructively with regulators, carriers and customers to strengthen the national safety system and support safe, reliable transportation across the country. As Justices Kavanaugh and Alito stated in the concurrence, ‘Importantly, the Court’s decision today should not be read to mean that brokers will routinely be subject to state tort liability in the wake of truck accidents.’”

The company said it will continue to work only with carriers licensed by the Federal Motor Carrier Safety Administration and called for stronger federal oversight and clearer regulatory standards.

It also voiced support for proposed U.S. legislation known as Dalilah’s Law, aimed at tightening commercial driver licensing rules and improving safety enforcement.

C.H. Robinson said it would remain engaged with policymakers and industry partners to strengthen safety practices while maintaining reliable supply chain operations.