DoubleBrokering.com

What is double brokering?

Double brokering happens when a carrier or broker accepts a load from a shipper or broker and then, without permission, re-brokers it to another carrier. The original party usually doesn't know who is actually hauling the freight.

In its worst form, fraudsters pose as legitimate carriers, often using stolen identities and authority numbers. They take a load, hand it to an unsuspecting real carrier, collect payment from the shipper or broker, and then disappear without paying the truck that moved the freight.

Why it matters

• Unpaid carriers. The trucker who actually hauled the load may never get paid.
• Cargo and liability risk. Freight ends up with an unvetted carrier that may lack proper insurance or safety records.
• Double payment. Shippers and brokers can end up paying twice when the unpaid carrier comes looking for its money.
• Theft. Double brokering is often tied to cargo theft and carrier identity theft.

Common warning signs

• A newly registered carrier, or an authority number with a recent change of contact details.
• Email addresses or phone numbers that don't match the carrier's official records.
• Rates that are unusually low, or pressure to book quickly.
• Requests to change payment details or to use quick-pay to an unfamiliar account.
• A different company name on the truck, the bill of lading or the proof of delivery.

How to protect yourself

• Verify carrier identity and authority against official registries before every load, not only at onboarding.
• Confirm contact details through independent sources and call back on a known number.
• Use carrier-vetting and fraud-monitoring tools, and include no re-brokering terms in contracts.
• Track loads in real time and check that the driver and truck match the booked carrier.
• Verify any payment change by phone before paying.

This page is general information, not legal advice.