Terms and Conditions of Service

Effective Date: [Insert Date]
SMAT Logistics LLC (“Freighter Broker”) operates as a licensed and bonded freight broker under USDOT and FMCSA authority (MC# 1610457). By using our services, shippers (“Clients”) and carriers (“Service Providers”) agree to these terms and conditions, which govern all transportation arrangements facilitated by SMAT Logistics.

1. Scope of Services

1.1 Freight Brokerage Services
SMAT Logistics arranges transportation services by contracting qualified and FMCSA-authorized motor carriers. As a broker, SMAT Logistics does not own or operate motor vehicles, does not transport freight, and assumes no liability as a motor carrier under 49 USC § 13102(14).

1.2 Dispatching Services
SMAT Logistics provides dispatch services for independent motor carriers, handling load negotiations, route planning, and administrative support.

1.3 Compliance with Laws
SMAT Logistics complies with USDOT, FMCSA, and state regulations. All carriers and shippers must adhere to applicable federal, state, and local laws during the execution of transportation services.

2. Carrier Responsibilities

2.1 FMCSA Authorization and Compliance
Carriers must maintain active FMCSA operating authority, USDOT registration, and compliance with safety regulations under 49 CFR § 385.5.

2.2 Insurance Requirements

  • Carriers must provide proof of cargo liability insurance ($100,000 minimum) and general liability insurance ($1,000,000 minimum).
  • Carriers are solely responsible for loss, damage, or delay claims related to transported goods.

2.3 Documentation Requirements
Carriers must submit the following before accepting loads:

  • Proof of insurance.
  • FMCSA operating authority.
  • Completed W-9 form.
  • Signed contract with SMAT Logistics.
  • Signed Bill of Lading (BOL) and Proof of Delivery (POD) after shipment completion.

2.4 Indemnification
The carrier agrees to indemnify and hold SMAT Logistics harmless from claims, losses, or liabilities arising from cargo damage, delays, personal injury, or non-compliance with federal or state regulations.

3. Shipper Responsibilities

3.1 Accurate Shipment Information
The shipper is responsible for providing accurate details regarding shipment weight, dimensions, handling requirements, and hazardous materials (if applicable). Failure to disclose accurate information may result in additional fees or penalties.

3.2 Packaging Standards
All shipments must be packaged and labeled in accordance with applicable laws and industry standards. SMAT Logistics is not liable for damages resulting from improper packaging or labeling.

3.3 Claims for Loss or Damage
Claims for loss or damage must be filed directly with the carrier per 49 CFR § 370.3. SMAT Logistics can assist in facilitating claims but assumes no liability.

4. Payment Terms

4.1 Standard Payment Terms
Invoices are due within 30 days of issuance unless otherwise agreed upon in writing. Payments not received within this period will incur a late fee of 1.5% per month or the maximum rate permitted by law.

4.2 Factoring Requirements
Carriers utilizing factoring companies must notify SMAT Logistics in writing and provide:

  • A copy of the factoring agreement.
  • Payment instructions and account details.
    SMAT Logistics will remit payments directly to the factoring company as per instructions.

4.3 Non-Factoring Carriers
Carriers who do not utilize factoring are responsible for submitting accurate and timely documentation (BOL, POD, and invoices) to ensure prompt payment within the standard 30-day term.

4.4 Disputed Payments
Payment disputes must be submitted in writing within 10 days of invoice issuance. SMAT Logistics will resolve disputes within 15 business days.

5. Liability and Indemnification

5.1 Broker Liability
As a broker, SMAT Logistics does not assume liability for:

  • Loss or damage to cargo (carrier responsibility).
  • Delays caused by carriers or unforeseen events.
  • Non-performance by carriers.

5.2 Shipper and Carrier Indemnification

  • The shipper agrees to indemnify and hold SMAT Logistics harmless from claims arising from inaccurate shipment information or failure to comply with legal requirements.
  • The carrier agrees to indemnify and hold SMAT Logistics harmless from claims, losses, or liabilities arising from its negligence, non-compliance, or failure to fulfill contractual obligations.

6. Cargo Claims

6.1 Carrier Responsibility
Carriers are responsible for filing, handling, and resolving all cargo loss and damage claims in compliance with 49 CFR Part 370.

6.2 Shipper Responsibility
Shippers must file cargo claims directly with the carrier within the required timeframe. SMAT Logistics will assist in claim facilitation but assumes no liability for claim resolution.

7. Force Majeure

SMAT Logistics is not liable for delays or non-performance caused by acts of God, natural disasters, strikes, governmental actions, or other events beyond reasonable control.

8. Dispute Resolution

8.1 Arbitration
All disputes arising from these terms shall be resolved through binding arbitration under the rules of the American Arbitration Association (AAA).

8.2 Governing Law
This agreement is governed by the laws of the United States and the state of [Insert State]. Legal actions must be filed within this jurisdiction.

9. Termination

9.1 Termination by Broker
SMAT Logistics may terminate services immediately if the carrier or shipper violates these terms or engages in fraudulent or unsafe practices.

9.2 Termination by Parties
Either party may terminate the agreement with 30 days written notice, provided all outstanding obligations are fulfilled.

10. Confidentiality

All parties agree to maintain the confidentiality of rate agreements, proprietary information, and business operations. Direct solicitation of SMAT Logistics’ customers by carriers or shippers is prohibited for 12 months after the last transaction.

Acknowledgment and Agreement

By engaging SMAT Logistics, the shipper and carrier acknowledge and agree to these terms and conditions. For inquiries, please contact SMAT Logistics at:
Phone: +1(844) 960-4550
Email: info@smatlogistics.com