Double-brokering

“Double-brokering” – a practice in which a broker arranges for the transportation of goods, and then subsequently brokers the same shipment to another broker, without the knowledge or consent of the original shipper or the ultimate carrier. This practice can create a number of problems and complications, such as confusion over the terms and conditions of the shipment, delays in delivery, and disputes over payment.

Double-brokering is generally considered to be unethical and unscrupulous, as it involves misrepresenting the terms and conditions of the shipment to one or more parties, and can lead to financial losses and damage to reputation. It is also illegal in some jurisdictions, and can result in fines and other penalties for the brokers involved.

Despite these drawbacks, some brokers may be tempted to engage in double-brokering as a way to earn additional commissions or to offload the risk of the shipment. This can be especially tempting in a competitive and fast-paced market, where brokers may feel pressure to secure loads and meet delivery deadlines.

However, double-brokering is generally not a sustainable or viable business practice, as it can lead to a lack of trust and credibility with clients, and can ultimately damage the reputation of the broker and the trucking industry as a whole. It is therefore important for brokers to avoid this practice, and to adhere to ethical and legal standards in their business dealings.

Don’t do this.

COMMENTS

Share Your Thoughts With Us

0 Comments

Submit a Comment

Your email address will not be published. Required fields are marked *