- Operating authority and the MC number
- Federal permission from FMCSA to transport regulated property for hire in interstate commerce, or to broker it. The MC number identifies the authority; a company can hold motor carrier, broker and freight forwarder authority separately, and holding one does not permit the activities of another.
- USDOT number
- The identifier FMCSA assigns to a company operating commercial vehicles in interstate commerce, used to track safety performance, inspections, crashes and audits. Distinct from the MC number, and increasingly the primary identifier as FMCSA moves registration onto its new Motus system.
- BOC-3 (process agent designation)
- The filing naming a process agent in each state where a carrier, broker or forwarder operates, so legal papers can be served. It is a small form that blocks activation of operating authority entirely if it is missing.
- FMCSA safety rating
- Satisfactory, Conditional or Unsatisfactory, assigned after a compliance review. Most active carriers are simply unrated because they have never been reviewed. A Conditional rating is not illegal to use, but many shippers and brokers refuse Conditional carriers outright — C.H. Robinson stopped using them in 2026 — so the rating functions as a commercial gate more than a legal one.
- CSA and the BASIC scores
- Compliance, Safety, Accountability — FMCSA's system scoring carriers by percentile across behaviour categories including Unsafe Driving, Hours-of-Service Compliance, Vehicle Maintenance, Driver Fitness, Controlled Substances and Hazardous Materials. Percentiles compare a carrier to peers of similar inspection volume, so a small carrier's score swings hard on one bad inspection. The Crash Indicator and HazMat BASICs are no longer publicly displayed.
- Hours of service and the ELD mandate
- The federal limits on driving and duty time — broadly an 11-hour driving limit within a 14-hour window after 10 consecutive hours off, plus 60/70-hour weekly limits and a 30-minute break — recorded on an electronic logging device rather than paper since the ELD rule took full effect. HOS is the single biggest constraint on transit time and the reason detention at a dock is a capacity problem, not just an annoyance.
- Drug and Alcohol Clearinghouse
- FMCSA's national database of CDL driver drug and alcohol program violations. Employers must query it before hiring and annually thereafter, and a driver in prohibited status may not operate a commercial vehicle until completing return-to-duty steps.
- CDL and the driver qualification file
- The commercial driver's licence with its endorsements, and the file every motor carrier must keep on each driver — application, MVR, road test, medical examiner's certificate, previous-employer safety history and annual review. An incomplete DQF is one of the most common audit findings and a standard target in litigation discovery.
- Broker bond (BMC-84) and the $75,000 requirement
- A property broker or freight forwarder must maintain $75,000 in financial security — a BMC-84 surety bond or a BMC-85 trust — so unpaid carriers have recourse. Since compliance with FMCSA's financial responsibility rule began in January 2026, authority can be suspended when the security is drawn below the threshold and not replenished within seven days.
- Broker vs carrier vs freight forwarder
- A motor carrier owns or leases equipment and takes physical custody. A broker arranges transportation between shipper and carrier, never takes custody, and does not assume carrier cargo liability. A freight forwarder does take custody and assemble or consolidate shipments, and is liable as a carrier. The distinction determines liability, insurance, bonding and who a claim is filed against, and it is the most commonly misunderstood idea in the industry.
- Double brokering and freight fraud
- Re-brokering a load to another carrier without the shipper's or broker's authorization — sometimes ordinary capacity juggling, increasingly the front end of outright theft, where a fraudster using a stolen or purchased MC number takes the load and the freight or the payment disappears. Highway's Q2 2026 index recorded impersonation attempts up 282% quarter over quarter, and ownership-change 'sold MC' fraud at 25.6% of reported thefts.
- Carmack Amendment and cargo claims
- The federal statute governing interstate motor and rail cargo liability. It makes the carrier liable for actual loss or damage regardless of fault, subject to defences such as act of God, act of the shipper, inherent vice, public authority and act of the public enemy — and subject to lawful released-value limits. It preempts most state-law claims, and it sets the claim filing and suit windows, commonly nine months to file and two years plus a day to sue.
- Contingent cargo insurance
- Coverage a broker buys that responds when the hauling carrier's own cargo policy fails to pay. It is contingent by design — it is not primary coverage, it usually will not respond to a fraud or theft loss on an unauthorized re-broker, and shippers routinely overestimate what it protects.
- Auto liability limits
- The bodily injury and property damage coverage a motor carrier must carry, with a federal minimum of $750,000 for general freight and higher minimums for hazardous materials. Most shippers contractually require $1 million, and the gap between the federal floor and real accident verdicts is why excess and umbrella layers exist.
- Hazmat endorsement and placarding
- Hazardous materials require a driver with an H endorsement and TSA security threat assessment, proper shipping papers and emergency response information, correct packaging, and placards on the vehicle above threshold quantities. Hazmat also carries higher insurance minimums, restricted routing and, for some classes, its own permit.
- Weight limits and axle configuration
- The federal interstate ceiling of 80,000 pounds gross with 20,000 per single axle and 34,000 per tandem, policed together by the federal bridge formula, which is why a legal gross weight can still be illegal if it sits wrong on the axles. Sliding the tandems redistributes weight; adding axles raises the legal limit; Texas permits some heavier configurations on designated routes.
- Oversize/overweight (OS/OW) permits
- State-issued authorization to exceed legal dimension or weight limits, with routing, escort, curfew and sometimes engineering conditions attached. In Texas these run through TxDMV's TxPROS system, and permitting plus escorts is often the long pole in a heavy-haul schedule.
- Cabotage
- The rules restricting a foreign carrier from performing domestic point-to-point movements. A Mexican or Canadian carrier may bring an international load in and take one out, but generally may not run purely domestic US freight — which is why cross-border moves usually involve a transfer carrier and a handoff at the border.
- Customs broker and CBP entry
- A licensed customs broker files the entry with US Customs and Border Protection on the importer of record's behalf, declaring classification, value and origin and arranging duty payment. The importer of record — not the broker — carries legal responsibility for the accuracy of the declaration.
- ISF (Importer Security Filing / 10+2)
- For ocean imports, ten data elements from the importer and two from the carrier, filed at least 24 hours before lading at the foreign port. Late or inaccurate filings draw liquidated damages and holds, and ISF is the most common early stumble for a company importing for the first time.
- HTS classification
- The Harmonized Tariff Schedule code that determines duty rate, eligibility for trade programs and admissibility. Classification drives landed cost directly, is the importer's legal responsibility, and after the 2025–26 tariff changes it and the origin claim are where most cross-border money is won or lost.
- Duty drawback
- A refund of duties, taxes and fees paid on imported goods that are subsequently exported or destroyed, generally claimable up to five years back. Substantial and routinely unclaimed by mid-market importers who never realize they qualify.
- Foreign-Trade Zone (FTZ)
- A secure site treated as outside US customs territory for duty purposes. Goods can be admitted, stored, manipulated or manufactured without duty until they enter US commerce, and duty is avoided entirely on re-exports. Used for cash-flow relief, inverted-tariff savings and merchandise processing fee consolidation.
- FTL, LTL and partial truckload
- Full truckload is one shipper's freight moving direct, priced per mile. LTL moves through a hub-and-spoke terminal network with other shippers' freight, priced by weight, class and distance, with more handling and more damage exposure. Partial or volume LTL sits between — too big for LTL economics, not enough to justify a full trailer — and usually moves direct without terminal handling.
- Freight class and the NMFC
- The National Motor Freight Classification assigns LTL freight to a class from 50 to 500 based on density, stowability, handling and liability. Class drives the rate, and the NMFTA's 2025 restructuring moved most commodities to a density-based scale, making accurate dimensions far more consequential than they used to be.
- Density-based pricing and dimensional weight
- Pricing by the space freight occupies rather than what it weighs. LTL density is pounds per cubic foot; parcel and air use a dimensional weight computed from length × width × height divided by a divisor, and bill on whichever is greater. Light bulky freight is where shippers get surprised, and where packaging redesign pays back fastest.
- Accessorials
- Charges beyond the linehaul — liftgate, residential delivery, inside delivery, limited access, appointment scheduling, reconsignment, redelivery, layover, driver assist, tarping, lumper fees, TONU. They are where an attractive quoted rate quietly becomes an unattractive invoice, and auditing them is a standard early win in a 3PL relationship.
- Detention, demurrage and dwell time
- Detention is what a shipper pays when a driver is held at a facility beyond free time, usually one to two hours. Demurrage is the port or rail equivalent for containers left beyond free days. Dwell time is the underlying measurement. Because HOS clocks keep running, detention consumes a driver's legal day, which is why chronically slow facilities pay higher rates or get skipped entirely.
- Fuel surcharge
- A separate per-mile or percentage charge indexed to the DOE national average diesel price, meant to isolate fuel volatility from the base rate. The peg point and index used vary by contract, and an out-of-date peg is one of the more common sources of silent overpayment.
- Linehaul rate
- The base charge for moving the freight from origin to destination, excluding fuel and accessorials. It is the correct number for comparing rates across time or providers — the U.S. Bank Freight Payment Index reported spot linehaul at $1.57/mile in May 2025 and $2.01 in February 2026 — because all-in rates move with diesel independent of the freight market.
- Spot rate vs contract rate
- Spot is the price to move a load today on the open market; contract is a rate committed for a defined term and volume. Contract normally carries a premium for reliability, and shippers rely on it in tight markets while carriers rely on it in loose ones. The premium collapsed from roughly $0.39 to $0.11 per mile between November 2025 and February 2026, and by June 2026 DAT reported dry van spot topping contract for the first time since February 2022 — the classic marker of a turning market.
- RFP and bid season
- The annual or semi-annual process in which a shipper puts its lanes out to bid, collects carrier and broker rates, and rebuilds its routing guide. Mini-bids are targeted mid-cycle re-bids on lanes that broke. Bidding aggressively into a loosening market and then being unable to hold rates when it tightens is the recurring shipper mistake.
- Routing guide and tender acceptance
- The ranked list of carriers per lane and the price at which each has agreed to haul it. Tender acceptance is the percentage of loads a carrier takes when offered. When primaries start rejecting, loads fall down the guide to more expensive backups and then to spot — routing guide depth is the earliest reliable warning that a market is tightening.
- Primary carrier
- The first carrier tendered on a lane, holding the committed rate and volume. A good primary relationship is what a shipper is really buying in a bid; a primary that accepts 98% in a soft market and 60% in a tight one was never actually a primary.
- Backhaul and deadhead
- A backhaul is the return leg after delivery; deadhead is running empty to the next pickup. Every deadhead mile is a mile with cost and no revenue, so the value of a lane to a carrier depends heavily on what it can find near the destination — which is why the same lane prices differently in each direction.
- Load factor and cubic utilization
- How much of the available weight and cube a shipment actually uses. A trailer weighing out at 44,000 pounds with the deck half empty, or cubing out at 12,000 pounds, is paying for capacity it cannot use. Pallet configuration, double stacking and packaging design are the levers, and improving them cuts cost without touching the rate.
- Cost per mile and revenue per loaded mile
- The two numbers that decide whether a trucking operation makes money. Cost per mile is total operating cost — driver pay, fuel, equipment, insurance, maintenance, overhead — divided by all miles including empty ones. Revenue per loaded mile is what the freight paid divided by loaded miles only. The gap between them, adjusted for deadhead percentage, is the actual margin.
- OTIF, fill rate and service level
- On Time In Full measures deliveries arriving in the appointment window with the complete ordered quantity, and large retailers assess chargebacks against it. Fill rate is the share of ordered units actually shipped. Service level is the broader promise — transit time, delivery window, damage rate — against which a provider is graded. OTIF is unforgiving because it is a single pass/fail per order regardless of how close the miss was.
- Cross-dock
- Receiving inbound freight and moving it straight to an outbound trailer, sorting rather than storing. It compresses transit time and removes inventory carrying cost, and it depends entirely on inbound timing discipline — one late inbound cascades into every outbound on the dock.
- Drayage
- The short move between a port or rail ramp and a nearby warehouse or transload facility. Short in miles and disproportionately large in cost and risk, because it is where chassis shortages, terminal appointments, per diem and demurrage charges collide.
- Transload
- Transferring freight between equipment types — typically an international 40-foot ocean container into domestic 53-foot trailers or containers. It cuts per-unit inland cost, returns the ocean container quickly to avoid per diem, and allows freight to be re-sorted by destination at the coast rather than at an inland DC.
- Intermodal and the chassis
- Moving a container on rail for the long haul with truck on each end, cheaper and more fuel-efficient than over-the-road but slower and less certain on transit. The chassis — the wheeled frame a container rides on — is the perennial friction point: pool ownership, availability, roadability and split-chassis rules regularly cost more delay than the rail leg itself. J.B. Hunt's acquisition of Walmart's container and chassis fleet in February 2024 took its domestic container count past 118,000.
- Reefer and the cold chain
- Temperature-controlled equipment and the discipline around it — pre-cooling, pulp temperature verification at loading, continuous temperature recording, set point versus continuous versus cycle-sentry operation, and FSMA sanitary transport requirements. A reefer breakdown is a total-loss cargo claim, so documentation quality decides whether the claim is paid.
- Tender lead time
- How far ahead of pickup a load is offered to a carrier. Short lead time forces the load into the spot market and prices it accordingly; giving carriers 48 to 72 hours measurably raises tender acceptance and lowers cost, and it is one of the few levers a shipper controls without spending anything.
- WMS (warehouse management system)
- The system directing receiving, putaway, inventory location, replenishment, picking, packing and shipping inside a facility, usually with RF scanning or voice. Its value is directed work and inventory accuracy; its cost is that a poorly configured WMS institutionalizes a bad process at speed.
- TMS (transportation management system)
- The system that rates, tenders, tracks, documents and settles freight across modes and carriers, and produces the reporting a shipper needs to negotiate. The market splits between carrier-operations TMS such as McLeod and Trimble and shipper or broker TMS such as MercuryGate and Descartes.
- Slotting, pick path and units per hour
- Slotting places fast-moving SKUs in the most accessible locations; pick path is the route a picker travels through those locations; units or lines per hour is the resulting productivity measure. Reslotting to velocity is the cheapest meaningful productivity gain in most warehouses and typically precedes any automation business case.
- Safety stock and inventory turns
- Safety stock is the buffer held against demand and lead-time variability; turns are how many times inventory sells through in a year. They pull against each other and against transportation: faster, more reliable transit permits less safety stock, while cheaper slower modes require more. Network and mode decisions are really inventory decisions wearing a freight costume.