FMCSA Intensifies Oversight of Interstate Property Brokers

The Federal Motor Carrier Safety Administration (FMCSA) has recently launched an information-gathering campaign intended to educate the agency regarding the operations of interstate property brokers. These inquiries generally focus on compliance with federal property broker regulations under 49 C.F.R. Part 371, including recordkeeping requirements. Companies holding broker authority should be familiar with those requirements and ensure their documentation is complete and accessible.

What Investigators Are Requesting

FMCSA investigators typically ask for records related to loads brokered within the preceding 12 months. These records must be maintained in accordance with Subpart A of Part 371, which contains the following key requirements:

• Transaction Records: Brokers must retain documentation for each load, including shipper and carrier names, compensation received by the broker, freight charges collected and paid to the carrier, and any other financial records.
• Retention Period: Records must be preserved for three years from the date of the transaction.
• Transparency: Under the current regulation, each party to the brokered transaction has a right to review the records required to be kept under the regulation.

FMCSA investigators may also inquire about the broker’s billing, carrier selection, and onboarding practices. One area where investigators appear to be a bit confused has to do with household goods regulation.  Brokers that arrange for regulated household goods transportation are subject to additional detailed consumer protection-type regulations that do not apply to brokers of general commodities.  Nevertheless, FMCSA has been posing questions to general commodity brokers derived from the household goods regulations.  If faced with such questions, a general freight broker should clarify that it is not a household goods broker and is not subject to the additional requirements applicable to such operations.

Possible Outcomes of Compliance Review

 FMCSA reportedly does not intend to identify violations and issue fines. Rather, the agency purports to be educating itself on brokerage operations generally after decades of essentially ignoring broker oversight.  That said, failure to comply with this informational-gathering process can result in enforcement actions, including fines.

Status of Proposed Rulemaking on Broker Transparency

In late 2024, FMCSA proposed rule changes to modernize broker transparency obligations—requiring electronic records, expanding what must be captured, and imposing a 48‑hour timeline to provide records upon request and, most importantly, clarifying that failure to provide records would constitute a violation even if the requesting party had contractually waived its right to access the records. The comment period was reopened in February 2025, and, according to the FMCSA’s regulatory agenda published this past September, the FMCSA has scheduled a second notice of proposed rulemaking on broker transparency for May 2026.  This is a unique step and one that may signal that the agency is considering a different tactic than what was laid out in the original notice.

Preparing for a Broker Compliance Review

FMCSA’s increased focus on broker transparency underscores the importance of meticulous documentation, though the Firm expects the vast majority of brokers to maintain required records electronically. For brokers concerned the FMCSA may come calling, the Firm recommends the following:

• Audit your transaction records for the past 12 months.
• Verify that all required information under 49 CFR 371.3 is included.
• Prepare a master list of shippers/consignors and carriers.
• Implement a compliance checklist to maintain ongoing adherence.

 

Update on Non-Domiciled CDL Issuance

In September 2025, the Federal Motor Carrier Safety Administration (FMCSA) issued an Interim Final Rule (IFR) immediately restricting eligibility for non-domiciled commercial driver’s licenses (CDLs). The rule tightened verification requirements and limited issuance to specific visa categories. The rule did not immediately invalidate existing non-domiciled licenses; instead, it made them ineligible for renewal or upgrade. In response, most states immediately paused issuance of these licenses.

On November 13, following an appeal of the rule and a request for an emergency stay, the federal D.C. Court of Appeals granted the stay.

While a handful of states resumed issuance under the stricter rule requirements, most states remain on hold. However, following the stay, at least two states resumed issuance under pre-rule requirements, and states initiated the cancellation of improperly issued licenses.

This rapidly changing patchwork approach creates operational and compliance challenges for carriers employing affected drivers. Motor carriers should monitor state-specific practices closely and review driver files to evaluate and mitigate risk.

TSA Establishes New Policy Clarification Process

Indirect Air Carriers, Certified Cargo Screening Facilities, and other entities regulated by the Transportation Security Administration regularly encounter questions about the meaning or application of TSA security requirements, including those found in the Indirect Air Carrier Standard Security Program, Certified Cargo Screening Standard Security Program, and Standard Screening Procedures for Air Cargo. (The requirements of those security programs are classified as Sensitive Security Information and so may not be discussed in this article.) TSA recently announced a new “Policy Clarification Process” through which regulated entities can informally request guidance from the agency regarding such questions. Requests will be reviewed by TSA and resolved through the issuance of “Policy Clarification Notices” that will be posted to the Homeland Security Information Network. Time will tell if this new process yields helpful guidance to the air-forwarding industry. This development indicates TSA is at least open to clarifying the meaning and application of security-program requirements on an informal basis, similar to the approach taken by other federal agencies with jurisdiction over transportation providers (e.g., the Federal Motor Carrier Safety Administration).

More States Consider Workplace Violence Prevention Policies

A key safety issue that has garnered significant attention over recent legislative sessions is workplace violence prevention. A number of states have either enacted or proposed workplace violence prevention legislation   requiring employers to develop written workplace violence prevention plans, including California and New York. These plans typically require employers to assess the risk of violent incidents in the workplace and develop training and procedures to reduce the perceived risk. Employers are also required to track and report incidents of workplace violence and post appropriate notices in the workplace. Even in states with no legal requirement to create a workplace violence prevention policy, employers may nevertheless find it beneficial to develop such a program as part of their occupational health compliance efforts.

Spotlight: DOT Safety and Transportation of Hazardous Materials Practices

Federal and state regulators have developed a significant and diverse body of motor carrier safety regulations designed to protect the public from the perceived dangers of the transportation industry. Transportation companies need experienced legal advisors to ensure compliance with these regulations. Failure to comply can have disastrous consequences not only for the business but, more importantly, for the lives of its workers and the motoring public. As a result, it is no surprise that safety compliance issues are the foremost priority for nearly all successful transportation companies.

Since the beginning, Scopelitis has taken pride in its ability to accurately and efficiently advise clients on safety-related matters. The focused growth and dedication to this area allows the Firm to provide the most comprehensive services in the industry. In addition to advising clients on nuanced safety matters at a moment’s notice, the Firm’s attorneys routinely conduct mock audits, perform safety analysis reviews to identify gaps that could be exploited by plaintiff’s attorneys, and defend against government enforcement actions. Common motor carrier safety issues that are often addressed by the Firm include:

• Hours of service
• Drug and alcohol testing
• Driver training
• Driver licensing
• Driver qualification and fitness
• Equipment standards
• Vehicle maintenance and inspection
• Electronic logging device (“ELD”) compliance
• Safety compliance manuals, policies, and handbooks
• Hazardous materials regulations compliance

The DOT Safety and Transportation of Hazardous Materials Practices are led by Scopelitis Partners Tim Wiseman and Chris Eckhart. They are joined by Scopelitis Partner and Former FMCSA Chief Safety Officer Sue Lawless and Attorney Brigitte Collier.

Scopelitis Quarterly Headline Roundup: Autumn 2025

Court of Appeals Issues Hold on Court Case Challenging Non-Domiciled CDL Driver Interim Final Rule

Attention:  Entry Level Driver Training Providers

Transport Topics: Inside the Amazon-Teamsters showdown: What’s next?

Regulatory Update: The SAFETY Act – A Risk-Mitigation Tool for Certified Cargo Screening Facilities

Regulatory Update: CBP Makes Changes to the Air Cargo Advance Screening Program

Regulatory Update: U.S. Customs and Border Protection Pilot Program

TCA Legal Comment: Navigating the Transportation Transaction Minefield

Representations & Warranties Insurance in Transactions: What You Need to Know

Transport Topics: Nuclear Verdicts Keep Getting Worse for Trucking

FreightWaves: SCOTUS to decide fate of bread drivers: are they interstate?

U.S. Supreme Court will decide whether the Federal Arbitration Act applies to arbitration agreements with final-mile delivery drivers.

New York LLC Transparency Act Expected to Take Effect on Jan. 1, 2026

Scopelitis Recognized as a 2026 BTI Leader in Litigation

Transport Topics: Trucking Industry Still Facing Soaring Insurance Costs

FMCSA Issues Interim Final Rule on Non-Domiciled CDLs Effective Immediately

2026 Special Per Diem Rates Announced

CTA Update: Recent Changes to New York State LLC Transparency Law

Case Note: Federal Courts Grapple with TSA’s Emergency and Legislative Rulemaking Authority

WSBT-TV 22: Railroad crossing rule changes spark debate; Safety, efficiency concerns

Wisconsin Worker’s Comp News: 2025 Wisconsin Legislative Updates

EPA Questions Extraterritorial Reach of CARB’s Clean Truck Check Regulation

Case Note: Seventh Circuit Affirms TSA’s Broad “Emergency” Rulemaking Authority

Case Note: NLRB Structure Is Likely Unconstitutional, Fifth Circuit Holds