Are Shippers Required To Participate In The Carrier’s Arbitration Program?

Shippers have the right to choose not to participate in the arbitration program that the movers have in place. Shippers can choose not to participate in the arbitration program that the movers have established. They may request legal assistance via court actions pursuant to 49 USC 14706. If a shipper does not agree to participate in an arbitration program, there may be more costs for both parties. Fees will be higher when disputes are taken to court. Another important note is that the mover cannot force a client to join an arbitration program, especially before a claim is filed.

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Arbitration program brochure for moving
Arbitration program brochure for moving companies


If the shippers do participate in the arbitration program provided by a moving company, the moving company is bound for claims of $10,000 or less. When shippers do not participate in the carrier’s arbitration program, they settle the dispute in a small claims court. For some shippers, a small claims court is a better option depending on the damages or the loss of household goods. Some shippers who do not trust their claim in the hands of an arbitrator are looking for a specific value to cover the costs of their damaged or lost goods. These cases usually involve high-value items, and these are replaceable or irreplaceable.


When is it smart to use arbitration?

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For goods that do not cost as much, opting for the arbitration program is a better idea. It saves both parties money and time. There are no legal fees or court meetings. If you think you will be happy with a settlement from arbitration, make sure your moving company has a decent arbitration program in place. Many arbitration program providers do not have the proper licenses to provide arbitration.


How can I get arbitration?


Shippers are not required to use the mover’s arbitration program. But, the mover must have the program, and be willing to use it. If you are a new mover, you can give us a call at 702-333-2430. We can make sure you have everything you need to operate. Our associates on the other end of this number will be able to answer any questions. Ask about moving, storage, and the laws related. Our associates have accumulated years of experience in the moving industry. They continue to provide excellent service to new and old moving companies.
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