These can range from cargo damage disputes that go beyond your insurance limitations to non-payment claims, stolen identity issues and more. What Is a Process Agent?Ī process agent is a responsible, thirdparty who is located in the same state in which you are arranging transport or hold a contract, and who is designated to be served legal documents in any proceeding brought against you should there ever be a legal issue.
![fmcsa boc 3 fmcsa boc 3](https://media.list.ly/production/584248/3286741/3286741-file-form-boc-3-through-process-agent-for-motor-carriers_600px.jpeg)
The BOC-3 is the form that fulfills that requirement and designates ALL of your company’s process agents. The BOC-3 filing tells FMCSA who a broker has designated as their registered process agent in each state in which the broker does business.įor example, a freight broker who arranges freight in Texas and New York is legally required to inform FMCSA who their representative is in each of these two states. Let’s start with what BOC stands for: Blanket of Coverage. The BOC-3 is probably the most misunderstood and underappreciated requirement. To get your Operating Authority, freight brokers need just two things: proof of surety bond or trust and a process service, which is the BOC-3 we mentioned above. Companies operating without authority, or beyond the scope of their authority, can be put out of service by FMCSA and can be subject to substantial fines and penalties. The process of getting your MC number is called getting your Operating Authority, which enables you to operate legally. What they all have in common is that they must obtain a Motor Carrier (MC) Number with the Federal Motor Carrier Safety Administration (FMCSA) if they intend to transport freight across state lines (aka interstate commerce). Let’s start with the three major players in transportation: motor carriers, freight brokers, and domestic freight forwarders. For this article, we’re going to focus on the BOC-3 and how it impacts your brokerage. In the rush of day-to-day business and keeping up with state, federal and local regulations, you might not pay attention to what’s GOING on behind all this industry jargon, or what it means for you. Everything You Need to Know About the Industry’s Most Misunderstood Requirementīobbie Prosser | LOGISTEC/TTS RESIDENT AGENTS SERVICE, INC.įREIGHT BROKERS, LIKE other transportation companies, are inundated with a confusing alphabet soup of transportation requirements-MC, DOT, UCR, BOC-3, just to name a few.