Owner-operators at Port of L.A. buy a little more time

ATA stated last week following the judge’s ruling that “We are disappointed with the decision, and believe it is clearly erroneous as a matter of law” and that they intend to appeal.

By DOROTHY COX
The Trucker Staff

9/8/2010

Following a federal judge’s recent ruling that the Port of Los Angeles can regulate trucks that haul goods in and out of its property and in effect ban the use of owner-operators, Geraldine Knatz, executive director of the Port of L.A., issued a memo saying she would “not take action to enforce the previously enjoined provisions of the Concession Agreement [banning owner-operators among other things] before the next meeting of the Board of Harbor Commissioners” on Sept. 27.

This will give staff the opportunity to recommend the next steps, which could include “reasonable extensions of time for compliance,” she said.

She also stated in the letter that “Once the Court enters final judgment in the coming days the Harbor Department will technically be able to enforce all provisions of the Concession Agreement including the following provisions that had been preliminarily enjoined: enforcement of truck ban directly against LMCs (licensed motor carriers); employee driver requirement; off-street parking requirement; financial capability; and preferential hiring considerations.”

U.S. District Court Judge Christina Snyder ruled that the port can require big rigs entering the port to comply with strict diesel emissions standards and eliminate owner-operators.

ATA sued in 2008, arguing that the ports cannot require companies to hire drivers as direct employees because it would stop independent owner-operators from working the harbor.

ATA has repeatedly said it supported the port's clean air goals, but that the employee mandate would violate a federal law that prohibits states and local entities from regulating interstate trucking prices, routes and services.

The port's attorneys argued that federal law allows regulations that directly influence safety and security at the port.

ATA stated last week following the judge’s ruling that “We are disappointed with the decision, and believe it is clearly erroneous as a matter of law” and that they intend to appeal. 

A spokesman said the lobbying group also intends to ask the courts “to maintain the legal status quo — that is, to keep in place the injunction against the ban on independent owner-operators, off-street parking, and other provisions — until the Court of Appeals has the opportunity to review the case.”

“Inasmuch as all parties agreed at trial that the benefits of the clean truck and clean air elements of the clean trucks plan have been fully realized with the injunction in place,” he said, “neither the Port nor the people of California have been harmed by the preliminary injunction, and we hope that request will be granted.”

Dorothy Cox of The Trucker staff may be contacted to comment at dlcox@thetrucker.com.