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Amended 'reincarnated carrier' rules set for May 29

FMCSA said it has amended its Rules of Practice to establish procedures for issuing out-of-service orders to those motor carriers it determines are reincarnations of other entities with a history of failing to comply with statutory or regulatory requirements.

The Trucker News Services

4/30/2012

WASHINGTON – The Federal Motor Carrier Safety Administration next month will enact administrative rule changes to strengthen the agency’s ability to crack down on “reincarnated” carriers and brokers.

In a filing published Thursday in the Federal Register, FMCSA said it has amended its Rules of Practice to establish procedures for issuing out-of-service orders to those motor carriers, intermodal equipment providers, brokers, and freight forwarders it determines are reincarnations of other entities with a history of failing to comply with statutory or regulatory requirements.

Effective May 29, these procedures also will provide for administrative review before the out-of-service order takes effect.

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Additionally, the agency proposes procedures for consolidating agency records of reincarnated companies with their predecessor entities.

FMCSA also has clarified that paying the full proposed civil penalty in an enforcement proceeding, either in response to a Notice of Claim or later in the proceeding, would not allow respondents to unilaterally avoid an admission of liability for the violations charged.

The changes along with background explanation are available here.

Kevin Jones of The Trucker staff can be reached for comment at kevinj@thetrucker.com.

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