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Dalilah’s Law plans to restrict foreign dispatchers and brokers
Yahoo Finance· 2026-03-18 23:00
Core Points - The House Transportation and Infrastructure Committee has advanced H.R. 5688, known as Dalilah's Law, which focuses on foreign entities in the freight ecosystem [1] - The legislation includes reforms to Commercial Driver's Licenses (CDLs) and introduces restrictions on foreign brokers and dispatch services to combat freight fraud and cargo theft [2] Summary of Proposed Rules - **Ban on Registering Truly Foreign Brokers**: The bill amends 49 U.S.C. § 13904 to bar offshore brokers from obtaining FMCSA broker authority and requires Canadian and Mexican brokers to hold valid local licensing to register in the U.S. [4][5] - **Prohibition on Motor Carriers Using "Foreign Dispatch Services"**: A new section 14917 prohibits registration of freight brokers whose principal place of business is outside the U.S., Canada, or Mexico unless properly licensed [6][7] - **Definition of "Foreign Dispatch Service"**: This is defined as having a principal place of business outside the U.S., Mexico, or Canada, acting as a licensed agent for motor carriers, and providing limited administrative services [7] - **Core Prohibition and Certification Requirement**: Motor carriers are prohibited from using foreign dispatch services one year after enactment and must certify compliance when applying for operating authority [7] - **Penalties for Violations**: Motor carriers that knowingly violate the prohibition or certification rule face civil penalties of not less than $50,000 per violation [8]