What is Double Brokering and How to Combat Nefarious Brokers


What is Double Brokering and How to Combat Nefarious Brokers

Illustration of double brokering scam in freight logistics

🚨 Understanding and Preventing Double Brokering in Freight Logistics

In today’s complex freight world, double brokering is one of the most damaging and deceitful practices facing carriers and shippers. Learn how to spot it, stop it, and protect your business.

Carrier ProtectionBroker VettingChain of CustodyDocumentation

❓ What is Double Brokering?

Double brokering occurs when a broker takes a load from a shipper and re-brokers it to another broker or carrier—without informing the shipper. This creates liability confusion, payment risk, and breaks trust across the supply chain.

📉 How Does It Happen?

  • Broker → Broker: Broker A reassigns to Broker B; the shipper is kept in the dark.
  • Fake Carrier: A scammer “accepts,” then hands off; the actual carrier may never get paid.
  • Carrier Impersonation: A broker poses as a carrier to another broker and passes it on.

🛡️ 5-Minute Vetting Workflow (Do this on every new partner)

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Tip: Save this as a standard operating procedure (SOP) for your team.

🧩 Anti-Rebrokering Clause (Copy & Paste)

Insert into your carrier/broker agreement or rate confirmation 
Carrier and/or Broker shall not re-broker, assign, subcontract, or otherwise transfer any shipment tendered under this Agreement without prior written consent from Shipper (and Carrier, if applicable). Unauthorized re-brokering or assignment constitutes a material breach. In the event of a breach, the assigning party forfeits any right to payment and remains jointly and severally liable for loss, damage, delay, unpaid freight charges, cargo claims, and all consequential costs, including reasonable attorney’s fees. Shipper/Consignee is authorized to pay the underlying performing motor carrier directly and offset such payment against amounts due to the breaching party.

Not legal advice. Consult counsel to tailor for your jurisdiction.

🔍 Build Your Evidence Pack (if you suspect a problem)

  • All emails, texts, and call logs (screenshots)
  • Rate confirmation(s) and any revised versions
  • BOL, POD, and any lumper receipts
  • GPS/location logs and check-call history
  • COI + W-9 + authority letter for each party
  • Names, numbers, and times of each contact
📑 File a Broker Bond Claim ✉️ Talk to Our Team

❓ FAQ

Is double brokering always illegal?
Unauthorized re-brokering violates many contracts and may trigger liability. Some lawful subcontracting exists—but only when expressly permitted in writing and fully disclosed.
What are the biggest red flags?
  • Mismatched company names between RC, W-9, and COI
  • Email from free domain for contracting (e.g., gmail)
  • Payment instructions to an entity not party to the RC
  • Reluctance to provide authority/insurance docs
  • “Too good to be true” rate with rushed signature demand
How can technology help?
Use TMS + GPS (e.g., Turbo Dispatcher™) to lock chain-of-custody, automate check calls, archive communications, and flag anomalies.

Final Thoughts: Double brokering is not just unethical—it’s dangerous to your reputation and profit. With the right tech, strong vetting, and trusted dispatch partners, you can block bad actors before they ever touch your freight.

🚛 Freight Girlz is committed to load transparency. Every carrier we dispatch is vetted and tracked through our secure TMS. Contact us today to learn how we help carriers avoid fraud and keep freight flowing safely.

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