Office of U.S. Senator Deb Fischer
Today, U.S. Senator Deb Fischer (R-Neb.), a member of the Senate Commerce Committee, introduced the Household Goods Shipping Consumer Protection Act to fight freight fraud. This bipartisan, bicameral legislation will give the Federal Motor Carrier Safety Administration (FMCSA) the tools needed to protect consumers from fraud by scammers in the interstate transportation of household goods.
U.S. Senator Tammy Duckworth (D-Ill.) joined Senator Fischer as an original cosponsor of this bipartisan bill. U.S. Representatives Eleanor Holmes Norton (DC-AL) and Mike Ezell (MS-04) will introduce identical companion legislation in the House.
“We cannot allow bad actors in the shipping and moving industry to violate consumer trust and harm our nation’s supply chain. Our bipartisan, bicameral legislation will give the Federal Motor Carrier Safety Administration the tools they need to hold these thieves accountable. I look forward to working with my colleagues in both the House and the Senate to get our bill signed into law,” said Senator Fischer.
“Bad actors are constantly developing new ways to defraud hardworking Americans, so it’s critical we keep our legislation up to speed so we can protect our constituents from the latest scamming techniques,” said Senator Duckworth. “Moving is stressful enough without worrying about whether your movers are actually scammers trying to steal your money and belongings. I’m proud to help introduce this bipartisan legislation alongside Senator Fischer to help ensure FMCSA has the tools it needs to shield American consumers from these thieves.”
“The Household Goods Shipping Consumer Protection Act aims to tackle fraudulent practices in the moving and shipping industry that damage consumer trust and disrupt our national supply chain,” said Congressman Ezell. “By holding dishonest actors accountable, we’re not only safeguarding consumers but also supporting reputable businesses and their workforce. I’m proud to co-author this important legislation to combat fraud and strengthen order within our economy.”
“I thank my colleagues, Senator Fischer and Senator Duckworth for partnering with me and Congressman Ezell on introducing this important legislation in both chambers. Shipping fraud is a widespread issue that affects every corner of our nation. I will continue working to fight deceptive business practices by shipping companies,” said Congresswoman Norton.
“Freight fraud committed by criminals and scam artists has been devastating to many small business truckers simply trying to make a living in a tough freight market,” said OOIDA President Todd Spencer. “OOIDA and the 150,000 small-business truckers we represent applaud Senator Fischer, Senator Duckworth, Representative Holmes Norton and Representative Ezell for their bipartisan and bicameral leadership to provide FMCSA better tools to root out fraudulent actors, which are also harmful to consumers and highway safety. Because of the broad industry support for these commonsense reforms, we hope this bipartisan legislation will move through the committee process without delay.”
“Fraud continues to wreak havoc on the supply chain and in turn, hurts consumers and the U.S. economy,” said TIA President and CEO Chris Burroughs. “We thank Senator Fischer and Senator Duckworth for introducing the Household Goods Shipping Consumer Protection Act in the Senate. This bill shows their commitment to implementing strong anti-fraud laws, which could markedly reduce fraud in the supply chain, minimize financial losses to small business and restore integrity to the nation’s freight sector. This bill is good for the industry, consumers and the American economy.”
“When individuals and families begin the stressful process of relocating, the last thing they should have to worry about is being exploited by unscrupulous companies charging exorbitant rates and holding their household goods hostage. We commend Senators Deb Fischer and Tammy Duckworth for taking action to help prevent consumers from becoming victims of moving fraud and protect the reputations of legitimate moving and storage companies and their hardworking employees. By creating additional tools to crack down on scammers, their legislation will help Americans have greater confidence that the moving professionals they entrust with their valuable possessions are experienced, honest, and reliable,” said American Trucking Associations’ Senior Vice President of Legislative Affairs Henry Hanscom and Moving & Storage Conference Executive Director Dan Hilton.
Background:
Freight fraud, particularly in the household goods sector, is a growing problem that continues to undermine the integrity of the shipping and logistics industry. For years, professional truckers and industry stakeholders have raised concerns with the U.S. Department of Transportation (DOT) about inadequate enforcement of regulations governing brokers, which has allowed bad actors to thrive. This regulatory gap disproportionately impacts trucking businesses, often leading to fraudulent brokers taking advantage of them through deceptive practices.
The Household Goods Shipping Consumer Protection Act seeks to address the issue of household goods fraud by empowering FMCSA with the tools needed to combat fraudulent actors in the shipping industry. This bipartisan, bicameral bill is designed to amend Title 49 of the United States Code to give FMCSA enhanced authority to penalize violators in the freight industry.
Key provisions of the bill include:
- Restoration of FMCSA’s Authority: Restores FMCSA’s ability to impose civil penalties against unauthorized brokers and other fraudulent entities, enabling the agency to act swiftly against bad actors.
- Stronger Regulation Enforcement: Mandates that companies operating in the household goods sector must maintain a legitimate principal place of business, ensuring that companies cannot use PO Boxes or non-physical address to skirt regulations.
- Identifying Fraudulent Practices: Directs FMCSA to analyze trend and commonalities among companies apply for shipping authority to identify potentially fraudulent operations before they can cause harm.
- State Enforcement and Consumer Protection: Allows states to use federal funds to enforce consumer protection laws related to household goods transportations, providing a more comprehensive and effective regulatory structure.
Click here to read the text of the bill.