The United States Supreme Court’s ruling on May 14, 2026, was a landmark decision that shook the freight industry, leaving many freight brokers uncertain about the future and their liability. This is an ongoing industry conversation, and much remains uncertain.
As a freight brokerage program that cares about transparency and integrity with our agents and customers alike, Tallgrass Freight Co. is diligently following the ongoing case of Montgomery v. Caribe Transport, LLC (also referred to as Montgomery v. CH Robinson) — and determining what this means for our business, our agents’ businesses and freight as a whole.
What Happened in the Case?
On December 7, 2017, Shawn Montgomery was hurt by a freight truck that veered off the road and crashing into his parked car. Montgomery chose to sue the driver, the carrier (Caribe Transport II), and the freight agent and brokerage (C.H. Robinson Worldwide), citing negligent hiring on behalf of the freight brokerage.
The claim against C.H. Robinson states that they hired a carrier with known, documented issues such as lack of driver qualifications and high crash rates. However, the Supreme Court’s unexpected unanimous ruling in this case has called the use of that preemption into question.
On May 14, the Supreme Court ruled that Montgomery’s claim falls within the safety exception, allowing states to apply common-law negligence claims to interstate trucking. Simply put, every state’s negligent hiring law now can apply to carriers and brokers.
What This Means for Freight Brokers and Agents
Ultimately, the challenge for some freight agents may come down to diligent carrier vetting. But here at Tallgrass, that’s our standard. Carrier vetting is central to how we work.
Freight agents, as best practice, should pay close attention to their carrier vetting processes and maintain thorough documentation of compliance to demonstrate due diligence in the event of potential issues.
Tallgrass President Sean Richardson encourages freight brokers to maintain a vetted portfolio of carriers to whom they extend first right of refusal before booking new, unfamiliar carriers. When onboarding a new carrier, it’s best practice to use sound judgment and trust your instincts. “If something feels off, it probably is,” Sean reminds agents.
Even for freight agents who are already following good compliance practices, there may be some changes as a result of this ruling, specifically regarding costs. “When there is a disruption in the freight market, you are going to see some market shifts,” explains Sean. “We’re expecting to see tightened capacity in the market, which will drive up freight costs for everyone.”
What This Does NOT Mean for Freight Brokers and Agents
The full impact of the Montgomery v. C.H. Robinson decision remains to be seen. The Supreme Court ruling does not win Montgomery his case — rather, it allows his lawsuit against the carrier and the brokerage to proceed.
This means that freight brokerages and agents can now be sued under state tort law for negligent carrier selection. But it does not mean that brokers are automatically liable for accidents.
“This doesn’t mean the end of shipping,” assures Sean. “It just means more awareness of who you’re working with.” The carrier C.H. Robinson, which had selected for the shipment involved in the accident, had only a “conditional” safety rating from the Federal Motor Carrier Safety Administration (FMCSA), with documented deficiencies in driver qualifications, hours of service, vehicle maintenance and crash rates. These are the kinds of red flags freight agents should look for when selecting carriers to move their customers’ freight.
Sean encourages freight agents not to be overly reactionary following the Supreme Court ruling. “Rather, agents should look at where risks lie and what changes make sense to increase oversight and improve carrier vetting,” he advises.
How Tallgrass Freight Co. Supports Agents
The freight brokers taking the biggest hit following this ruling are those going it alone or with brokerages that don’t provide adequate support. Tallgrass Freight Co. prioritizes carrier vetting standards, compliance support, risk management and freight agent training that gives our agents the best support and guidance in the industry — even in the face of legal complications.
“We have the highest standard for our agents for ensuring compliance,” Sean notes. “Our TGF agents are part of our team for a very long time, and that’s why we’re very diligent about choosing only the best and brightest agents. The way our agents handle their business must align with our philosophy, and that’s why we look for agents who do things the right way. It’s simple, but it’s a pinnacle of who we are at TGF.”
Compliance and Carrier Vetting Standards
Through our partnership with MyCarrierPortal, Tallgrass Freight has the flexibility to make internal changes to how we vet carriers before they even reach our agents’ network. Carriers cannot even get their foot in the door with our freight agents unless they meet all our requirements. After that, it is up to our agents to determine which pre-vetted carriers they want to work with.
Industry Updates and Education
As soon as the Supreme Court shared its ruling, the leadership team at Tallgrass set up a meeting with all freight agents to answer questions and go over what this ruling meant for the industry at large. Whether through impromptu meetings, quarterly email updates or documentation summarizing the current market pulse, we want to make sure our freight agents always know what is going on in the freight world long before their customers start asking questions.
As a long-time expert in the freight industry, Sean points out that customers will feel most secure with agents who consistently advocate for them and stay attuned to the market. “Freight doesn’t stop,” says Sean. “Customers are going to look for a home where they feel like the agent or brokerage is dialed in.”
In-House Legal Support
As part of our commitment to protect our agents’ businesses and reputations, we have legal guidance and support readily available to all of our freight brokers. Our agents don’t have to feel pressured to answer their customers’ legal questions alone, which is why we give them direct access to legal experts who can walk them through various scenarios and risks.
We care about protecting our freight agents. Because when push comes to shove, we know freight agents want to feel confident that their brokerage program has the insurance and resources to help navigate challenges.
“When our agents find themselves in a legal dispute, we are happy to help engage the right support,” explains Sean. “Tallgrass has the resources to help.”
Whatever the Ruling, Freight Keeps Moving
No matter what’s in the headlines, freight doesn’t stop! Tallgrass Freight keeps moving and booking and adapting, recognizing that the freight industry is always changing for better or worse. Sean believes that this ruling will ultimately be good for the industry, as it will force the hand of governing bodies to more clearly define “what is safe, what is reasonable and what negligent means.”
If you’re a freight agent in search of better support for your brokerage, or if you have any questions about how the Supreme Court ruling could impact you, reach out to us at Tallgrass Freight!