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The Latest Update on Aviation Regulatory Matters Involving DOT, FAA, TSA, and Other Federal Agencies

Congressional Action Impacting Aviation - Senate Commerce Committee Chairman Requests Airline Information on Ancillary Service Fees, Consumer Privacy Protection: Senator John D. Rockefeller, IV, chairman of the...more

Earthquake in the Independent Contractor Misclassification Field: Changed Landscape Following Serious Legal Blow to FedEx Ground...

FedEx Ground has been at the epicenter of the crackdown on IC misclassification by government regulators, state legislators, and plaintiffs’ class action lawyers since 2007, when a California appellate court found...more

Flash No. 42 FedEx Ground Drivers Found to be Employees: A Sequel To Ruiz

In a decision issued on August 27, the Ninth Circuit Federal Court of Appeals, in a case captioned Alexander v. FedEx Ground Package System, determined that FedEx Ground drivers were employees as a matter of law under...more

Federal Ninth Circuit Court Of Appeals Rules FedEx Drivers Are Employees, Not Independent Contractors, Under Both California's and...

Class actions were brought against FedEx in both California and Oregon by FedEx drivers contending they had been misclassified as independent contractors. (Alexander, et al. v. FedEx Ground Package System, Inc. and Slayman,...more

Transportation Employers, Can You Survive The Federal Audit “Tag Team”?

The federal Occupational Safety and Health Administration and the Federal Motor Carrier Safety Administration are tag-teaming transportation employers. They’ve signed a Memorandum of Understanding in which they agree to share...more

Flash No. 41: How The NLRB and 2 All-Beef Patties Resonate with Trucking

The National Labor Relations Board (“NLRB”) General Counsel’s July 31 announcement that he will name McDonald’s U.S.A. LLC as a joint employer in dozens of unfair labor practice cases filed on behalf of employees of...more

InterConnect - Summer 2014

In this issue: - Don’t Sail Too Close to the Wind: Enhancing Awareness of Intermodal Shipping Documents - NEMF Class Action Settlement Serves as a Reminder to Carriers to Ensure FCRA Compliance in...more

Federal Preemption Defense Running Out of Gas?

Recent decisions by the Ninth Circuit Court of Appeals and the California Supreme Court have thrown a road block in the way of employers relying on a federal statute to preempt certain state wage-and-hour law claims. At issue...more

Bill Introduced to Congress Which Establishes National Hiring Standards for Motor Carriers

The recent introduction of H.R. 4727 in the House of Representatives marks the first step toward insulating freight brokers and third-party logistics providers (3PLs) from claims by plaintiffs who seek an alternate source for...more

FAA investigates Southwest Airlines after whistleblower comes forward

A former Southwest Airlines cargo manager was allegedly fired for blowing the whistle on the unsafe transportation of hazardous materials on Southwest Airlines' passenger planes. The whistleblower, Jeffrey Bondurant, also...more

New Hampshire Court Dismisses Negligent Hiring and Retention Claims as Redundant of Motor Carrier’s Vicarious Liability

A New Hampshire trial court recently ruled that negligent hiring and retention claims asserted against a motor carrier on behalf of persons seriously injured in a multi-vehicle accident are redundant of the motor carrier’s...more

Congress Passes Highway Funding Bill; Includes Pension Funding Relief

Last week, Congress gave final approval to a $10.8 billion bill that will keep federal highway funds flowing to states through the busy summer construction season. While this short-term “patch” offers some relief, it is now...more

Motor Carriers Face Uphill Battle After California Supreme Court Decision

Harris v. Pac Anchor Transportation, Inc., No. S194388 (July 28, 2014): In a unanimous decision, the California Supreme Court has held that the Federal Aviation Administration Authorization Act of 1994 (FAAAA) does not...more

Supreme Court Poised to Hear TSA Whistleblower Case

The Transportation Safety Administration (TSA) plays a crucial role in our national safety infrastructure. Yet the agency has been subjected to significant criticism — and even been the butt of jokes — for the last several...more

Arizona District Court Rejects Joint Employer Arguments in Independent Contractor Case Alleging Misclassification of Truck Drivers

A month ago we discussed the Ninth Circuit’s decision in Ruiz v. Affinity Logistics Corp., Case No. 12-56589 (9th Cir. June 16, 2014), in which the employer treated its delivery drivers as employees in everything but name,...more

Six Days on the Road and I'm Gonna Park My Truck to Comply with State Laws Tonight

My apologies to Dave Dudley. The song “Six Days on the Road” just doesn’t stand up to the changes we would have to make after the Ninth Circuit’s decision that the state meal and rest break laws are not preempted by federal...more

Third Circuit affirms dismissal of False Claims Act suit, citing contract ambiguity

Ambiguous contract terms are ordinarily a liability for government contractors, opening the possibility of misunderstandings, expensive disputes, and, potentially, unpaid additional work. However, contract ambiguity recently...more

Ninth Circuit Holds FAAAA Does Not Preempt California’s Meal and Rest Break Laws

Last week the U.S. Court of Appeals for the Ninth Circuit concluded, in Dilts v. Penske Logistics, LLC, that the Federal Aviation Administration Authorization Act of 1994 (FAAAA) does not preempt the application of...more

Legislative Update Report No. 2014-13

In This Article: Federal Government; Alberta; British Columbia; Manitoba; New Brunswick; Newfoundland; Northwest Territories; Nova Scotia; Nunavut; Ontario; Prince Edward Island; Québec/Quebec; Saskatchewan; and...more

Third Circuit Holds Ambiguous Contract Precludes FCA Liability

The Third Circuit recently upheld summary judgment in favor of the defendant in U.S. Dept. of Transp. ex rel. Arnold v. CMC Engineering, a whistleblower suit alleging the defendant overbilled Pennsylvania’s Department of...more

The Ninth Circuit Puts Up Road Block to Motor Carrier Arguing that California Break Laws are Preempted by the FAAA Act, But Leaves...

On Wednesday, the United States Ninth Circuit Court of Appeals rendered a decision that, on its face, involved a technical preemption issue, but one that will have serious repercussions for those in the transportation...more

DOT Updates Guidance On Substance Abuse Test Collections

The U.S. Department of Transportation’s Office of Drug and Alcohol Policy and Compliance, with the Office of General Counsel, has recently issued new guidance governing the collection process for substance abuse testing....more

Illinois Appellate Court: School District’s Subcontracting of Transportation Services is “Part of Bargaining Process” and an...

The Illinois Appellate Court for the Fourth District recently found that a school district did not engage in any unfair labor practices when it subcontracted student transportation services to a third-party vendor and...more

California Delivery Drivers Gain Employee Status Despite Independent Contractor Agreements

On June 16, the U.S. Court of Appeals for the Ninth Circuit ruled that home-delivery drivers who transported furniture and appliances for a leading transportation and logistics company under independent contractor agreements...more

California Supreme Court Upholds Class Action Waivers in Arbitration Agreements, but Invalidates Waivers of Representative Actions...

On June 23, the California Supreme Court provided mixed blessings to California employers. In Iskanian v. CLS Transportation, No. S204032 (June 23, 2014), the Court upheld class action waivers in arbitration agreements,...more

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