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Montgomery Broker Liability Decision: What Freight Brokers and Small Carriers Should Know About UCR

Freight brokers and motor carriers face different regulatory responsibilities, but both can be affected when questions arise about carrier safety and operating eligibility.

The Supreme Court’s 2026 decision in Montgomery v. Caribe Transport II, LLC addressed whether a freight broker could face a state-law negligent-hiring claim after selecting a carrier involved in a serious crash.

The ruling has important implications for broker risk management.

It also provides an opportunity for transportation businesses to review separate annual obligations, including Unified Carrier Registration (UCR).

UCR registration does not determine whether a broker acted negligently, and it does not replace carrier safety verification. It remains an independent requirement for covered transportation businesses.

What Happened in Montgomery v. Caribe Transport?

The case arose from a highway collision in Illinois.

Shawn Montgomery was seriously injured when a truck transporting freight for Caribe Transport II, LLC struck his stopped tractor-trailer.

C.H. Robinson had arranged the shipment as a freight broker.

Montgomery alleged that the broker negligently selected the carrier despite information suggesting safety concerns.

The lower courts dismissed the negligent-hiring claims under the Federal Aviation Administration Authorization Act’s preemption provision.

On May 14, 2026, the Supreme Court unanimously held that the statute’s motor-vehicle safety exception permits this type of state-law negligent-hiring claim.

The ruling allowed the claims to proceed rather than being barred by federal preemption.

It did not establish that C.H. Robinson was negligent or award damages.

What Happened After the Supreme Court Decision?

On July 8, 2026, the Seventh Circuit vacated the prior district court judgment concerning Montgomery’s negligent-hiring claims and remanded those claims for further proceedings.

The case therefore returned to the district court for consideration of the surviving claims.

The remand was not a settlement or liability finding.

The decision is important because it changes the availability of a federal preemption defense in this category of litigation.

What Does the Decision Mean for Freight Brokers?

Freight brokers arrange transportation by selecting motor carriers.

The Montgomery ruling means certain negligent-selection claims may proceed under state law despite a broker’s FAAAA preemption argument.

That does not make brokers automatically responsible for every accident.

However, brokers may wish to review their carrier approval procedures, safety-information reviews, insurance verification, and documentation practices.

A broker should consult qualified legal counsel regarding the appropriate standard of care and procedures for its operations.

Does UCR Registration Apply to Freight Brokers?

Yes, certain freight brokers are covered by the Unified Carrier Registration program.

UCR is an annual registration and fee program applying to specified interstate transportation businesses.

Covered entities include certain motor carriers, motor private carriers, brokers, freight forwarders, and leasing companies.

A freight broker’s UCR obligation is separate from its federal broker authority and other registration requirements.

Completing UCR does not establish that the broker has satisfied every applicable regulatory obligation.

What Is the 2027 UCR Fee for Freight Brokers?

The official UCR Plan opened registration for the 2027 registration year on October 1, 2026.

The approved 2027 fee for covered brokers and leasing companies is $55, an increase from $46 in 2026.

This is a flat fee for the applicable broker or leasing-company category.

Unlike motor carriers, covered brokers generally do not select a UCR fee bracket based on the number of trucks they operate.

The official UCR fee is separate from any optional charge for private filing assistance.

When Is 2027 UCR Registration Due?

Covered businesses must complete annual UCR registration and pay the applicable fee before January 1 of the registration year.

For 2027, that means registration should be completed before January 1, 2027.

A business that fails to register on time may still owe the fee and may be subject to applicable state enforcement.

Freight brokers should verify registration status rather than assuming that an active broker authority record automatically satisfies UCR.

Do Motor Carriers Pay the Same UCR Fee as Brokers?

Not necessarily.

Motor carriers and certain freight forwarders generally pay fees based on the applicable vehicle bracket.

The approved 2027 UCR fees are:

Motor carrier vehicle bracket2027 UCR fee
0–2 vehicles$55
3–5 vehicles$167
6–20 vehicles$333
21–100 vehicles$1,163
101–1,000 vehicles$5,548
1,001 or more vehicles$54,165

The correct bracket must be determined under UCR’s vehicle-counting rules.

A motor carrier should not automatically use its current number of drivers or available trucks without reviewing the applicable calculation.

Does UCR Registration Prove a Carrier Is Safe?

No.

UCR is an annual registration and fee program.

It is not a safety rating, insurance policy, carrier-vetting certification, or guarantee that a motor carrier meets every FMCSA requirement.

A broker evaluating a carrier should not rely on UCR registration alone.

Other relevant information may include operating authority, insurance status, available safety ratings, inspection history, and the carrier’s actual operating circumstances.

The Montgomery decision did not create a new UCR-based carrier selection standard.

Why Small Carriers Should Review Their Records

Motor carriers seeking freight from brokers may face questions about their operating and safety information.

A broker may review a carrier’s USDOT status, authority, insurance, SAFER profile, and other available records.

If information is inconsistent, the broker may request clarification before approving the carrier.

Small carriers should maintain accurate registration information and retain documentation of required filings.

UCR registration is one part of that broader administrative process.

UCR and MCS-150 Are Different Requirements

An MCS-150 filing is used to maintain specified USDOT registration information.

UCR is an annual registration and fee obligation.

Completing one does not automatically satisfy the other.

For example, a carrier may have current MCS-150 information but still need to complete its 2027 UCR renewal.

A freight broker may have active federal broker authority but still be required to register under UCR.

Businesses should review each requirement independently.

What About Motus Registration?

FMCSA launched Motus, its modernized USDOT Registration System, in May 2026.

The system supports federal registration account management and related actions.

UCR registration remains a separate process administered through the UCR Plan’s registration system.

Businesses should not assume that creating a Motus account automatically completes annual UCR registration.

Similarly, paying a UCR fee does not substitute for maintaining required federal registration information.

A Practical Annual Checklist for Freight Brokers

Freight brokers should maintain a calendar covering their recurring business obligations.

Relevant areas include:

  • Federal broker authority status
  • Required surety bond or trust fund arrangements
  • Process agent filings
  • Annual UCR registration
  • Company registration information
  • Carrier selection procedures
  • Insurance verification practices
  • Contract and record retention policies
  • Authorized account access
  • Internal compliance reviews

Not every item is an annual filing, but each should have an assigned responsible person and appropriate review schedule.

What Should Small Motor Carriers Track?

Small carriers should maintain a separate compliance calendar covering applicable USDOT registration, UCR renewal, insurance, driver qualification, hours-of-service, drug testing, and vehicle maintenance requirements.

A current UCR registration does not replace those safety obligations.

Likewise, maintaining strong safety records does not eliminate an annual UCR requirement.

Keeping the requirements separate helps avoid missed deadlines and unnecessary filings.

Frequently Asked Questions

Did Montgomery change UCR registration requirements?

No. The Supreme Court decision concerned federal preemption of certain state-law negligent-hiring claims against freight brokers.

Do freight brokers need annual UCR registration?

Covered freight brokers are subject to the UCR program and must register annually.

How much is the 2027 UCR fee for brokers?

The approved fee for covered brokers is $55.

Does UCR registration protect a broker from negligent-hiring lawsuits?

No. UCR registration does not create immunity from civil liability.

Does paying UCR mean a motor carrier has active authority?

No. UCR registration and federal operating authority are separate matters.

Where can a business register directly?

The official UCR Plan provides registration access at Home – UCR .

Prepare Your 2027 UCR Registration

The Montgomery decision is an important development in freight broker liability, but it does not change the need to satisfy separate annual registration requirements.

Freight brokers and motor carriers should verify their UCR obligations, review the approved 2027 fees, and complete required registration before the new year.

Home – Renew UCR – Online Compliance Services provides private assistance with annual UCR registration and renewal.

Visit Home – Renew UCR – Online Compliance Services or call (800) 655-6697 for assistance with your UCR registration requirements.

Home – Renew UCR – Online Compliance Services is a private registration assistance service and is not the UCR Plan or a government agency. Covered businesses may register directly through the official UCR system without using a third-party service.

This article provides general regulatory information and is not legal advice.

Table of Contents

Published By:

Ethan Aberbuch

Founder & Head of Product & Engineering

Published on May 13, 2026

A trucking industry veteran of seven years, he established the company using personal savings and payday loans. He now leads a team of over 25 professionals who serve more than 10,000 truckers across the nation. With roots in CA logistics, moving items ranging from phone cases to frozen sandwiches. Currently, he leads our compliance roadmap and in-house fleet.

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