THE SHORT ANSWER
What should you review in a freight agent contract?
Read the agent agreement as a complete working arrangement: which customers you may serve, how you earn and receive commission, what support you get and what costs or liabilities remain yours.
Watch the original lesson.
What to look for in a freight agent contract ↗
Freightskills · Luis Uribe. This lesson reflects its original recording period.
What should you review in a freight agent contract?
Luis’s five-part review starts with a simple idea: a brokerage should provide value in exchange for its share of the business. Before signing, understand what you are expected to bring and what the brokerage will actually do for you.
Put the written agreement beside the recruiting conversation. If an important promise appears only in a phone call, ask how it will be documented. The point is to uncover differences before you have customers and commissions depending on the relationship.
Check customer restrictions and compensation
Read confidentiality, customer ownership, nonsolicitation and other restrictions carefully. Identify how the agreement treats accounts you bring with you versus accounts developed while working with the brokerage. Ask what happens when the relationship ends.
For compensation, confirm the calculation, deductions, adjustments and treatment of losses or claims. A percentage means little until you know the amount it applies to. Restriction enforceability and worker classification depend on applicable law and facts, so have those questions reviewed by qualified counsel.
Find out what back-office support really includes
Ask who handles credit approval, carrier onboarding, billing, collections and shipment exceptions. Find out whom you contact when an issue needs an immediate decision and whether support is available when your freight moves.
Luis values a brokerage that can reliably fund and administer its commitments. Ask specific operating questions instead of accepting “full support” as a complete answer. Your workload will depend on what those words mean in practice.
Confirm payment timing and the tools provided
Ask when a commission is earned and when it is paid. Is payment tied to invoicing, customer collection or another event? Request an example showing the path from delivery documents to your commission statement.
Finally, list the tools provided and who pays for them: email, phone, load board, TMS, CRM and marketing materials. Compare the total arrangement rather than choosing only the largest split. Clear expectations give both the agent and brokerage a better chance to work well together.
