Household Goods Shipping Consumer Protection Act
Summary
S. 337 would strengthen consumer protections in the household goods shipping and moving industry by giving the Federal Motor Carrier Safety Administration (FMCSA) authority to assess civil penalties against companies that violate registration requirements and engage in fraudulent practices. Currently, a 2019 court ruling limits FMCSA's ability to penalize violators directly, requiring the Department of Justice to pursue cases in federal court instead. If enacted, this bill would reverse that limitation and allow FMCSA to act more quickly against bad actors.
The bill also establishes clearer registration standards by requiring shipping companies, brokers, and freight forwarders to designate a single principal place of business and disclose any common ownership or management relationships with other transportation entities. These transparency requirements aim to prevent fraudsters from hiding behind multiple shell companies. Additionally, the bill would allow states to use federal grants to enforce household goods shipping regulations and retain collected fines, giving states more flexibility and financial incentive to participate in enforcement efforts.