FR8 Solutions and 22 independent drivers have reached a settlement in a federal civil RICO lawsuit. The drivers accused the company of altering rate sheets and hiding revenue from hauled loads. On July 28, a Florida court dismissed the case with prejudice. The court filings do not disclose the settlement's financial terms.
Plaintiffs and defendants filed a joint notice of settlement on July 27. They told the court they had resolved the matter and were finalizing their agreement. Judge Wendy Berger closed the case the following day. Her order allows either side 60 days to request a final order or reopen proceedings.
FR8 and the drivers worked under agreements that promised drivers 88% of each load's linehaul rate. The complaint claims company records showed smaller rates than FR8 actually received. Drivers claimed FR8 supplied settlement statements and dispatch documents that understated the company's revenue. The lawsuit says those documents reduced their percentage-based payment on individual loads.
One disputed shipment ran from Wood Dale, Illinois, to Gaffney, South Carolina. FR8's system showed a $2,400 rate, while the complaint claims FR8 received $2,500. Another shipment ran from Del Rio, Texas, to Kansas City, Kansas. For that move, the drivers claim FR8 showed $8,000 but received $15,000.
The $7,000 difference represented $6,160 under the drivers claimed 88% formula. Drivers also identified Ascent On-Demand, Active On-Demand and Landstar in disputed transactions. They claimed another company operator revealed different rates during June 2023. FR8 then ended their contracts and locked them out of its mobile application, the lawsuit states.
#settlement #claimed
Plaintiffs and defendants filed a joint notice of settlement on July 27. They told the court they had resolved the matter and were finalizing their agreement. Judge Wendy Berger closed the case the following day. Her order allows either side 60 days to request a final order or reopen proceedings.
FR8 and the drivers worked under agreements that promised drivers 88% of each load's linehaul rate. The complaint claims company records showed smaller rates than FR8 actually received. Drivers claimed FR8 supplied settlement statements and dispatch documents that understated the company's revenue. The lawsuit says those documents reduced their percentage-based payment on individual loads.
One disputed shipment ran from Wood Dale, Illinois, to Gaffney, South Carolina. FR8's system showed a $2,400 rate, while the complaint claims FR8 received $2,500. Another shipment ran from Del Rio, Texas, to Kansas City, Kansas. For that move, the drivers claim FR8 showed $8,000 but received $15,000.
The $7,000 difference represented $6,160 under the drivers claimed 88% formula. Drivers also identified Ascent On-Demand, Active On-Demand and Landstar in disputed transactions. They claimed another company operator revealed different rates during June 2023. FR8 then ended their contracts and locked them out of its mobile application, the lawsuit states.
#settlement #claimed
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