Legal Question in Business Law in Louisiana
Do carriers have these rights?
Oil field transportation today. A unique situation has arisen in the oil field transportation business. We must be leased to a major carrier in order to haul for major oil companies. Through our leases the carrier has gained complete control over who, when, what, how and for how much we can haul equipment. I cannot haul for service companies I have done business with in the past. Not only haave the carriers signed these contracts/alliances to exclusively haul the oil companies equipment but have fixed these rates without any consideration given to the independent owner/operator. This issue has become very complicated and we don't know where or who to turn to??? I have spoken to an agent with the F.D.C. and am waiting for his reply on what he said was a very interesting situation. Thank You,
1 Answer from Attorneys
Answer a question with a question....
I am confused as to why you (I presume you are an independent owner/operator) cannot simply negotiate/bid/deal directly with major oil companies to haul their equipment--is this something which is the industry-standard policy of the oil companies (i.e., don't deal with "little guys") or is this just your own perception of what you must do to get work from major oil companies (i.e., "...we MUST be leased to a major carrier in order to haul for major oil companies...") because it's tough to try and get these contracts without being "hooked up to" a major carrier? Or is there some transportation regulation or law that requires you to be leased to a major carrier for this kind of work?
If there is no regulation or law requiring you to be leased to a major carrier, I don't see what is stopping you (other than current oil company business policy and/or lack of the right business connections) from bidding on these hauling contracts yourself as an independent.... You could probably haul for less than the major carriers are charging and provide better service, to boot...
Maybe you and several of your fellow independents could pool resources/connections/etc. and find out what the major oil companies' policies actually are/require and do whatever it takes to get the work....
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