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- Opportunity: Our client, one of the world’s largest logistics companies, was sued in Oklahoma federal district court by a plaintiff that claimed, on its own behalf and on behalf of shippers nationwide, that our client tied its sales of transportation services on parcels valued at less than $100 to the sale of insurance for those parcels.
- Solution: We contended that its promise to reimburse the value of lost packages under $100 was not insurance, but was limitation of liability under the Carmack Amendment, the federal statute controlling and limiting the liability of contract carriers. We also demonstrated that the client’s agreement to pay for loss and its agreement to ship were not separate products and could not be subject to tying arrangements.
- Result: The court accepted our arguments in full and dismissed the case against our client.
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