Carmack Amendment (US domestic truck): liability limits and deadlines
Carmack makes the receiving or delivering carrier liable for the full actual loss to cargo moving in interstate commerce, with few defences. In practice, most LTL and many truckload contracts cap liability through released rates or tariff limits, so the 'full value' default is often contracted away.
Full name: 49 U.S.C. § 14706, liability of carriers under receipts and bills of lading
Status: In force (US federal statute)
Mode: US domestic truck
Carrier's liability limit
The carrier is liable for the actual loss or injury to the property (full actual loss) (§ 14706(a)(1)), unless the shipper agreed in writing to a released rate that limits liability to a declared value (§ 14706(c)). Many LTL tariffs set released values per pound.
Calculate a Carmack Amendment limit
Notice, claim and time-bar deadlines
- Claim filing
- The carrier may not set a period shorter than 9 months to file a written claim (§ 14706(e)(1)). Check your bill of lading: 9 months is the usual term.
- Time bar (suit)
- The carrier may not set less than 2 years to sue, computed from the date the carrier gives written notice that it has disallowed any part of the claim (§ 14706(e)(1)).
- Claim rules
- Federal claim-processing rules: 49 C.F.R. Part 370 (acknowledgment within 30 days; pay, decline or settle within 120 days where possible).
Who it applies to
Motor carriers and freight forwarders subject to US federal jurisdiction, including the US portion of shipments to or from Canada and Mexico.
Of the 20 countries we cover, these are parties or apply it: United States.
Important notes
- Brokers are generally not 'carriers' under Carmack; check who issued the bill of lading.
- Enter a released rate (US$ per lb) in the calculator if your bill of lading or tariff has one.
FAQ
If Carmack says 'full actual loss', why insure?
Because released rates are common, carriers can be insolvent or uninsured, and Carmack's carrier defences (act of God, act of shipper, inherent vice, public enemy, public authority) leave gaps.
Primary sources
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Prototype: this form is not connected yet and stores nothing.General information only, not legal or insurance advice. Limits depend on the contract, the documents issued, declared values, national law and the facts of each case. Check the primary sources and consult a qualified professional before relying on any figure.