Senate Committee advances bipartisan bill to combat freight fraud

The Transportation Intermediaries Association (TIA), the voice of the $343 billion third-party logistics (3PL) industry, applauds the Senate Commerce Committee’s unanimous advancement of the Household Goods Shipping Consumer Protection Act (S. 337) - a critical, bipartisan effort to strengthen federal tools to combat fraud in the freight marketplace.

Championed by Senators Deb Fischer (R-NE) and Tammy Duckworth (D-IL), the legislation seeks to restore and enhance the Federal Motor Carrier Safety Administration’s (FMCSA) authority to address fraud and deceptive practices in freight transportation. Specifically, the bill grants FMCSA essential enforcement powers to:

• Access civil penalties for unauthorized brokerage activity

• Enforce the principal place of business requirement

• Examine commonalities among companies registering for operating authority

“This bipartisan legislation gives FMCSA much-needed tools to protect consumers from fraud in the interstate shipment of goods,” said TIA President & CEO Chris Burroughs. “With freight fraud costing the industry an estimated $35 billion annually, this bill equips the agency to protect consumers, businesses, and the supply chain. We thank Senators Fischer and Duckworth for their leadership in addressing this growing crisis and helping restore integrity to the freight network.”

With the bill now reported out of Committee and added to the Senate Legislative Calendar, this marks a crucial first step in the legislative process. TIA will continue to work with Senate and House champions - Representatives Eleanor Holmes Norton (D-DC) and Mike Ezell (R-MS) - to move the legislation toward full passage and implementation. Including this measure in the upcoming Surface Transportation Reauthorization would deliver long-term protections for the industry and strengthen overall supply chain resilience.

TIA also commends its members for their continued advocacy in support of legislative solutions. As detailed in the TIA State of Fraud in the Industry – April 2025 Report, freight fraud has surged by 1,500% since 2021, endangering small businesses, raising costs for consumers, and straining supply chain operations nationwide.