Glossary of Terms
Transcription
Glossary of Terms
Glossary of Terms This Glossary will help you understand terms commonly encountered at Landstar. You’ll find copies of it posted on Landstar’s Internet and intranet sites. A list of abbreviations begins on page 37. 2290 The form used to submit the Federal Highway Use Tax to the IRS. See Federal Highway Use Tax. AA See EDI Codes. AA&E Arms, Ammunition & Explosives. AAR See American Association of Railroads. Accessorial In addition to. Refers to rates and charges, fees for a service in addition to the line-haul rate, such as stop-off charges, detention, and redelivery. Act of Authority of Law One of the five Bill of Lading Contract cause provisions. Exempts a carrier from liability due to the act of a lawful authority without any intervening fault of the carrier, such as seizure of a load of illegal goods wrongfully described or concealed by the shipper, seizure of contraband, stolen or contaminated goods, and in some cases, liquor, drugs, or slot machines in certain jurisdictions. Act of Default of Shipper or Owner One of the five Bill of Lading Contract cause provisions. Exempts a carrier from liability due to improper loading or inadequate packaging, failure to secure closures to prevent leakage, failure to secure internal and/or external components, failure to adhere to specific protective service requirements, etc. Act of God One of the five Bill of Lading Contract cause provisions. Exempts a carrier from liability due to an unforeseeable or inevitable event caused by nature, such as an earthquake, tornado, or hurricane. Act of Inherent Vice One of the five Bill of Lading Contract cause provisions. Exempts a carrier from liability because the commodity (such as fresh produce or meat) will naturally deteriorate or spoil with a lapse of time. Act of Public Enemy One of the five Bill of Lading Contract cause provisions. Exempts a carrier from liability due to military forces of a nation at war with a government. AD Administrative Domain. Addendum An added stipulation to a contract or agreement. See Amendment and Rider. Additional Insured Persons covered by a policy in addition to the named insured. Adjusted Gross Revenue Amount remaining after accessorial charges are deducted. Adoption To accept and make one’s own; a contract principal by which a newly formed corporation (or a surviving corporation in a buyout or merger) accepts a pre-incorporation contract. ADP See Average Day Pay. AF See EDI Codes. AG See EDI Codes. Aged Trial Balance (ATB) A listing of freight bills in date order for open receivables. This listing can be cross-referenced by agency or total outstanding for the account. Landstar Glossary Page 1 of 39 Revised 3/28/05 Agency An agent’s place of business. Agency Code A three-letter code assigned by Landstar to identify an agency. Agency Emulation The name for communications from agent locations using 3164 software to connect to the AS/400 (iSeries 400) in Jacksonville. Agent A person (entrepreneur) who undertakes some business for another. Landstar uses a nationwide network of agents who get loads from customers and look for ways to move them by contacting contractors. Agent Risk Freight charges that have not had proper credit clearance and are subject to being charged back to agency settlements. Agreement An understanding between two or more parties outlining their rights, duties, and obligations; similar to a contract, but in a broader term. Agreement for Sales Agent The contractual agreement between Landstar and the agent. This agreement specifies the responsibilities of both parties and the compensation to be paid to the agent. Air Cargo Freight having prior or subsequent movement by air. Air Cargo and Air Freight are interchangeable terms. Air Carrier An individual or organization engaged in transporting goods for hire by air. Air Freight Freight having prior or subsequent movement by air. Air Freight and Air Cargo are interchangeable terms. Air Ride Tractors and trailers equipped with air bags rather than metal springs as part of the suspension, which produces a smoother ride. Air Waybill The form describing an air freight shipment issued by an air carrier or freight forwarded/consolidator. Each air carrier has its own unique form, but the format and numbering system have been standardized to accommodate computerization. Amendment A change, revision, or modification; a formal statement of such a change. American Association of Railroads (AAR) A promotional group comprised of Class I, II, and regional railroads. AAR publishes material and literature, sometimes acting as a center point for expressing the railroad’s collective position on certain issues, such as blocking and bracing for specific commodities. AAR is not a regulatory agency. American National Standards Institute (ANSI) Administers all national standards. This is the body that represents the United States in developing international standards such as ISO 9002, which is the standard for Landstar’s quality system. American Trucking Association, Inc. (ATA) A lobbying organization in Washington, D.C., representing various sectors of the motor carrier industry. ANSI See American National Standards Institute. Apparent That which is readily seen or open to view. Appendix Supplemental material usually added to an agreement or contract. Apportioned/Apportionment Registration based on a proportional payment of registration fees, whether determined by miles traveled, revenue received, or other similar method. Arbitration A process of dispute resolution by which the parties submit their differences to an arbitrator for resolution. Arbitrator A neutral/impartial person chosen to settle a dispute between two or more parties. Arrival Call Check call meaning the tractor and trailer have arrived at the shipper. Also known as EDI Code X3. Arrive at Consignee Check call meaning the shipment has arrived at the consignee location. Also known as EDI Code X1. Landstar Glossary Page 2 of 39 Revised 3/28/05 AS/400 (iSeries 400) Midrange computer systems for Landstar: BLUE for development and time and attendance, ORANGE for the production site. The Carrier Group Operating System (C.G.O.S.) runs on the ORANGE iSeries 400. Assignment The transfer of one’s property, interests, or rights to another. Assumption The act of adopting or taking possession of another’s obligations, contracts, agreements. ATA See American Trucking Association, Inc. ATB See Aged Trial Balance. Auditing Checking the accuracy of company records to governmental and company requirements. Audits verify the correct transportation charges, rate, and weight on freight bills, and check fuel tax and Department of Transportation (DOT) compliance. Authority Operating rights granted to a motor carrier by a regulatory agency, such as the U.S. Interstate Commerce Commission, its successor agency the U.S. Department of Transportation, or a provincial ministry. AutoQuality Standardized Landstar program to manage and measure our automotive agencies. Auto-Release A billing process by which specific agents are approved to process/release freight bills for certain customers without audit or review. This means Revenue Processing will not be required to audit the freight bill prior to release. Auto Summit Annual automotive meeting held to expose automotive agents to changes and information concerning the automotive industry. Available Loads “Available Loads” on www.landstaronline.com allows BCOs to search for loads that are available for transportation in the desired area. The BCO can then contact the agent via cell phone or satellite to commit to hauling the load. Available Trucks “Available Trucks” on www.landstaronline.com allows agents to search for operators who are available in the desired area to transport freight. The agent can then contact the BCO via cell phone or satellite. Average Day Pay (ADP) The average number of days a customer takes to pay their bills from the date the customer is invoiced. Back-charge A charge or deduction to an agent or contractor commission for an expense item. Back-haul Moving equipment from an area of low volume equipment/freight to an area of high volume. Back Solicit To secretly or privately seek to obtain business directly from a client instead of working through the client’s service provider. Bad Debt Uncollectible accounts receivable that must be written off to expense. BAF See Bunker Adjustment Factor. Balance Due Charges remaining unpaid after payment on a freight bill. Bankrupt A party who is unable to pay debts; a debtor judged insolvent, impoverished. Base Jurisdiction State or provincial governing body where a registrant has an established place of business, where operational records are retained, and in most cases, where the registrant’s vehicles are registered. Base Plate License plate for tractor and/or trailer issued by the base jurisdiction. Basic Transportation Rate A fundamental or starting cost or charge for a transportation service; a fixed cost to a shipper for the transportation of property; usually a generic or default cost to be used in the absence of a more specific charge. BCO See Business Capacity Owner. Landstar Glossary Page 3 of 39 Revised 3/28/05 BCO Services A program/department developed to improve contractor retention by assisting new BCOs in developing successful business strategies. Bill of Lading (BOL or BL) A transportation document that is the carrier’s contract to move freight. It may provide a receipt for the goods tendered to the carrier, and in some cases, it may show the certificate of title for the merchandise. Billing An activity involving the determination of the proper rate and total charges for a shipment and the issuance of a freight bill invoicing for such charges. Bill-to Number A customer number set up in the computer system. Customer address and paperwork requirements are documented for billing purposes. Binders Used to tighten or “bind” chains to secure cargo to a trailer while in transit; also, a written memorandum of the terms of a contract for insurance which gives temporary protection pending investigation of risk or until a formal policy is issued. Bingo Cards A card listing the equipment showing the Interstate Commerce Commission has granted operating authority to Landstar. Replaced in 1994 by the Single State Registration System. Bingo Stamps A stamp placed on a bingo card indicating Landstar has registered with each state. Replaced in 1994 by the Single State Registration System. BL See Bill of Lading. BLUE The name Landstar dubbed the Jacksonville development AS/400 (iSeries 400) computer system. Developed items are then transferred to the ORANGE production system. BlueBird The brand name of one of the Landstar imaging systems within which images are stored. Images for Inway are stored in BlueBird. The BlueBird server physically resides at the Rockford service center. BMC 32 Endorsement Under ICCTA, all carriers are required to maintain cargo liability insurance. If a carrier files bankruptcy or refuses to pay a legitimate claim and the amount does not exceed $5,000 per vehicle/$10,000 per incident, the claimant may seek to recover under provisions of the BMC 32 Endorsement. Insurance deductibles of the carrier do not apply to the recovering party. The insurance carrier is liable for the full amount. A public record is on file with the Department of Transportation (DOT). Bobtail A tractor operating without a trailer. Bodily Injury A legal liability that may arise as a result of the injury (including death) of another person, excluding employees of the insured. BOL See Bill of Lading. Bond A certificate or evidence of a debt that the issuing company promises to pay; security. Bonded Warehouse Receiving area for goods that must be held until duties/taxes are paid. Bracing Securing a shipment inside a vehicle to prevent damage. Break Bulk The consolidation of small individual shipments into a full truckload or the separation of a full load into individual shipments for subsequent movement or delivery. Break-bulk Terminal A facility where break-bulk activities are performed. Broker One who acts for another in making purchases or arrangements for a commission or fee. In transportation, one who arranges transportation by a motor carrier for a shipper. The broker is not responsible for issuing a bill of lading. Brokerage Freight brokered to another carrier that moves on the hauling carrier’s operating authority and insurance. Landstar Glossary Page 4 of 39 Revised 3/28/05 Bulk Unpacked; loose; commodities that are not individually packaged, such as sand, gravel, and liquids. Bulkhead A mechanism, generally built of wood or cardboard and placed in the front of the trailer to secure the cargo from moving forward, to help equalize the weight, and minimize load shifting. Bungee Cords Rubber straps used to secure a tarp or other load covering. Bunker Adjustment Factor (BAF) An accessorial charge assessed by carriers on some ocean container freight shipments to account for fluctuation in fuel costs. Business Capacity Owner (BCO) An individual or company (entrepreneur) who has invested in a small business that supplies hauling capacity (tractors and/or trailers) to a Landstar operating company. Business Interruption A disruption or stoppage of work. The occurrence of some act that is sufficient to suspend production. This is a form of consequential damage that may result due to delays in delivery. Landstar should never agree to assume these types of damages for any reason. Exposure to business interruption damages could result in Landstar liability for catastrophically high claim amounts. Business Model See Landstar Business Model. Cab Card A state-issued identification card that shows the vehicle has been registered with that state. Cabotage The point-to-point movement within Canada by U.S. operators and equipment, or Canadian operators and equipment moving point-to-point shipments within the U.S. Cabotage is illegal on both sides of the border. C.A.B.S. See Continued Awareness of Business and Safety. Canada Customs and Revenue Agency (CCRA) The agency responsible for the administration of Canadian tax, trade, and customs programs, as well as the delivery of economic and social benefits. Additionally, the CCRA has the authority to enter into new partnerships with the provinces, territories, and other government bodies to administer non-harmonized taxes and other services, at their request and on a cost-recovery basis. Canada-United States Transit Manifest This form is used to cover Canadian or American goods moving in-bond through the U.S. or Canada as a means to shorten the mileage traveled. Cargo The freight carried by a transportation provider. Cargo Claim A charge made against a carrier for loss, damage, or delay of freight. Federal regulations require a claim must be made in writing, contain sufficient information to identify the shipment, assert liability for the loss, and make a demand for payment of a specific amount of money. Cargo Claim Supporting Documents The original invoice or a certified copy showing cost of goods, the terms and conditions of sale, the delivery receipt showing exception was noted on delivery, and the original bill of lading or suitable indemnification in lieu thereof. Cargo Control Document The Canadian Customs basic descriptive form for a shipment entering Canada. Carmack Amendment Outlines general liability for motor carriers under receipts and bills of lading. The Carmack Amendment to the Interstate Commerce Act was formerly found under 49 USC 11707 and is now codified at 49 USC 14706. Carrier An individual or organization engaged in transporting goods for hire. Carrier Group The Landstar business entities: Ranger, Gemini, Inway and Ligon. Landstar Glossary Page 5 of 39 Revised 3/28/05 Carrier Group Operating System (C.G.O.S.) The Landstar business entities that operate under a single business processing system. The purpose of the Landstar Carrier Group Operating System is to process all computer transactions for all contractors, broker carriers, agents, BCOs, operators, trailers, and customers through a single system that provides identical business practices. Other benefits include: precision in available truck and load functions, easier and faster load assignments and card-advance procedures, less cumbersome settlements for loads. The Landstar Operating companies that comprise C.G.O.S. are Landstar Ligon, Landstar Inway, Landstar Gemini, Landstar Ranger and Landstar Logistics. Carrier Liability A common carrier is liable for all loss, damage, and delay with the exception of acts of God, acts of a public enemy, acts of a public authority, acts of the shipper, and the inherent nature of the goods. Cartage Hauling goods between locations in the same town, city, or contiguous municipalities. See Drayage Carrier and Local Cartage Carrier. Cash List A list of customers whose credit privileges are suspended and/or whose business practices do not meet Landstar’s requirements. Payment of freight charges is required from these customers before or at the time freight is delivered. Cash on Delivery (COD) The operator collects payment for the value of the shipper’s goods only. This does not pertain to freight charges. COD charges must be payable as instructed by the shipper and submitted to Landstar. The carrier is liable for all uncollected charges. CCRA See Canada Customs and Revenue Agency. CDL See Commercial Driver’s License. Certified Funds A cashier’s check, money order, or other form of payment guaranteed by a bank. CF 7533 See Customs Form 7533. CFR See Code of Federal Regulations. CGL See Commercial General Liability. C.G.O.S. See Carrier Group Operating System. Chains Steel chains used to secure cargo to a flat bed, step deck, or other non-sided trailer; also, tire chains which must be placed on certain tires of the tractor and trailer while traveling in snow. Change An alteration, modification, or addition. Chassis A piece of equipment that looks like a trailer without a bed; used to transport freight containers that move on railroads and steamships. Check Call A communication from an operator that details the truck’s location and the date, time, and current activity (load pickup, in transit, delivery, etc.). This communication may be a customer requirement or be necessary to allow the BCO/operator to reload. The Check Call record is transmitted to www.landstaronline.com, the agency, and/or the Home Office to update dispatch records. Circuitous Route An indirect route. Claim A charge made against a carrier for loss, damage, delay, or overcharge. COD See Cash on Delivery. Code Blue A settlement issue that has a two-hour window in which we will resolve the matter, unless paperwork re-creation is involved. A “Code Blue’ is sent via GAMES from one department to another, announcing the urgency. Code of Federal Regulations (CFR) Rules adopted by various governmental agencies to implement the laws. See United States Code. Landstar Glossary Page 6 of 39 Revised 3/28/05 COFC See Container on Flatcar. Co-insured To insure jointly. Collect A party other than the shipper is responsible for payment of the freight charges. Collision Insurance A form of automobile insurance that covers loss to the insured’s vehicle due to collision with another vehicle/object or vehicle upset. Collision insurance does not cover bodily injury or property damage arising from a collision. Comchek An electronic money transfer transaction through Comdata that can be issued to an operator while on the road. These can be issued by agents equipped with PCs for pre-trip funds, or by the Landstar Settlements Department for any purpose. The Landstar Card is a more efficient means of money transfer that has replaced the Comchek system. Commercial Driver’s License (CDL) A license issued by state or other jurisdiction in accordance with federal regulations which authorizes an individual to operate a certain class of commercial motor vehicles. Class A – Combination vehicle: Any combination of vehicles with a gross combination weight rating (GCWR) of 26,001 or more pounds, provided the gross vehicle weight rating (GVWR) of the vehicles being towed is in excess of 10,000 or more pounds. Class B – Heavy, straight vehicle: Any single vehicle with a GVWR of 26,001 or more pounds, or any such vehicle towing a vehicle less than 10,000 pounds GVWR. Class C – Small vehicle: Any single vehicle or combination of vehicles that do not meet Class A or B requirements, but are designated to transport hazardous material. Commercial General Liability (CGL) A broad form of liability insurance usually covering business organizations to protect them against liability claims for bodily injury and property damage arising out of the operations, products, and completed operations of independent contractors, but excluding coverage for liability arising out of the use of automobiles; formerly referred to as a Comprehensive General Liability Policy. Commercial Vehicle Operator’s Registration (CVOR) A carrier-monitoring system applicable to all commercial vehicles operating on Ontario highways, including those from other jurisdictions. Commercial Vehicle Safety Alliance (CVSA) An organization of federal and state transportation law enforcement agencies and industry representatives. It sets standards for vehicle and operator out-of service criteria, recommends changes to hazardous materials regulations, and sets standards for issuing decals (CVSA stickers) to vehicles found to be in compliance. Commission Percentage of revenue appropriated to the agent. Commodities Goods, articles, or merchandise shipped. Commodity Codes Identifying codes assigned to freight to categorize it into similar types. Common Carrier • For motor carriage, a for-hire carrier that holds itself out to serve the public, generally at rates and according to terms of service in a published tariff. The carrier must secure operating authority to operate. See Contract Carrier. • For ocean carriage, a Person holding itself out to the general public to provide transportation by water between the United States and a foreign country for compensation that assumes responsibility for the transportation and utilizes a vessel operating on the high seas between a port in the United States and a port in a foreign country. Ocean common carriers may operate pursuant to tariffs or contracts. • For air transportation, a for-hire carrier that holds itself out to serve the public generally. Common carriers that engage in the operation of aircraft ("direct air carriers") must obtain authority to operate in the United States from the Department of Transportation. There are no tariff requirements for air carriers. Company Van A van owned or leased by a Landstar operating company. Comparative Method of comparison; designating a degree of similarity; characterized by systematic comparison, especially of likenesses and dissimilarities. Comparative Negligence Negligence measured in terms of a percentage wherein any damages are based upon the percentage attributable to each party. See Negligence. Landstar Glossary Page 7 of 39 Revised 3/28/05 Compromise Offer An offer to settle for an amount other than initially claimed. Concealed Loss and Damage Loss and damage that is not apparent during a visual inspection of the freight; hidden. Conclusive Beyond question or dispute; decisive. Confidentiality Agreement A promise between two or more parties to share private, classified, restricted, or secret information without disclosure to another party. Consequential Damages Damages that do not flow directly and immediately from the act, but rather as a consequence or result of the act. Consignee A person to whom freight is shipped; the person named in the bill of lading to whom (or at whose order) it promises delivery, usually the buyer. Consignor One who sends or makes a shipment of freight; the person named in the bill of lading as the person providing the goods for shipment, usually the shipper. Consolidation The process of joining together. In shipping, the collection of smaller shipments to form a larger quantity. Constant Surveillance Service (CS) Constant attendance of Department of Defense (DOD) shipments while in transit and in the possession of Landstar. Construction The process of putting something together; the way something is made or formed by combining or arranging parts. Contact DP Contact Data Processing; a term used on a freight bill that cannot be completed without programmer action due to a revenue-versus-expense problem, excess revenue, or contractor problems. Container A cargo holder not permanently mounted on wheels; frequently used to transport freight overseas. Container Locks Locking devices installed in the bed of a flat bed or chassis that secure an intermodal container to the trailer. This is a better securement method than chains or straps. Container on Flatcar (COFC) A container without wheels traveling on a railroad flatcar. Container Prefix A four-letter designation that precedes the container number and is displayed on the container. Continued Awareness of Business and Safety (C.A.B.S.) A 120-day program designed to improve safety and reduce BCO turnover. New BCOs and operators are required to attend the C.A.B.S. program between 90 and 120 days after they qualify to haul for Landstar. This program includes a morning safety meeting and an optional afternoon session devoted to the business aspects of successful operations. The program is offered at several convenient locations. BCOs who attend are provided one night’s free lodging upon request, and will be compensated upon completion of the morning safety session. Contract A legally binding agreement. In transportation, an agreement that provides the rates, rules, and regulations applicable to contract carriage. Contract Carrier For motor carriage, a for-hire carrier that serves only shippers with which the carrier has a negotiated contract defining rates and service terms. The carrier must secure operating authority to operate. See Common Carrier. Contract Precedence A condition that establishes and prioritizes the contract language over any conflicting or contradictory language found elsewhere; establish a priority. Contractor An individual or company that enters into a contractual agreement with Landstar to perform specified services for a specified compensation; the carrier of freight (may refer to operators, agents, BCOs, or other carriers contracted to deliver a Landstar load.) Contractor Protection Plan (CPP) An “occupational injury policy” that may be issued to a BCO in the event the BCO does not obtain his own Workers Compensation Policy. Landstar Glossary Page 8 of 39 Revised 3/28/05 Contracts of Carriage (negotiated) 49 USC 14101 (b) requires shippers and carriers who opt to negotiate their own contracts to provide for specified services under specified rates. Provisions governing registration, safety, fitness, or insurance are not allowed to be excluded. Contributory Negligence See Comparative Negligence. Cooked Load A load that was improperly shipped and has been ruined by either heat or cold; usually produce. Core Values Essential ideals, expected to be understood and practiced by Landstar employees, which guide our fundamental behavior when dealing with fellow employees, agents, capacity providers, and customers. Counterclaim A claim presented by one party that will diminish or defeat another party’s claim. CPP See Contractor Protection Plan. Credit Reference A company or bank that can furnish information regarding the creditworthiness of a potential customer. Critical Success Factor A key activity that must be accomplished effectively for an organization to succeed and prosper. An industry- or organization-specific goal that can be managed and measured. Cross-Liability A provision that permits a covered party to be both an insured and a claimant simultaneously; usually obtained when one party requires additional insured status on another party’s liability policy. The additional insured party does not want its insured status to eliminate coverage for liability the other party may have to it. The liability of one insured to another is often called “cross-liability.” The commercial general liability and most umbrella liability policies contain a Separation of Insured clause that preserves coverage for one insured against another insured. This clause establishes separate coverage for each insured under the policy, except as respects the policy limits. Policies containing this provision do not require a separate endorsement to effect cross-liability coverage; for this reason, contracts should generally not require cross-liability endorsements. Also known as a Severability of Interest. CS See Constant Surveillance Service. CSA See Customs Self-Assessment. Customer Whoever is paying the freight charges (may be the shipper, consignee, broker, or a third party logistics provider). Customer Master Computer file of all account numbers in Landstar’s system or on an individual PC. Customer Number An account number assigned to an individual customer that records location, sales, credit, and collection history. Customs The agencies charged with regulation, oversight, and enforcement of a country’s laws and regulations for import/export of goods. Customs Broker Licensed agent whose function is to handle the process of clearing goods through customs. Customs Duties Taxes on the importation and exportation of commodities. Customs Form 7533 United States Inward Cargo Manifest form required for each individual shipment that may be consolidated into a single load for goods/cargo entering the United States. U.S. Customs will not release a shipment until this form is properly prepared and submitted. Customs Self-Assessment (CSA) An expedited clearance process offered by the Canada Customs and Revenue Agency (CCRA) to approved importers of certain commercial goods in an effort to expedite border crossings into Canada. This clearance process requires CSA-approved carriers to use operators who have obtained their FAST or CDRP card. Customs Service The branch of government that collects taxes, tolls, or duties levied on goods that pass a frontier or border entry point. These fees generally apply on goods imported into the country. CVOR See Commercial Vehicle Operator’s Registration. Landstar Glossary Page 9 of 39 Revised 3/28/05 CVSA See Commercial Vehicle Safety Alliance. Cycle of Continuous Improvement The documented process of continually improving procedures to improve efficiency and reduce and/or eliminate rework. An integral part of Landstar’s corrective and preventive action ISO process. D&B See Dun & Bradstreet. DAC Service A national company that provides employment and other pertinent information on potential operators and BCOs. Damage Loss, injury, or deterioration caused by the fault, negligence, wrongdoing, failure or accident of one party to another. Damages Money to be paid as compensation for loss, injury or deterioration. Dangerous Goods Any product, substance, or organism included by its nature or by the regulations in any of the nine dangerous goods classes issued by the Canadian government; called Hazardous Materials in the United States. DAT Service National company that provides load and truck matching service. Day Cab A tractor without a sleeping compartment. DD 1907 See Signature Tally Sheet. DDPS See Dual Driver Protective Service. Deadhead The movement of a tractor pulling an empty trailer. Declared Value The value of the goods listed on a bill of lading by the shipper for the purpose of determining a freight rate and/or the limit of the carrier’s liability. Declared Value and Released Value are interchangeable terms. Defend To protect or to agree and indemnify; to represent in administrative, civil, or criminal proceedings. Defendant A person required to make answer in a legal action or suit; the person defending or denying; the party against whom recovery is sought. Defense Transportation Tracking System (DTTS) A computer-based Department of Defense (DOD) satellite tracking system that monitors operators by reporting locations, in-transit status changes, and emergency situation notifications. It is manned 24 hours a day. Delay To cause to be late; to detain; to prolong. Delivery Receipt Document signed by the consignee indicating receipt of goods shipped. See Proof of Delivery. Demurrage The charge assessed for the shipper/receiver holding equipment beyond the free time allowed for loading and unloading. Free times vary depending on whether under tariff or contract. See Detention. Depart Consignee Check call meaning the freight has been unloaded at the consignee location. Also known as EDI Code X1. Department of Defense (DOD) The U.S. government agency responsible for maintaining the country’s military establishment headed by a civilian member of the President’s cabinet. The DOD is the nation’s largest transportation consumer. Department of Transportation (DOT) An executive governmental department responsible for the transportation programs of the U.S. government; headed by the Secretary of Transportation; including but not limited to the Federal Railroad Administration, Federal Highway Administration, Federal Aviation Administration, Federal Transit Administration, and Federal Motor Carrier Safety Administration. Departure Call Check call meaning the tractor and trailer are leaving the shipper location. Deregulated Reduction and/or elimination of government regulation to allow free market competition to grow and prosper. Landstar Glossary Page 10 of 39 Revised 3/28/05 Deregulation Revisions or complete elimination of economic regulations controlling transportation. The Motor Carrier Act and the Staggers Act, both of 1980, revised the economic controls over motor carriers and railroads, while the Airline Deregulation Act of 1978 will eventually eliminate economic controls over air carriers. Detention The charge assessed by the motor carrier when the shipper/receiver holds a truck/trailer beyond the free time allowed for loading and unloading. See Demurrage. DFL See Double Floor Loader. Dishonest Lack of fairness; to cheat, deceive, or defraud. Dispatching The act by which an operator is informed of actual pick up and destination; generally performed by a dispatcher. Distress Load A load in which the original dispatched equipment has picked up the freight from the shipper, but for whatever reason, cannot continue to destination. Another power unit must be located and routed to the distress location for continuation of movement to destination. Docubase The brand name of one of the Landstar imaging systems within which images are stored. The Docubase server physically resides at the Jacksonville service center. Document A written or printed instrument that can be used to furnish evidence or information. DOD See Department of Defense. Dolly A single- or tandem-axle piece of trailing equipment used to hook two or more trailers together. Domestic Freight Freight that is traveling within the United States (including Alaska and Hawaii). Domicile Agency The home station of the operator and/or the truck. The domicile agency of the operator is always the same as the tractor to which he or she is assigned. DOT See Department of Transportation. DOT # A sequential number used to identify motor carriers assigned by the Department of Transportation. Double Drop A special trailer with no sides that steps down at both front and rear; used to transport big machines and over-height loads. The center section is only inches from the ground. Double Floor Loader (DFL) A van trailer with a removable second floor, usually installed on metal bars connected to logistics posts or rails; allows double stacking of freight such as transformers, engines, and other irregularly shaped freight. Doubles Shorter trailers, usually measuring from 26-29 ft., that may be pulled separately or in pairs; also known as twins or pups. Some states allow the movement of two full-size trailers on specific highways. Draft A roughly written document for purposes of review, discussion, and correction which will ultimately be prepared into a final form; also, an order written by the first party (the drawer) instructing the second party (the drawee/bank) to pay money to a third party (the payee). Drayage Carrier A motor carrier that operates locally, providing pick up and delivery service. Driver Assist in Unloading The operator moves freight to the tailgate of the trailer. Driver Collect The operator is responsible for collecting payment of freight charges at the time of delivery, prior to unloading the goods. Cashier’s check, certified check, or money order must be made payable to the Landstar operating company and submitted in the trip envelope. The Credit Department will instruct the operator what type of payment to pick up. Failure to secure payment can result in the contractor being held responsible for the freight charges. Landstar Glossary Page 11 of 39 Revised 3/28/05 Driving Time Regulations Rules administered by the Department of Transportation (DOT) that limit the maximum time an operator may drive in commerce; both daily and weekly maximums are prescribed. Drom Box located on the back of the tractor, used primarily to transport explosives, LTLs, or non-compatible freight. Drop Deck Specialized flatbed equipment designed to transport over-height articles. Drop Deck and Step Deck are interchangeable terms. DTTS See Defense Transportation Tracking System. Dual Driver The use of two operator s to drive a truck equipped with a sleeper berth. Operators take turns; one sleeps in the berth, accumulating the mandatory off-duty time, while the other drives. Dual Driver Protective Service (DDPS) Surveillance shipments through the use of two (dual) qualified operators in the same line-haul vehicle. Dual Operation A motor carrier that has both common and contract carrier operating authority. Generic operating authority is issued. Transportation service provided under an agreement entered into under 49 USC 14101 (b) will be Contract Carriage and transportation service, other than above will be Common Carriage. DUBL Trailer code for double-drop trailers. Dun & Bradstreet (D&B) A national firm that provides credit risk analysis for potential customers. Dunnage Materials used to package freight for easier loading and transport, such as pallets; wood and other materials (like cardboard) used for blocking and bracing or otherwise protecting freight; sometimes placed under cargo to facilitate unloading. Duty A tax levied by a governmental agency on import shipments. ECIS See Electronic Carrier Information System. EDI See Electronic Data Interchange. EDI Codes AA – The scheduled pick up time. AF – The departure from the shipper location. AG – The ETA for delivery. Envelope – The transmission of codes AA, AF, and AG together. X1 – Delivery at the consignee location. X3 – Arrival at the shipper location. eFr8.com Landstar’s Internet load/truck board offers online access for contract carriers to easily obtain Landstar brokerage freight information in a search and alert, Web-based format. eFr8.com is accessible by the general public and offers standard, POST-ONLY accounts at no charge to users. The eFr8 “loads” database contains all of Landstar’s brokerage freight procured by Landstar agents. Non-Landstar freight brokers may post their brokerage loads to eFr8 as well. No line-haul rate information is published within load postings. eFr8’s “truck” database displays contract carriers’ postings of their available hauling equipment. No Landstar trucks are posted to eFr8 through Landstar’s systems. Users may opt to upgrade their post-only eFr8 account to a fee-based account to gain access to the load/truck search and alerts features. eFr8.com is a registered trade name of Landstar System, Inc. and is protected by copyright, all rights reserved. Electronic Carrier Information System (ECIS) No longer used. Connects BCOs, brokers, and agents to the network, enabling them to access available trucks and loads, their delivered and undelivered loads, and their settlements history. Electronic Data Interchange (EDI) The interchange of billing, status, and other information between our computer and our customer’s computer via telephone or other electronic communication link. Employee A person who works for another in return for financial or other compensation. A person in the service of another where the employer has the right to direct and control the employee in the details of how the work is to be performed. Landstar Glossary Page 12 of 39 Revised 3/28/05 Employer One who hires employees to perform certain acts or functions. Endorsement The act of acknowledging, validating, or approving, such as a signature on a contract. Entrepreneur An independent contractor or business person who accepts significant risk in exchange for the opportunity of great reward. A risk-taker who thrives on challenge and individual opportunity. Landstar agents and BCOs are entrepreneurs. Entry The paperwork and documentation necessary to import goods into the U.S. or Canada. Envelope See EDI Codes. Equipment The rolling stock of a transportation company, such as tractors and trailers. Escrow Funds held in reserve to ensure payment of forthcoming expenses. Estimated Time of Arrival (ETA) A window of time provided to a customer so they can plan accordingly to receive, unload, and use the product being shipped. Estimated Time of Delivery (ETD) The time when the trailer will be completely empty after arrival and unloading at the consignee. ETA See Estimated Time of Arrival. ETD See Estimated Time of Delivery. Evidence Something that furnishes proof. Excess Cargo Liability The amount of cargo liability beyond the dollar amount of usual cargo coverage. Excise Duty and/or tax on certain articles produced and/or consumed within a country, such as alcohol and tobacco. Exclusive Use Limited or specific use; carrier equipment that is used exclusively for movement of a specific load of freight. This instruction must be documented on the bill of lading for collection of payment to the contractor. Exemplary Damages See Punitive Damages. Exempt Freight Commodities that are not subject to federal regulations (such as produce and ordinary livestock). Expedited Service The immediate dispatch of equipment for accelerated pick up and delivery service. Expediting Non-stop delivery of freight with adherence to Department of Transportation (DOT) hours of service. Export The transportation of goods from one country to another, such as the transportation of goods from the United States to a foreign country. Export Declaration See Shipper Export Declaration. Extendable An open trailer (flatbed, step deck, etc.) that can be lengthened to transport loads that are too long for a normal trailer. External Auditor An independent third party charged with reviewing Landstar’s procedures and records to determine if they are in compliance with some agreed-to standard. For example, Landstar uses external auditors to review financial, safety, and ISO compliance. Extranet A network that allows a company to share information with other businesses and customers. Extranets transmit information over the Internet and require a user to have a password to access data on internal company servers. Extra Provincial Movement of a commercial vehicle from one province/territory to another. FAA See Federal Aviation Administration. Landstar Glossary Page 13 of 39 Revised 3/28/05 FAK See Freight All Kinds. Federal Aviation Administration (FAA) The federal agency that administers federal safety regulations governing air transportation. Federal Highway Administration (FHWA) The division of the Department of Transportation in charge of the nation’s highway system. Administers federal aid for highway construction, develops safety standards, has jurisdiction over safety of commercial motor carriers engaged in interstate and/or foreign commerce. Federal Highway Use Tax (FHUT) Taxes assessed by federal and state governments against users of the highway, such as fuel tax. The use-tax money is used to pay for the construction, maintenance, and policing of highways. Taxes are submitted to the IRS on Form 2290. Federal Maritime Commission (FMC) United States agency with oversight of rates and practices of ocean carriers shipping to and from the United States. Federal Motor Carrier Safety Administration An administrative arm of the Department of Transportation; this agency has the authority to audit carriers’ safety and cargo claim records and procedures for compliance with federal regulations. Federal Statutes Federal law as provided in 49 CFR that governs interstate transportation. FHUT See Federal Highway Use Tax. FHWA See Federal Highway Administration. Fifth Wheel A device used to connect a tractor to a semi-trailer. Firewall A system designed to prevent unauthorized access to or from a private network (intranet). Firewalls are frequently used to prevent unauthorized Internet users from accessing private networks connected to the Internet, especially intranets. All messages entering or leaving the intranet pass through the firewall, which examines each message and blocks those that do not meet the specified security criteria. Flammable Liquids Liquids that produce vapors that may become combustible at a certain temperature. FLAT Trailer code for flatbed trailers. Flatbed A semi-trailer with no sides or with detachable sides. Flat Rack Container A container without sides or frame members at the front and back that is used for carrying awkward and oversize loads such as machinery, cables, drums, forest products, and heavy vehicles. A flat rack container can be loaded from the sides and top. Flat-Tainer A container with folding bulkheads used much like a flatbed conventional trailer, but not mounted on permanent wheels (uses a chassis). Fleet Code A two-character identifier that applies to tractor, trailer, and truck operator master records; it indicates the compensation package/arrangement with the Landstar operating company with which there is a contractual arrangement. It can be used to determine the company of the equipment. It cannot be used to determine the company of a contractor, because there may be multiple companies for one contractor. Flip Axle An extra axle at the rear of an open trailer (generally a double-drop, lowboy or RGN) that can be used when the weight of the cargo dictates the use of an additional axle to meet legal weight limits. FMC See Federal Maritime Commission. FOB See Free On Board. Focus Group A group selected to analyze a problem with the objective of identifying and defining the root cause. Force Majeure A superior or irresistible force; a common term included within a contract that protects the parties from a failure to perform due to causes outside the control of the parties, such as earthquakes, storms, and floods. Landstar Glossary Page 14 of 39 Revised 3/28/05 Foreign Trade Zone Sometimes called “Free Trade Zone,” an area in the United States such as an assembly plant, warehouse, port, or airport sanctioned by United States Customs in which imported goods are exempt from duties until shipped for domestic sale or use. The intent is to attract and promote international trade and commerce. Form 2290 The form used to submit the Federal Highway Use Tax to the IRS. See Federal Highway Use Tax. FQDN Fully Qualified Domain Name. Frame Relay Dedicated communication line and software used to communicate between agents or a customer’s office and the C.G.O.S. AS/400 (iSeries 400) in Jacksonville. Free On Board (FOB) A term of sale that defines who is to incur transportation charges for the shipment, who is to control the movement of the shipment, or where title to the goods passes to the buyer, originally meant “free-on-board” ship. Free Time The periods allowed for the customer to load or unload before demurrage or storage charges begin to accrue. Free Trade Agreement (FTA) An agreement between the United States, Canada, and Mexico that will impact cross-border operations where many duties and taxes will be substantially reduced or eliminated on goods wholly produced or substantially processed within one of the three partners and exported to either of the other two. Free Trade Zone See Foreign Trade Zone. Freight Goods transported as cargo by a carrier. Freight All Kinds (FAK) Generic term used to describe all or a portion of the goods contained in a shipment that are not specifically classified according to the provisions of the National Motor Freight Classification. Freight Bill The carrier’s invoice for transportation charges applicable to a freight shipment. Freight Charge Charges assessed for transporting freight. Freight Forwarder One who consolidates and assembles small shipments into a single lot and assumes responsibility for transporting such goods from point of receipt to destination. The freight forwarder must issue a bill of lading. FTA See Free Trade Agreement. FTP File Transfer Protocol. Fuel Surcharge Negotiated increase in price that is triggered by the increase in diesel fuel price above a predetermined price. The fuel surcharge is either a percent or price-per-mile increase and is passed 100% to the BCO to help reduce his increased fuel costs. Fuel Tickets Receipts for purchases of fuel. G.A.M.E.S. See General Administrative Messaging Exchange System. GBL See Government Bill of Lading. General Administrative Messaging Exchange System (G.A.M.E.S.) A communication program through which electronic mail messages, commission statements, freight bill errors, and other communications are sent. General Commodities Carrier A motor carrier that has operating authority to transport most kinds of freight. This type of authority typically excludes Class A & B explosives, household goods, and commodities in bulk. General Liability Insurance A form of insurance designed to protect owners and operators of business from a wide variety of liability exposures. These exposures could include liability arising from accidents resulting from the premises, the operations of an insured, or contractual liability. Government Bill of Lading (GBL) A transportation document that is the contract of carriage between the government and the carrier. Landstar Glossary Page 15 of 39 Revised 3/28/05 Green Screen Slang or common term for the look of an AS/400 (iSeries 400) screen. Gross Negligence The intentional failure to perform a duty by indifference or in a reckless disregard of the consequences; a conscious and voluntary act likely to result in injury. Gross Revenue The total amount of money billed to a customer. Gross Weight The total weight of the vehicle and the payload of freight or passengers. Hard Edit or Hard Error A computer edit error that stops the AS/400 (iSeries 400) from accepting a freight bill from L.E.A.D.S.® The order must be corrected by the agency and re-transmitted. Hazardous Materials (HazMat or HM) A commodity requiring special labels or permits because if its dangerous nature, such as explosives, acids, and paint. Also referred to as “HazMat.” Headache Rack A protective barrier attached to the tractor frame, trailer on flatbed, or other platform equipment to prevent cargo from entering the tractor in the event of cargo shifting or a sudden stop. Head-haul Moving equipment from and to areas where equipment at either end is in balance. Heavy Vehicle Operator (HVO) An operator of a heavy vehicle, such as a commercial truck. Hi (or High) Cube Container Any container exceeding 102 inches in height. High Cube Trailer A trailer with above-average cubic content, usually constructed with low floors and thin walls. High Risk Commodities Commodities that are easily converted to cash (such as at flea markets or on the black market), hazardous materials that pose health or safety risks to people and/or the environment, and commodities that would be of value or interest to terrorists or thieves (ammunition, weapons, high-value products, etc.) High Value Shipment Any shipment with a declared or release value exceeding $100,000.00. HM See Hazardous Materials. Hold Harmless Ann arrangement whereby one party agrees to hold another party without responsibility for liability arising out of the named occurrence. A formal effort made by the parties, usually under a contract, to properly affix the responsibilities of the parties for claims that may arise in the future. See Indemnity. Hook-up To connect a tractor to one or more trailers. HOS See Hours of Service. Hostler A person who performs the switching and relocation of equipment on an agency yard; also referred to as a switcher. Hot Freight Unauthorized transportation of freight. Hot Load Emergency shipment of cargo that a customer needs immediately. Hours of Service (HOS) Regulations that refer to the maximum number of hours a operator may legally work within a defined period of time. Household Goods Personal effects and property used, or to be used in a dwelling, the transportation of which is arranged and paid for by the householder. Household Goods Guide A mileage guide used to determine the exact number of miles from the shipment origin to the shipment destination. HTTP Hypertext Transfer Protocol, written http:// on the Internet. HVO See Heavy Vehicle Operator. Landstar Glossary Page 16 of 39 Revised 3/28/05 IANA See Intermodal Association of North America. ICC See Interstate Commerce Commission. ICCTA See Interstate Commerce Commission Termination Act of 1995. IFTA See International Fuel Tax Agreement. ImageViewer The program that retrieves and displays images from within the Landstar Imaging System. Imaging (the process) Digital storage of paper documents for the purpose of providing improved accessibility to the information contained in the documents. Each digital image is stored as a data file. Landstar Imaging System programs allow for retrieving, viewing, printing, faxing, and e-mailing of digital images. Images can also be copied and pasted into Microsoft Office files like Word, Excel, and Outlook. Search keys (or fields) are provided to allow for easy search and retrieval of specific document images. Imaging Department The department that indexes and scans documents into the Landstar Imaging System. Import The transportation of goods into a country from another country, such as the transportation of goods into the United States from a foreign country. In Bond Goods on which a duty or tax is due “in bond” when placed in the custody of a government or bonded warehouse, or goods traveling by a bonded carrier. Bonding guarantees that the duty or tax will be paid. Incidental Damages Damages resulting from a breach of contract. These could include expenses incurred in inspection, receipt, transportation, care, and custody of the goods. Indemnification The act of protecting another party against harm. Indemnity An undertaking whereby one party agrees to protect another party upon the occurrence of a covered, anticipated loss; to protect or secure against loss. See Hold Harmless. Independent Contractor One who contracts to do work according to his own methods, subject to an employer’s control only as to the final result of the work. Ingate A written receipt confirming the date and time the identified equipment was returned to the owner. An inspection of the equipment is performed to note damages that may have occurred to the equipment while in the possession of the carrier. Insurance A contract whereby one party undertakes to compensate the other for loss on a specified subject by specified perils. The party agreeing to make compensation is the insurer or underwriter. The other party is the insured or assured. Insured The person who obtains or who is otherwise covered by insurance. Interactive Voice Response (IVR) Formerly known as the Automated Check Call system. IVR is a call-in system that responds to the caller’s voice or touchtone telephone entries. IVR was created to enable BCOs and operators to make check calls, load their Landstar card with a trip advance, and check their card balance. It uses this input to update the Landstar information system. Interchange Exchange; to switch into the possession of another. Usually pertains to equipment, chiefly the interchange of equipment between steamship/railroad lines and motor carriers. Interchange Agreement A legal document containing the Terms and Conditions of the interchange of equipment. Drayage companies must have an Interchange Agreement document to use steamship or railroad-controlled equipment. Interchange Point The location at which freight is delivered by one transportation company to another. Intercompany Hauling freight for another Landstar operating company. Landstar Glossary Page 17 of 39 Revised 3/28/05 Interline Two or more motor carriers working together to haul a shipment. Equipment may be interchanged from one carrier to the next, but usually the freight is transferred without the equipment. Intermodal Movement by more than one mode of transportation during a single journey, such as railroad and trucking. Intermodal Association of North America (IANA) The leading industry trade association representing the combined interests of the intermodal freight transportation companies. Membership includes railroads, intermodal truckers, highway motor carriers, intermodal marketing companies, water carriers, stacktrain operators, and industry equipment/service suppliers. International Freight Freight that is moving from one nation to another nation. International Fuel Tax Agreement (IFTA) A “one permit, one tax report” agreement among the states. An individual or carrier need only file one registration application for fuel use tax with their base jurisdiction. They will be issued one registration and decal per vehicle to cover the vehicle in all IFTA member jurisdictions. As a result, the registrant is only required to file one tax return with the base jurisdiction, which in turn will apportion the tax funds received and notify the other members of their proportionate share. International Organization for Standardization (ISO) An international organization that develops and approves standards for a multitude of industries and services. ISO standards are currently the minimum requirements for many organizations to compete in the global economy. International Registration Plan (IRP) A base-jurisdiction, vehicle-license registration agreement whereby the member vehicle/carrier’s base jurisdiction issues one license plate and one cab card per vehicle. These are honored by all other member jurisdictions in the agreement, provided all license fees have been paid to each jurisdiction on an apportioned basis. Internet An electronic communications network that connects computer networks and organizational computer facilities around the world; the World Wide Web. Interstate In connection with two or more states. In motor carriage, the transportation of goods from one state to another state. Interstate Authority The regulatory operating authority obtained from the federal government to transport goods between two different states. Interstate Commerce The transportation of persons or property between states. In the course of the movement, the shipment crosses a state boundary line. Interstate Commerce Commission (ICC) Abolished in 1996 with the implementation of the ICCTA. Remaining functions were transferred to the Surface Transportation Board or the Department of Transportation. Interstate Commerce Commission Termination Act of 1995 (ICCTA) The bill abolishing the Interstate Commerce Commission, effective January 1, 1996, thus deregulating the trucking industry and promoting free enterprise. Intertruck Insurance Physical damage insurance covering collision, fire, and theft on trucks and trailers. Intranet A network operating like the World Wide Web but having access restricted to a limited group of authorized users, such as employees of a company. An intranet resides behind a firewall and is accessible only to people who are members of the same company or organization. In-transit Call A check call made en route. Intrastate Existing within the boundaries of a state. In motor carriage, the transportation of goods from a point in a state to another point within the same state. Intrastate Authority The regulatory operating authority obtained from individual states, as required, to transport goods between two points within the state. Intrastate Commerce The transportation of persons or property between points within a state. A shipment between two points within a state may be interstate if the shipment has a prior or subsequent move outside of the state and the intent of the shipper was an interstate shipment at the time of shipment. Landstar Glossary Page 18 of 39 Revised 3/28/05 Invoice A written or itemized statement of merchandise with cost or value. Invoice Cost See Invoice. Inward Cargo Manifest See Customs Form 7533. IP Internet Protocol. IRP See International Registration Plan. Irregular Route Carrier A motor carrier that is permitted to provide service using any route. This type of motor carrier no longer exists. IS Information Services Department. iSeries 400 (AS/400) Midrange computer systems at Landstar: ORANGE is the production site, BLUE is the development site. The Carrier Group Operating System (C.G.O.S.) runs on the ORANGE iSeries 400. ISO See International Organization for Standardization. ISO 9001:2000 The International Standard that defines the requirements for an organization’s quality management system. All Landstar operating companies are registered to the ISO 9001:2000 standard. IVR See Interactive Voice Response. JAC Jacksonville Administration Center. Jacksonville Trip Lease (JTL) A prefix used to represent a Landstar Ranger truck hauling freight tendered by Landstar Ligon or Landstar Inway. Ligon uses prefix LOC, Inway uses prefix QQR. Jake Brake An engine brake that uses the compression of the engine to slow down the unit, saving wear on the normal braking system; a safety feature. JGO Jacksonville General Office. JIT See Just In Time. JTL See Jacksonville Trip Lease. Just In Time (JIT) Shipments that are scheduled to arrive at their destination just as the consignee runs out of the current supply. Kingpin The metal pin on the bottom front of a trailer that is locked into the fifth wheel on a tractor to connect the two units. Kingpin Lock A special lock placed on the kingpin of a trailer that prevents the trailer from being hooked to a tractor. Used for security and to prevent the theft of trailers not hooked to a tractor. Knocked Down An article that is partially or entirely taken apart (not set up). The article must be taken apart, folded, or telescoped to reduce its bulk by at least 33 1/3 percent. Knocked Down Flat An article that must be taken apart, folded, or telescoped to reduce its bulk by at least 66 2/3 percent. L.E.A.D.S.® See Landstar Electronic Administrative Dispatch System. LAMP See Landstar Automotive Managed Process Team. Landstar Automotive Managed Process Team (LAMP) The Landstar team created to standardize automotive processes throughout the Carrier Group. Landstar Glossary Page 19 of 39 Revised 3/28/05 Landstar Business Model Landstar identifies and fulfills shippers’ transportation needs safely and reliably by coordinating the efforts of many independent businesses, including sales agents, business capacity owners (BCOs), broker carriers, and other transportation capacity providers. In every case, these independent businesses are responsible for their own costs. These independently owned and managed businesses are generally compensated on a percentage of the revenue, a percentage of the gross profit (revenue less the cost of transportation), or a negotiated fixed price per load. This innovative, variable-cost approach historically results in Landstar having a lower capital investment, a higher return on invested capital, and cash flow that exceeds its capital. The Company uses the Internet and other technologies to create innovative tools and solutions that enhance its coordination efforts. Landstar also works to reduce the cost of doing business for its capacity providers through various cost reduction programs. Landstar Business Office (LBO) A term no longer used to refer to a Landstar agent’s office. Landstar Card A multifunctional debit card used by truck owners, operators, and agents as a timely, efficient means of making money transfers. Landstar.com Landstar’s Web address. Landstar Communication Network (LCN) The infrastructure that uses cellular technology as its basic mode of truck communication, including the use of automated mass dialing to phone numbers registered in our system. In our security-conscious environment, direct twoway communication is essential. Through the LCN, customers can receive up-to-the-minute shipment status, and BCOs and agents can be confident that help is nearby. Cell phones also enable agents and BCOs to exchange load information in a timely manner. LandstarCompanyStore.com Landstar’s online access for purchasing clothing, accessories, and specialty items carrying the Landstar logo. Landstar Contractors’ Advantage Purchasing Program (LCAPP®) A program formed by Landstar that arranges discounts for Landstar business capacity owners on new and used tractors, trailers, fuel, tires, maintenance, repairs, long distance telephone charges, financing, and other services. Located at www.LCAPP.com. Landstar Electronic Administrative Dispatch System (L.E.A.D.S.®) A proprietary, PC-based, software program designed and maintained by Landstar. Provided free of charge to independent agents contracted with Landstar, it enables communications through the Internet, allowing agents to handle the entire lifecycle of a load. Features include finding data on available freight and capacity, cutting new freight bills, issuing loads and trip advances, compiling data into reports, tracking existing orders, and receiving tractor inspection alerts. Landstar Imaging System The system that stores millions of images; includes Docubase, BlueBird, and short-term storage. It interfaces with ImageViewer, Invoice Print, Fax/Reprints, and the AS/400 (iSeries 400) Workflow Viewer. Landstar Management System (LMS) By executing our Business Model, Core Values, Mission Statement, and Management Principles (the foundations of Landstar), we will achieve “best in class customer satisfaction” while maximizing stockholder equity. The LMS is comprised of all of these things; it is who we are. LandstarOnline An extranet that allows Landstar to share proprietary information with agents and business capacity owners (BCOs). This information is transmitted over the Internet and requires the agent or BCO to have a password to access data on internal company servers. Located at www.landstaronline.com. Landstar Operating System Menu (L.O.S.M.) The link that provides access from www.landstaronline.com to the Carrier Group Operating System (C.G.O.S.) and Logistics’ AS/400 (iSeries 400) application, Freight Bill Image Retrieval. Landstar Safety Officer (LSO) A Landstar employee, agent, or BCO who promotes safety on a daily basis. Every Landstar agency has a safety officer who is responsible for seeing that the Landstar safety culture is incorporated into everyone’s business practices and not just talked about. LBO A term no longer in use. Stood for Landstar Business Office or Local Business Office. LCAPP® See Landstar Contractors’ Advantage Purchasing Program. L.C.G.O.S. See Carrier Group Operating System. Landstar Glossary Page 20 of 39 Revised 3/28/05 LCN See Landstar Communication Network. L.E.A.D.S.® See Landstar Electronic Administrative Dispatch System. Lease A contract or agreement in which one who owns or controls a space, property, equipment or building grants to another the right to possess, use or enjoy it for a specified period of time in exchange for a periodic payments of a specified rent or compensation. Length of Haul The total mileage from the point of origin to the point of delivery including any stop-offs. Lessee One who rents (leases) a space, property, equipment, or building from another. The party who has been given possession of a space, property, equipment or building under a lease. Lessor One who rents (leases) a space, property, equipment, or building to another. Less-than-Truckload (LTL) A shipment that does not require the use of the complete trailer because of lightweight and/or small cubic capacity; a partial load. Multiple LTL shipments can be hauled on a single trailer. Letter of Credit A document issued by a financial institution guaranteeing payment of invoices upon demand, in the event the customer fails to honor payment terms. LFVC See Loaded to Full Visible Capacity. Liability An obligation or debt. Liability Insurance Insurance against losses suffered by outside parties due to negligence of the insured. Lien The right to take, hold, and/or sell the property of another for payment of a debt. A claim on property for payment of a debt. Line Release A procedure that speeds the entry of pre-approved, repetitive, low-risk shipments through Customs. Line-haul The actual movement from pick up to delivery. On rail, it means that portion of movement that occurs on the railroad only. Liquidated Damages The sum that a party to a contract agrees to pay if the agreement is broken. A reasonably ascertainable cost that estimates the actual damage that would occur from a contract breach. Live – Load and Unload Freight that is loaded and unloaded to/from the trailer in the operator’s presence. LMS See Landstar Management System. Load Locks Extendable metal bars that can be installed inside a van trailer to secure freight from movement. Loaded to Full Visible Capacity (LFVC) A load that, because of weight or volume capacity, so fills a trailer that no additional freight can be loaded on the trailer. Local Business Office (LBO) A term no longer used to refer to a Landstar agent’s office. Local Cartage Carrier A company that transports property entirely within the commercial zone of a municipality (or contiguous cities). This may be pick up and delivery service for a line-haul carrier within the limits of a commercial zone. Log A daily record of all operator activities, including the hours an operator spends driving, off duty, sleeping in the berth, and on duty but not driving; officially titled Record of Duty Status. Logistic Track Metal rails installed horizontally in a van trailer to which metal bars are attached to secure freight, or on which a false floor can be installed as a Double Floor Loader. Landstar Glossary Page 21 of 39 Revised 3/28/05 Logistics The procurement, distribution, maintenance, and replacement of personnel and material; the handling of the details of an operation. Logistics Posts Vertical, notched metal posts installed in a van trailer that allow the installation of metal bars at different heights; used to secure freight and install a moveable false floor in a van trailer. LOGV Trailer code for logistics vans (pads, straps). Loose Not packaged. L.O.S.M. See Landstar Operating System Menu. Loss Payee Person named in an insurance policy to be paid in the event of a covered claim. LOWB Trailer code for lowboy trailers. Low Boys Specialized equipment designed to transport over-dimensional shipments. LSO See Landstar Safety Officer. LTL See Less-than-Truckload. Lumper A term applied to a person who assists in the loading and unloading of freight. Managed Account Specific agency customer that has a continuous assigned credit limit. Management Principles The daily manifestation of a company’s Core Values; those actions demonstrated by an organization’s leadership in pursuit of the Mission Statement. Manifest A statement that lists the particulars of all shipments loaded in a car, truck, ship, etc. Manifest # A number assigned to a shipment in order to link pay information. Maquiladora A foreign plant operating under an in-bond program whereby components may be shipped into Mexico duty-free for assembly and subsequent re-export. Maquiladora plants are also known as Twin Plants. Margin Amount remaining after expenses are deducted from gross revenue (excluding agent commission). Mass Communication A communication to be distributed to ALL constituents in a category, such as agents, BCOs, and employees. This does not apply to a limited distribution such as all Region 3, all supervisors, all department personnel, etc. MC# See Motor Carrier Number. Mileage Rate A rate based on the number of miles the commodity is shipped. Mileage Tax The tax states charge to commercial trucks based on the fuel used in their state, regardless of whether or not the fuel was purchased there. The tax is calculated based on the number of miles traveled in the state and a fuel consumption rate. Milk Run A multi-stop dispatch wherein shipments are picked up from different suppliers, all going to the same consignee. This is common in the automotive industry, where different suppliers are all shipping to the same assembly plant. Minimum Charge Flat rate charged to the customer for a low-mileage freight movement. Minimum Weight The shipment weight specified by the carrier’s tariff or contract as the minimum weight required using the TL or LTL rate. Mission Statement An enduring statement of purpose for an organization that identifies the scope of its operations in product/service and market terms, and reflects its values and priorities. A mission statement helps a company to make consistent decisions, to motivate, to build an organizational unity, to integrate short-term objectives with longer-term goals, and to enhance communication. Landstar Glossary Page 22 of 39 Revised 3/28/05 Mitigation The act of reducing to the lowest possible extent, such as a cargo claim dollar loss. Modify To alter, amend, or change. Motor Carrier A business entity (individual, partnership, or corporation) engaged in the transportation of goods or persons. Motor Carrier Number (MC#) An identifying number assigned by the former ICC. Motor Surveillance Service (MS) A service used in the movement of selected Department of Defense items to provide shippers with visibility of their shipments from point of origin to final destination. Motor Vehicle and Haulage Agreement (MVHA) The contractual agreement between Landstar and the equipment owner leasing equipment to Landstar. This document specifies the responsibilities of both parties and the compensation to be paid for the equipment provided. MS See Motor Surveillance Service. MUST See Mutual Understanding of Safety Together. Mutual Understanding of Safety Together (MUST) A program that brings together customers, agents, business capacity owners, and staff to identify and eliminate potentially hazardous conditions at shipper facilities. MVHA See Motor Vehicle and Haulage Agreement. National Motor Freight Classification (NMFC) A publication containing a list of articles and the classes to which they are assigned for the purpose of applying rates, together with the governing rules and regulations. Classifications under the ICCTA are still regulated. In accordance with the ICCTA, participants must be paying members of the regulated classifications (also includes mileage guides and rate bureaus). Naval Transportation Support Center (NAVTRANS) Responsible for managing and controlling the transportation of Navy material worldwide. NAVTRANS develops policy, performs operational control of Navy cargo movements, develops and executes the Navy service-wide transportation budget, and provides technical guidance to Navy shipping activities. NAVTRANS See Naval Transportation Support Center. Negligence The failure to use such care as a reasonable, prudent, careful person would do. Conduct that falls below the standard established by law for the protection of others. Negotiate To communicate or confer in order to come to mutually acceptable terms or to arrive at a settlement. Nested Packed one within the other. Net Revenue Gross revenue minus expenses (excluding agent commission). Net Ton 2,000 pounds. Net Weight Weight of goods alone, without any immediate wrapping. For example: the weight of the contents of a tin can without the weight of the can. NMFC See National Motor Freight Classification. Nondisclosure An agreement between two or more parties who promise to hold in strict confidence any confidential or proprietary information provided by the other party. Nonexempt Not free or released from some liability requirements; a commodity whose movement is regulated by the Department of Transportation. Nonpreventable Accident (NP) An accident that could not have been avoided. Nonqualified Operator An operator who has not met the minimum standards set by Landstar and the Department of Transportation. Landstar Glossary Page 23 of 39 Revised 3/28/05 Non-Trucking Liability Insurance Insurance on the bobtail or unladen unit only when it is not pulling a load. Non-Vessel Operating Common Carrier (NVOCC) In ocean carriage, a common carrier that does not operate the vessels by which the ocean transportation is provided, and is a shipper in its relationship with an ocean common carrier. NVOCCs are required to have licenses from the Federal Maritime Commission to operate. No-Zone Trailer A 53-foot trailer covered with illustrations of a truck’s blind spots. It travels to safety events across the country to educate the motoring public on how to drive safely around large trucks. NP See Nonpreventable Accident. NVOCC See Non-Vessel Operating Common Carrier. ObligationNon-Vessel Operating Common Carrier That which a person is bound to do; a duty imposed by law, promise, or contract. Ocean Freight Broker An entity which is engaged by a carrier to secure cargo for such carrier and/or to sell or offer for sale ocean transportation services, and which holds itself out to the public as one who negotiates between shipper or consignee and carrier for the purchase, sale, conditions and terms of transportation. Ocean Freight Forwarder A person that: • In the United States, dispatches shipments from the United States via a common carrier and books or otherwise arranges space for those shipments on behalf of shippers; and • Processes the documentation or performs related activities incident to those shipments. Ocean freight forwarders are required to have licenses from the Federal Maritime Commission to operate. Ocean Going Bill of Lading (OGBL) A bill of lading that documents “through” service from origin to destination in which transportation services are provided on land and ocean. Usually contains a Shipper Export Declaration that declares commodity value for tax and duty purposes. Ocean Transportation Intermediary An ocean freight forwarder or a non-vessel-operating common carrier. OD Permits Over-dimensional Permits; permits issued by individual states authorizing the transportation of specific overdimensional or overweight shipments through the state on specified routes and during specified hours. Offset Claim A counterclaim by which a given claim may be lessened or canceled; a claim that serves to compensate for another claim. OGBL See Ocean Going Bill of Lading. On Hand Cargo that has been refused or is undeliverable and a notice has been issued by the carrier. Once notice has been issued, the carrier may put the shipment in public storage or the carrier may store it and charge daily storage. Carrier’s cargo liability changes from Common Carrier (Carmack Amendment) to that of a warehouseman. Operating Authority Permission; the right to operate. In motor carrier transportation, this is a permit issued by the Department of Transportation. The DOT shall register a motor carrier if that person is willing and able to comply with the laws outlined in Title 49 of the USC, safety regulations and fitness requirements, and minimum financial requirements as imposed by the DOT and the Surface Transportation Board (STB). Operating Ratio The relationship of total expenses to total operating revenue. Operator A truck driver. ORANGE The name Landstar dubbed its business operations’ Carrier Group Operations System (C.G.O.S.) AS/400 (iSeries 400). Programs are developed on BLUE, then transferred to ORANGE. Original Bill of Lading A document signifying the holder is the owner of the goods at the time of shipment and is entitled to recover any monies as a result of a cargo claim. OS&D Over, Short, and Damaged. Landstar Glossary Page 24 of 39 Revised 3/28/05 Over the Road (OTR) Over-the-road operator, such as a long-haul truck operator. Overcharge A charge collected in excess of the lawful rate. Over-dimension Oversized; usually exceeding 8 ft. 6 in. wide, 13 ft. 6 in. high, or 53 feet long. Over-dimensional Permits (OD Permits) Permits issued by individual states authorizing the transportation of specific over-dimensional or overweight shipments through the state on specified routes and during specified hours. Also, Overweight Permits (OW), Heavy Haul permits, Oversize Permits. Overweight More weight than is allowed by law, statute, or equipment carrying capacity. Owner The person who has title and/or control over a space, property, equipment, or building and has the lawful right to do with it as he pleases. Owner-Operator Indicates that the owner of the truck is also the operator. Pallet A small portable platform for holding material for storage or transportation. Pallet Exchange A mutual trade of pallets; a system of providing an equal number of empty pallets to a shipper in exchange for the equivalent number of pallets picked up as part of a shipment. Palletized Freight stacked on pallets. PAPS See Pre-Arrival Processing System. PARS See Pre-Arrival Reporting System. PAT See Process Action Team. Paydex Score A rating provided by Dun & Bradstreet that shows the expected average day pay from a customer. Payment To discharge a debt; to compensate for goods, services, or labor. Payment Documentation Supporting documents or references provided as evidence substantiating a request or demand for payment. Payment Term The period of time in which a payment must be made. Pay to the Truck The truck settlement amount/payment. PCL See Positive Credit List. Peddle Run A truck route with frequent deliveries and/or pick ups en route. Per Diem Charge A charge made by a transportation company against another company for the use of its equipment. The charge is based on a fixed rate per day. Performance The fulfillment or accomplishment of a promise, obligation, or contract. Performance Bond Surety bond which guarantees that a contractor will fully perform contract obligations and guarantees against breach of contract. Permit A grant of authority to operate as a contract or common carrier. Person Individuals, corporations, partnerships, and associations existing under or authorized by the laws of the United States or of a foreign country. Personal Injury Injury other than bodily injury arising out of the false arrest, detention, malicious prosecution, wrongful entry or eviction, libel or slander, or violation of a person’s right to privacy committed other than in the course of advertising, publishing, broadcasting, or telecasting (contrasts with Advertising Injury). Landstar Glossary Page 25 of 39 Revised 3/28/05 Piggyback A rail/truck service. A highway trailer is loaded by a shipper, driven to a rail agency, placed on a rail flatcar, and moved to the destination agency by the railroad. Then the trailer is off-loaded and driven to the consignee. See also Trailer-on-Flatcar. Pin Lock Used to secure an unhooked trailer. See Kingpin Lock. Placard An identification sign placed on the side of a vehicle stating that the unit is leased to Landstar and operating under our authority; also, a marking placed on vehicles to denote the presence of hazardous materials. Plaintiff A person who brings an action; the party who complains or sues. Plates License tag required for all tractors and trailers. POD See Proof of Delivery. Point-to-Point Rate The rate charged for the distance of the delivery from a specific shipper location to a specific consignee location. Policy A clear, concise rule or course of action, approved by corporate management and consistently enforced, to direct how business is to be conducted by agents, BCOs, and employees within the Landstar system. Port Authority A state or local government that owns, operates, or otherwise provides wharf, dock, and other agency investments at ports. Port of Entry A port at which foreign goods are admitted into the receiving country. The government officially designates ports of entry. Port of Entry – State An entry point at state borders where state permits can be purchased. Positive Credit List (PCL) A listing of Landstar customers whose payment history and company background eliminate the need for issuance of credit releases on individual shipments; the list is maintained, published, and issued monthly by the Credit Department. Power of Attorney Authority granted by a carrier to a third party to issue concurrence, initiate Customs-bonded paperwork, or perform other functions on the carrier’s behalf. Power Only A tractor with no trailing equipment. Pre-Arrival Processing System (PAPS) A process administered by the U.S. Customs Service to electronically speed the process time for clearance of southbound shipments from Canada into the United States by the use of a bar-coded label system. Pre-Arrival Reporting System (PARS) A process administered by Revenue Canada to electronically speed the process time for clearance of northbound shipments from the United States into Canada by the use of a bar-coded label system. Precedence Order of rank; priority of importance. Prepaid Denotes the shipper is responsible for the freight charges. PrePass An automated vehicle identification system that allows operators to bypass scales and save time and money. PrePass allows specially equipped commercial vehicles to be automatically weighed and verified for state-required credentials as they pass designated open weigh stations and port-of-entry facilities. The system operates at full highway speed, eliminating the need to stop. For each “successful” bypass, the vehicle is charged a nominal fee. Pre-Trip Funds Monies provided to the contractor by Landstar Card upload or Comchek prior to delivery of a load; usually used to purchase fuel or to pay other expenses associated with the trip. Also known as a trip advance. Preventable Accident An accident that could, or should, have been avoided if better judgment had been used. Pricing Proposal An offer, the amount for which a prospective contractor indicates he is willing to provide a given service; the amount of money specified for performance of a task. Prima Facie At first sight; on the face of it; a presumption held to be true unless disproved by evidence to the contrary. Landstar Glossary Page 26 of 39 Revised 3/28/05 Private Carrier A carrier that provides transportation service to the firm that owns or leases the vehicles and does not charge a fee. Private motor carriers may haul at a fee for wholly owned subsidiaries. Probationary Employee An individual hired for regular full-time or part-time employment who has not yet completed the qualifying period. Procedure A defined, systematic series of steps that produces a consistent result which can be measured and managed by the responsible individual. Process An activity including one or more procedures that takes an input (customer requirement) and produces an output (product or service) by adding value with the objective of creating customer satisfaction. Process Action Team (PAT) A cross-functional team charged with evaluating and improving existing processes; also used to develop solutions and processes for solving identified problems; part of the continual quality improvement process. Process Agent A person or entity designated by a motor carrier to receive notices of legal actions. The information is recorded on Form BOC-3, a public record maintained by the Department of Transportation. Pro Number A unique, sequential identification number (freight bill number) assigned by the agent to each freight bill/shipment. Proof of Delivery (POD) Delivery receipt or bill of lading signed by the consignee indicating receipt of the goods shipped. Acceptable proof of delivery may vary according to the particular customer’s requirements. See Delivery Receipt. Proposal An offer; a preliminary statement for consideration from one party to another. Protective Service A service safeguarding cargo from damage due to heat or cold. Service must be requested from the carrier in writing on the bill of lading in a specified manner. PSC See Public Service Commission. PT See Purchase Transportation. Public Service Commission (PSC) A state agency that regulates public utilities such as electric, water, sewer, and telephone services. In some states, it regulates surface transportation. Punitive Damages Damages above and beyond what will compensate a person for loss; more than actual damages; damages awarded as punishment or to set an example for a defendant’s outrageous conduct. Pups Shorter trailers, usually measuring from 26 – 29 feet long, that may be pulled separately or in pairs. Purchase Order (PO) A document authorizing a vendor or seller to furnish goods or services. Purchase Transportation (PT) The amount paid to BCOs and other equipment providers for supplying their equipment to transport freight. QIP See Quality Improvement Process. QualComm A mobile communications agency for satellite communication. Qualified Driver An operator who meets or exceeds Landstar and Department of Transportation minimum standards and has been approved and authorized by the Landstar Qualifications Department to drive a truck leased to Landstar. Qualifying Period The first three months (90 calendar days) an employee works in a new position. Quality A subjective term for which each person has his or her own definition. In technical usage, quality can have two meanings: 1) the characteristics of a product or service that bear on its ability to satisfy stated or implied needs, or 2) a product or service that meets or exceeds the customer’s requirements. Quality Improvement Process (QIP) The process used at Landstar to ensure the stated objectives of our quality policy are met and that Landstar employees strive for continual improvement in all processes. Landstar Glossary Page 27 of 39 Revised 3/28/05 Quote A rate proposal submitted to a customer in response to a request for pricing. Rail Bogey A two-axle assembly at the rear of a trailer or container. Rapid Rebate Directory A reference book from LCAPP that assists in figuring fuel discounts. Rate A charge set for a given service or performance. In transportation, it is the cost for hauling cargo. Rate Confirmation Sheet Document signed by the carrier and the customer that confirms an agreed-to price and allows spot pricing. Rate Type The means or method used to arrive at a price, such as per hundredweight, per mile, flat charge, or point-to-point. R.E.A.L. See Remote Entry of Available Loads. Receiver A person who receives something, such as a shipment. Reciprocal Mutual promises or obligations exchanged between two parties. Reciprocity An exchange of rights in motor transportation that may involve granting the rights of vehicles of one state equally to the vehicles of another state. Reconsignment Change of destination after the shipment is en route. Record of Duty Status The official name of the operator’s daily log. See Log. Red File Accrued monies due Landstar from a contractor or agent. Reefer A temperature-controlled vehicle. REFR Trailer code for refrigerated van trailers. Registrar The independent third party who audits Landstar’s compliance with ISO requirements; the organization that registers Landstar as an ISO 9002 company. Registration A state-issued identification card in addition to a license (base) plate. The registration shows what states the vehicle is apportioned to run in and the period of time (dates) covered. Regular Full-Time Employee An individual who has been employed for at least 90 calendar days and is regularly scheduled to work at least 35 hours per week. Regular Part-Time Employee An individual who has been employed for at least 90 calendar days and is regularly scheduled to work less than 35 hours per week. Regulated Controlled, restricted, or governed by rule or legislation. Released Value The value of goods listed on a bill of lading by the shipper for the purpose of determining a freight rate and/or the limit of the carrier’s liability. Released Value and Declared Value are interchangeable terms. Released Value Rates Rates based on the value of the shipment. Remedy A means of correcting a wrong or enforcing a right. Remote Entry of Available Loads (R.E.A.L.) The function in L.E.A.D.S.® that maintains records of an agency’s loads; displays tractors and brokers it uses; offers and promotes loads; and receives requests for new loads, changes, or deletions through an Internet interface. Removable Bulkhead A temporary partition installed in a van trailer to prevent movement of freight; used to assist in the distribution of weight on heavy shipments such as loads of beer. Removable Gooseneck (RGN) Specialized trailer; the towing mechanism can be removed so equipment can be driven on and off from the front of the trailer. Landstar Glossary Page 28 of 39 Revised 3/28/05 Replacement Cost The cost of replacing lost, stolen, or damaged property to its former use or value. Revenue The amount of money paid to Landstar by the customer for transportation services rendered. Revision An examination of a document for correction or improvement. RGN See Removable Gooseneck. Rider An amendment or addition to a document or contract. With the use of a rider, the original document or contract does not have to be rewritten or redrafted. Risk The potential of loss or damage; the possibility of suffering harm. Ro Ro A vessel designed with ramps to facilitate rolling-cargo loading and unloading without the necessity for shoreline cranes or ship’s tackle. Road Railer A trailer with the capacity to run on the road and ride on the rail with its own wheels. Rules An established standards guide or list of regulations. Safety Rating A grade assigned to motor carriers by the U.S. Department of Transportation to indicate the degree of safety compliance using Satisfactory, Conditional, or Unsatisfactory ratings. Safety Thursday On the third Thursday of each month, various Landstar safety programs and activities are scheduled across the country. Salvage If carrier liability is established on damaged goods, the carrier is entitled to the salvage in order to mitigate its loss. The only exception would be when a claim is settled on a released or a limitation of value. Satellite Motor Surveillance Service (SM) A protective service that provides timely, accurate truck locations, two-way communication for notification of in-transit truck status changes, and emergency situation notification. SCAC Acronym for Standard Carrier Alpha Code. The four-letter SCAC codes for Landstar companies are: LEAM (Express America), LGNI (Gemini), LDWY (Inway), LIGS (Ligon), LSLG (Logistics), LRGR (Ranger). Seal A metal, self-locking device with a unique identification number that is placed on the trailer doors at the time of pick up. It is affixed in such a way that the doors cannot be opened without breaking the seal. An intact seal proves the cargo has not be accessed during delivery. Section 7 A provision listed on bills of lading relating to the responsibility for freight charges. Securement Taking precautionary measures and using equipment and/or devices to ensure a load does not fall or shift while in transit. SED See Shipper Export Declaration. Selection – Orientation – Assistance – Retention (S.O.A.R.) Council This Council, chaired by the Chief Safety Officer, meets on a semi-annual basis to discuss issues related to BCO selection, orientation, assistance and retention. Self-Insured Practice of setting aside a fund to meet losses instead of insuring against such losses. A common practice is to selfinsure up to a certain amount and to cover any excess through insurance. Semitrailer A vehicle without a mode of power, designed to be drawn by another vehicle and constructed so that some part of its weight and that of its load rests upon, or is carried by, a towing vehicle. Separation of Insured Known as a “severability of interests” clause. A policy provision clarifying that, except with respect to coverage limits, insurance applies to each insured as though a separate policy were issued to each. Thus, a policy containing such a clause will cover a claim made by one insured against another insured. Landstar Glossary Page 29 of 39 Revised 3/28/05 Service Level Agreement (SLA) A formal agreement between an internal provider and an internal receiver (customer). This agreement reflects agreed-to requirements such as schedule, response times, access, reports, etc. Set Off To cancel or offset mutual debts; a counterclaim by which a given claim may be lessened or canceled; a claim that servers to compensate for another claim. Severability of Interest See Cross-Liability and Separation of Insured. Shipper One who ships goods to another; a person who tenders goods to a carrier for transportation. Shipper Export Declaration (SED) A document the U.S. Treasury Department requires a shipper or exporter to complete showing the value, weight, destination, consignee, etc., of shipments to be exported. Shipper Load and Count (SL&C) Indicates the contents of the trailer were loaded and counted by the shipper and not checked or verified by the carrier. As long as a seal is affixed to the trailer and a perfect seal record is maintained, the carrier is excluded from any loss or damage to the cargo (excluding accidents/fire). Shippers Association A nonprofit, cooperative consolidator and distributor of shipments owned or shipped by member firms; acts in much the same way as for-profit freight forwarders. Shipping Order Instructions from shipper to carrier for forwarding all goods, usually the duplicate copy of the bill of lading. Short Term Storage A secondary imaging system that complements Docubase and BlueBird. It normally contains the last 40 days of images. Shrink-Wrapped Pallets (SWP) A process in which unitized cargo on a pallet is completely covered with plastic wrap. The plastic wrap is heated, causing it to shrink and form a seal around the pallet with no holes or openings. SIDE Trailer code for flatbed trailers with sides. Signature Tally Sheet (DD1907) A form required on any government shipment where accessorial charges for additional services apply, such as protective armed guard, dual operators, etc. This form is required in addition to the Government Bill of Lading for billing purposes. Single State Registration System (SSRS) A single-state insurance registration program founded by the ICC to replace the bingo card and bingo stamp programs in January 1994. Proof of registration is in the form of a receipt that must be carried in the vehicle. Sister Company Another Landstar operating company. Sitting Duck A vehicle stopped or parked on the shoulder or apron of any public roadway, including any on-ramp, off-ramp, or acceleration lane, in a non-emergency situation. Skid Longitudinal wooden runners attached to heavy articles or large containers to protect them and permit handling. SL&C See Shipper Load and Count. SLA See Service Level Agreement. Sleeper Sleeping quarters; a compartment attached to a power unit where long-haul operators can rest as required by law. Sliding Fifth Wheel A fifth wheel that slides to adjust the weight of the load on the tractor/trailer combination in order to meet the axle weight requirements. In some cases, used to adjust the load to provide a more comfortable ride. Sliding Tandem A two-axle assembly capable of being moved forward or backward on the trailer body to obtain designed load distribution. SM See Satellite Motor Surveillance Service. SNA Systems Network Architecture. Landstar Glossary Page 30 of 39 Revised 3/28/05 S.O.A.R. See Selection – Orientation – Assistance – Retention. Socket Connector (Socket2Me) A component of the Workflow System necessary for the Workflow Viewer to function. Soft Edit or Soft Error A computer edit that allows the freight bill to transmit successfully; no further work is required by the agency. Sole Negligence An act directly causing loss, damage, or injury without any concurring or contributory negligence from another party; 100% at fault. Solicit To try, ask, or appeal for something. SPC See Statistical Process Control. SPEC Trailer code for specialized trailers. Special Damages Damages that do not arise from a wrongful or negligent act itself, but rather follow by reason of conditions or circumstances. Split Pick up or Delivery An accessorial service of picking up or delivering portions of shipments to more than one place within origin and destination boundaries. Spot Pricing A written agreement between the carrier and customer that reflects the price, equipment, and service requirements for specific moves. Spot pricing is typically good for 30 days or less, and reflects the supply-and-demand conditions at the time negotiated. Spotted Trailer A trailer, usually company provided, that has been left on a shipper’s property to be loaded at the shipper’s convenience. Power units will drop an empty trailer when a loaded trailer is picked up at time of dispatch. The customer must use the spotted trailer regularly to justify the additional cost. Spotter A worker in an agency yard who parks vehicles, couples or uncouples units, and moves tractors or trailers in the yard or to and from the dock. Spread Axle A trailer with the tandem axles in a fixed position and spread (spaced) at a predetermined distance. SQL Structured Query Language. SSRS See Single State Registration System. Stalemate Deadlock; a situation in which further action by two or more parties is impossible. Standard A measure of comparison, criteria; a level of requirement. State Statutes State law, as provided in the Uniform Commercial Code, that governs intrastate transportation. State-to-State Rates Generally a default rate to use only in the absence of a rate more specific by origin, destination, or commodity description. These usually take the form of a rate per mile applicable from all points within one state to all points in another state. Statistical Process Control (SPC) Using specific tools and concepts to achieve continuous improvement by refining our processes through analysis of the variations they produce. Statute of Limitations A law limiting the time in which claims or suits may be instituted. STB See Surface Transportation Board. STEP Trailer code for single-drop deck trailers. Step Deck Specialized flatbed equipment with a lowered loading deck designed to transport over-height items. Step Deck and Drop Deck are interchangeable terms. Landstar Glossary Page 31 of 39 Revised 3/28/05 Stevedore One who loads or unloads ships. Stop Off The act of stopping a shipment in transit at points between the origin and destination for the purpose of picking up or delivering a portion of the shipment. Storage The safekeeping of goods; a charge made on property stored. Straight Bill of Lading A non-negotiable document that is the contract between the shipper and the carrier for the transportation service. Straight Truck A truck with the cab and cargo box attached to the same chassis. The cargo box is generally no longer than 28 ft. Straps High tensile fabric devices, generally with ratchets, that are used to secure cargo to a flatbed or other nonsided (platform) trailer; also used inside vans to secure freight. Stretch-Wrap Pallets A process in which plastic is wrapped around the cargo on a pallet to hold it from toppling. This process does not seal the pallet as does shrink-wrap. Subrogate To substitute one person for another. Subrogation The right of one who has paid an obligation which another should have paid, to seek recompense against the offending party. Super Van Specialized van equipment designed to transport over-height items; high-cube van trailers. Supplement Tariff A publication containing additions and/or changes in a tariff. Surcharge An add-on charge to the applicable charges, such as the motor carrier fuel surcharge. Surety One who becomes responsible for the performance of another. A person who would become liable for payment of debt, performance, or obligation of another. Surety Bond A certificate on which the surety promises to pay if a party fails to perform or fulfill obligations. Surface Transportation Board (STB) A three-member independent agency within the Department of Transportation that issues motor carrier operating authorities, oversees rail and airline mergers and monitors their service, and administers the functions of the former Interstate Commerce Commission that have not been abolished or assigned to other agencies. Switcher A person who switches trucks and trailers in an agency yard. See Hostler. SWP See Shrink-Wrapped Pallets. TA Travel Centers of America. TAB See Transportation Arbitration Board. Tandem Arranged one behind the other or used/acting in conjunction; a truck that has two drive axles or a trailer that has two or more axles. Tare Weight The weight of a vehicle when empty. Tariff A publication that contains a public record of a carrier’s rates, accessorial charges, and rules. Tarp A heavy-duty waterproof covering used to protect cargo from elements such as rain, snow, road salt, smoke, etc. Tarp Straps Rubber straps with hooks on each end used to secure tarps. TCP/IP Transmission Control Protocol over Internet Protocol. Team Driver The use of two operators to drive a truck equipped with a sleeper berth; while one operator sleeps in the berth to accumulate the mandatory off-duty time, the other drives. Landstar Glossary Page 32 of 39 Revised 3/28/05 Term A word or phrase; also, a fixed or definite period of time. Terminal Aging An Aged Trial Balance produced for a specific agency that documents outstanding balances billed to customers. Termination To end, conclude, or expire; legally ending a contract or agreement. Third Party An independent party (other than the shipper or consignee) who is responsible for freight charges. Through Rate Rate provided to customer for transportation services from origin to ultimate destination outside the United States. TIA See Transportation Intermediaries Association. Tie Downs Devices used to fasten or secure (tie down) cargo on any type trailer to prevent damage or shifting. TIR See Trailer Interchange Receipt. Tire Banks A central location for the storage of Landstar trailer tires. TIRRA See Transportation Industry Regulatory Reform Act. TL See Truckload. TOFC See Trailer-on-Flatcar. TONU See Truck Ordered Not Used. Tortuous Conduct Wrongful behavior, violation of a duty. Total Quality Management (TQM) The involvement of all personnel in the quality process; to promote continual improvement within our work environment at all levels; the documentation and improvement of all processes to prevent the reoccurrence of errors. TQM See Total Quality Management. Tracing Determining where a shipment is during the course of a move. Tractor A truck that has a cab but no body; used for pulling large trailers or vans. Trade References Companies that provide Landstar with information about their credit and payment experience with potential Landstar customers. Trailer A transport vehicle designed to be hauled by a truck or tractor. Trailer Interchange The transfer of trailing equipment from one carrier to another. Trailer Interchange Receipt (TIR) A document to confirm transferring possession of equipment to another; usually pertains to the interchange of equipment between railroad lines and motor carriers. Trailer-on-Flatcar (TOFC) The movement of a trailer between two points while loaded on a train; also known as piggyback. Transit Time The total time that elapses from pick up to delivery of a shipment. Transload The transfer of cargo from one trailer to another. Transportation Arbitration Board (TAB) An independent board consisting of an equal number of carrier and shipper representatives who have been qualified, certified, and appointed by the Board in the areas of multimodal transportation, operations, contracts, and law. Shippers and/or carriers having disputes can submit their claims for arbitration at a nominal fee. The binding arbitration provides an alternate method for the resolution of claims that otherwise would involve costly litigation. Landstar Glossary Page 33 of 39 Revised 3/28/05 Transportation Industry Regulatory Reform Act (TIRRA) Enacted August 26, 1994, this act eliminated the requirement to file individual motor carrier tariffs with the Interstate Commerce Commission (filed rate doctrine). Individual tariffs that were on file with the ICC were nullified. Carriers are now required to provide the shipper with a copy of any rate, classification rule, or practice upon which a rate is based, at the request of the shipper. A 180-day statute of limitations was established for the presentation of overcharge and undercharge claims. Transportation Intermediaries Association (TIA) The leading education and policy organization for North America third-party transportation providers. TIA members include property brokers, domestic and international freight forwarders, logistics management companies, motor carriers, NVOCCs, and perishable commodity brokers. Trial Employee A non-probationary employee who changes jobs within the company. Trial employees are allowed 90 calendar days to become fully qualified for their new positions. Trip Account A customer whose credit is reviewed on a trip-by-trip basis. A trip release number is required on each load, otherwise it is subject to agent risk. Trip Pak A mailing option that BCOs may use to send their trip paperwork to the General Office. This option is cost-effective compared to UPS, Federal Express, etc., and includes unlimited mailing for one base price. However, packages are not traceable or guaranteed for timed delivery. Trip Release Number A number issued by the Credit Department and given to an agent to indicate Landstar has approved credit for a particular customer to cover a specific freight bill. Trip Transit Insurance Insurance purchased to cover the declared value of a high-value shipment issued on a single trip, per-vehicle-used basis. Truck A big road vehicle used for transporting large amounts of goods that has a separate compartment for the operator. Truck Ordered Not Used (TONU) After a truck has been dispatched to pick up a load and the operator is en route or has arrived at the shipper, the truck is no longer needed by the customer. Truck Tractor A tractor with a drom box attached that is capable of hauling freight. Truckload (TL) A shipment requiring a complete vehicle for transportation due to the weight or size (cubic capacity) of the shipment. Trunnion A platform, beam, axle, or pivot on which something can be rotated. A device used to provide a foundation or to support or carry a load. In transportation, it usually refers to one or more additional axles connected to a trailer for transporting overweight and/or over-dimensional shipments. TWFL Trailer code for twin flat (flat pup for combo) trailers. Twin Plants See Maquiladora. UCC See Uniform Commercial Code. UIIA See Uniform Intermodal Interchange Agreement. Undercharge Billed charges that are less than the lawful rate. Underwriter An insurance agent who assesses the risk of requests for insurance coverage; a person who guarantees to furnish a definite sum of money by a definite date in return for an issue of bonds or stock. Undisputed Uncontested; not questioned or challenged. Uniform Commercial Code (UCC) The purpose of this code is to consolidate laws relating to commerce, whatever their form, into a single uniform code. All rules governing the various phases of commercial transactions may be found in a single statute that becomes the uniform commercial law when adopted by each individual state. Landstar Glossary Page 34 of 39 Revised 3/28/05 Uniform Intermodal Interchange Agreement (UIIA) A standard industry contract between intermodal truckers/drayage companies, and water and rail carriers (equipment providers). The UIIA was developed to achieve a degree of uniformity in the interchange process. Uniformed Services The armed forces, the Army National Guard, and the Air National Guard (when engaged in active or inactive duty training, or full-time National Guard duty), the Public Health Service Commissioned Corps, and any other category of persons designated by the president in time of war or national emergency. United States Code (USC) A compilation of all federal laws; Title 49 of the USC covers transportation; Article B of Title 49 applies to motor carriers, water carriers, brokers and freight forwarders. Unladen When a tractor is operating without a trailer or when a trailer being pulled is empty (no cargo). Unladen Liability Coverage See Non-Trucking Liability Insurance. URL Uniform Resource Locator (A Web address). USC See United States Code. VAN Trailer code for van trailers. Vendor A third-party company used to provide various services such as warehousing, cross docking, etc.; usually paid as an accessorial on freight bills. Vicarious Liability The imposition of liability on one person for the conduct of another based upon the relationship between the two parties, such as the liability of an employer for the acts of an employee. Vice A fault, defect, or imperfection. Visio The flowchart software used to document processes. V/R Trailer code for van or refrigerated trailers. Waive To knowingly and voluntarily give up a right or claim. Wanton Reckless, heedless, malicious; an act done in reckless disregard of the rights of others; more than negligence or gross negligence. Warehouseman’s Liability Responsibility for proper storage of on-hand freight. Once notice has been issued, the carrier’s liability changes from responsibility for loss or damage during transit to that of a warehouseman. Weight Requirements Legal weights allowed by a state that include the power unit, the trailer equipment, and the commodities loaded on the unit. Wheelbase The distance from the center of the front wheel to that of the rear wheel in a motor vehicle, usually expressed in inches. Willful Voluntary, deliberate; a specific intent to do something. Work Instruction A step-by-step narrative used for training an inexperienced employee to perform a particular task. Worker’s Compensation Payments required by law to be made to an employee injured in the course of work. In general, worker’s compensation laws require employers to compensate their employees for injuries incurred within the scope of their employment without regard to fault or negligence on the part of the employer. In exchange for this strict liability imposed upon the employer, a predetermined scale or schedule fixes the amount of the recovery from the employer or his insurer. The employer must either obtain such insurance or qualify as a self-insurer by establishing financial responsibility. Workflow Viewer A version of Image Viewer that is launched by the Workflow System and can also be launched from within an AS/400 (iSeries 400) screen by pressing an F key. Wrongful Unjust, reckless, unfair; implies the infringement of some right. Landstar Glossary Page 35 of 39 Revised 3/28/05 www.eFr8.com Web address for Landstar’s Internet load/truck board for contract carriers. See eFr8.com. www.landstar.com Landstar’s Web address. www.landstaronline.com Web address for Landstar’s online company applications. See LandstarOnline. www.LCAPP.com Web address for Landstar’s online discount program. See Landstar Contractors’ Advantage Purchasing Program. www.landstarcompanystore.com Web address for Landstar’s online access to purchase clothing, accessories, and specialty items. X1 See EDI Codes. X2 See EDI Codes. XtrAir A reusable, portable inflation system designed with a rotary union that continuously supplies air to a damaged tire as it’s driven down the road. Landstar Glossary Page 36 of 39 Revised 3/28/05 Abbreviations * Indicates that an additional definition is not available in the Glossary section. AA&E - Arms, Ammunition & Explosives AA - EDI code indicating the scheduled pick up time AAR - American Association of Railroads ABS - Anti-Locking Braking System* AD - Administrative Domain ADP - Average Day Pay AF - EDI code indicating the departure from the shipper location AG - EDI code indicating the ETA for delivery ANSI - American National Standards Institute ATA - American Trucking Association, Inc. ATB - Aged Trial Balance BAF - Bunker Adjustment Factor BCO - Business Capacity Owner BL - Bill of Lading BOL - Bill of Lading C.A.B.S. - Continued Awareness of Business and Safety CCRA - Canada Customs and Revenue Agency CDL - Commercial Driver’s License CFR - Code of Federal Regulations CGL - Commercial General Liability C.G.O.S. - Carrier Group Operating System COD - Cash on Delivery COFC - Container-on-Flatcar CPP - Contractor Protection Plan CS - Constant Surveillance Service CSA - Customs Self-Assessment CVOR - Commercial Vehicle Operator’s Registration CVSA - Commercial Vehicle Safety Alliance D&B - Dun & Bradstreet DD1907 - Signature Tally Sheet DDPS - Dual Driver Protective Service DFL - Double Floor Loader DOD - Department of Defense DOT - Department of Transportation DUBL - Double-drop trailer code* DTTS - Defense Transportation Tracking System ECIS - Electronic Carrier Information System EDI - Electronic Data Interchange ETA - Estimated Time of Arrival ETD - Estimated Time of Delivery FAA - Federal Aviation Administration FAK - Freight All Kinds FDDI - Fiber Distributed Data Interface* FHUT - Federal Highway Use Tax FHWA - Federal Highway Administration FLAT - Flatbed trailer code FMC - Federal Maritime Commission FOB - Free on Board FQDN - Fully Qualified Domain Name FTA - Free Trade Agreement FTP - File Transfer Protocol G.A.M.E.S. - General Administrative Messaging Exchange System GBL - Government Bill of Lading HM - Hazardous Materials HOS - Hours of Service Landstar Glossary Page 37 of 39 Revised 3/28/05 HTTP - Hypertext Transfer Protocol (written http:// on the Internet) HVO - Heavy Vehicle Operator IANA - Intermodal Association of North America ICC - Interstate Commerce Commission ICCTA - Interstate Commerce Commission Termination Act of 1995 IFTA - International Fuel Tax Agreement IP - Internet Protocol IRP - International Registration Plan IS - Information Services (Department) ISO - International Organization for Standardization IVR - Interactive Voice Response system JAC - Jacksonville Administration Center JGO - Jacksonville General Office JIT - Just in Time JTL - Jacksonville Trip Lease LBO - Outdated term for a Landstar agent’s office LCAPP - Landstar Contractors’ Advantage Purchasing Program L.C.G.O.S. – Landstar Carrier Group Operating System (also seen as C.G.O.S.) LCN - Landstar Communication Network L.E.A.D.S.® - Landstar Electronic Administrative Dispatch System LFVC - Loaded to Full Visible Capacity LMS - Landstar Management System LOGV - Logistics van (pads, straps) trailer code L.O.S.M. - Landstar Operating System Menu LOWB - Lowboy trailer code LSO - Landstar Safety Officer LTL - Less than truckload MC# - Motor Carrier number MS - Motor Surveillance Service MUST - Mutual Understanding of Safety Together MVHA - Motor Vehicle and Haulage Agreement NAVTRANS - Naval Transportation Support Center NMFC - National Motor Freight Classification NP - Non-preventable NVOCC - Non-Vessel Operating Common Carrier OGBL - Ocean Going Bill of Lading OTL - Other than Landstar OTR - Over the Road OS&D - Over, Short, and Damaged PAPS - Pre-Arrival Processing System PARS - Pre-Arrival Reporting System PAT - Process Action Team PCL - Positive Credit List POD - Proof of Delivery PSC - Public Service Commission PT - Purchase Transportation QIP - Quality Improvement Process R.E.A.L. - Remote Entry of Available Loads REFR - Refrigerated van trailer code RGN - Removable Gooseneck S/SL - Syntax/Semantic Language* SCAC - Standard Carrier Alpha Code (Company abbreviation) SED - Shipper Export Declaration SIDE - Flatbed with sides trailer code SL&C - Shipper Load and Count SLA - Service Level Agreement SM - Satellite Motor Surveillance Service SNA - Systems Network Architecture S.O.A.R. Council - Selection - Orientation - Assistance - Retention Council SPC - Statistical Process Control Landstar Glossary Page 38 of 39 Revised 3/28/05 SPEC - Specialized trailer code SQL - Structured Query Language SSRS - Single State Registration System STB - Surface Transportation Board STEP - Single-drop deck trailer flat code SWP - Shrink-Wrapped Pallets TA - Travel Centers of America TAB - Transportation Arbitration Board TCP/IP - Transmission Control Protocol over Internet Protocol TIA - Transportation Intermediaries Association TIR - Trailer Interchange Receipt TIRRA - Transportation Industry Regulatory Reform Act TL - Truckload TOFC - Trailer on Flatcar TONU - Truck Ordered Not Used TQM - Total Quality Management TWFL - Twin flat (flat pup for combo) trailer code UCC - Uniform Commercial Code UIIA - Uniform Intermodal Interchange Agreement URL - Uniform Resource Locator (Web address) USC - United States Code V/R - Van or Refrigerated trailer code VAN - Van trailer code www.eFr8.com - Landstar’s Internet, post-only load/truck board for contract carriers www.landstar.com - Landstar’s Web address www.landstarcompanystore.com - Landstar’s online access to purchase clothing, accessories, and specialty items. www.landstaronline.com - Landstar’s online company applications. www.LCAPP.com - Landstar’s Contractor’s Advantage Purchasing Program® X1 - EDI code indicating delivery at the consignee location X3 - EDI code indicating arrival at the shipper location Landstar Glossary Page 39 of 39 Revised 3/28/05