Common Carrier Definition | Apparel Search

A common carrier is an organization that transports a product or service using its own facilities, or those of other carriers, and offers its services to the general public. Traditionally the term means a business that transports people or physical goods. A property common carrier provides transportation of persons or goods, often over a definite route according to a regular schedule, making its services available to all who choose to employ them. Airlines, railroads, bus lines, cruise ships and trucking companies are examples of property common carriers, and post offices are also considered common carriers, although government operation often gives them special treatment. The term differs from private carrier, which operates solely for the benefit of one entity and does not offer services to the general public. Common carriers generally exist under a different regulatory regime than specialized carriers and can be subject to different laws and treatment, including taxation. For shippers of clothing and other freight, using a common carrier means buying space in a public transport system that must accept and carry goods under published terms, rather than operating a private fleet.

A common carrier is an organization that transports a product or service using its facilities, or those of other carriers, and offers its services to the general public.

Traditionally common carrier means a business that transports people or physical goods. In the 20th century, the term came to refer also to utilities (those transporting some service such as communications or public utilities). The term differs from private carrier, which operates solely for the benefit of one entity and does not offer services to the general public.

A property common carrier is an organization (often a commercial or private business but sometimes a government agency) that provides transportation of persons or goods, often over a definite route according to a regular schedule, making its services available to all who choose to employ them. Airlines, railroads, bus lines, cruise ships and trucking companies are examples of property common carriers.

Post offices would also be considered common carriers but as universally they are operated by governments they are often treated differently than commercial organizations, such as given special privileges.

Common carriers generally exist under a different regulatory regime than specialised carriers, are subject to different laws, and sometimes to different treatment in other ways (e.g. taxation). For example, common carriers generally explicitly have no legal liability for the contents of freight shipped through them unless the customer has purchased excess insurance for that purpose.

Bill of Lading

Consignee

Less Than Truckload (LTL)

Semi Trailer

Logistics Definition

The above article is licensed under the GNU Free Documentation License. From Wikipedia, the free encyclopedia (https://en.wikipedia.org/wiki/bill_of_lading). 12/27/05

Shipping Industry Freight Definitions

Duties and Regulation of Common Carriers

The defining feature of a common carrier is the offer to serve the public. In exchange for that public role, common carriers have historically been held to duties that private carriers do not carry in the same way: to accept goods offered for transport within their stated services, to carry them with reasonable care and dispatch, to follow published rates and terms without unreasonable discrimination between similar customers, and to deliver to the proper consignee. Regulation varies by mode and country, covering licensing, safety, insurance minimums, rate filing and service standards, and it has changed over time as trucking, rail and air transport were deregulated to different degrees in many markets. Even where economic regulation is light, safety regulation remains extensive, governing driver hours, vehicle maintenance, aircraft operation and vessel standards.

Liability rules are a practical part of the common carrier relationship. Carriers issue bills of lading and tariffs that state limits of liability, claim deadlines and conditions for different kinds of loss, and international conventions set their own limits for sea and air carriage. A shipper sending high-value garments therefore compares not only the freight rate but also the liability limit, and often buys separate cargo insurance when the carrier limit is far below the invoice value of the load. Understanding that distinction prevents a common and costly misunderstanding after a loss.

Common Carriers in Freight and Apparel Shipping

Most apparel freight moves on common carriers. Ocean container lines, airlines, railroads and motor carriers all sell capacity to the public, and a single import shipment commonly uses several of them in sequence: a trucking company to the port or airport, an ocean line or airline for the main leg, a railroad for a long inland move, and another trucker for final delivery. Freight forwarders coordinate those pieces, but the underlying carriage is performed by common carriers operating published networks of routes, terminals and schedules. Because capacity is shared, shippers plan around sailing schedules, flight availability, equipment supply and peak-season demand, particularly before major retail seasons when clothing volumes surge.

The public character of common carriage also shapes service expectations. Standard transit times, cut-off times for receiving cargo, terminal handling procedures and claims processes are set by the carrier and apply across customers, with larger shippers sometimes negotiating service contracts for volume and rate commitments. Small clothing businesses benefit from this system because they can access worldwide transport without owning vehicles or vessels, paying only for the space they use, whether that is a full container or truckload, a less-than-truckload shipment, or a few cartons by air.

Common, Contract and Private Carriage Compared

Between the fully public common carrier and the fully private fleet sits contract carriage, in which a carrier dedicates service to a particular shipper or group under a negotiated agreement rather than holding out to everyone. Large retailers may use contract or private carriage for store deliveries where routes are fixed and volumes predictable, while still using common carriers for imports and irregular movements. The legal classification matters because duties, liability rules, insurance requirements and tax treatment can follow the category, not just the type of vehicle. When a business describes its transport provider, identifying whether carriage is common, contract or private is the first step to knowing which rules and protections apply to a shipment of goods.

Common Questions

What is the difference between a common carrier and a private carrier?

A common carrier offers transport services to the general public, available to all who choose to employ them. A private carrier operates solely for the benefit of one entity, such as a company carrying only its own goods, and does not serve the public.

What are examples of common carriers?

Airlines, railroads, bus lines, cruise ships and trucking companies are examples of property common carriers. Post offices are also considered common carriers, although as government operations they are often treated differently from commercial organizations.

Are common carriers liable for the contents of freight they carry?

Common carriers generally have no legal liability for the contents of freight shipped through them unless the customer has purchased excess insurance for that purpose. Shippers who need fuller protection arrange separate cargo insurance or declared-value coverage.

Common Carrier