Another Week, Another Pilot Flying J Lawsuit; Separate Litigation Dropped
It wouldn’t be a week in trucking lately if there wasn’t some news about the truckstop chain Pilot Flying J. This one has been no exception, with a new lawsuit being filed, one being dropped, and questions arising over who owns the company that’s come under fire following the disclosure of a federal investigation into allegations of shortchanging customers on fuel rebates.
Evan Lockridge・Former Business Contributing Editor
June 13, 2013
2 min to read
It wouldn’t be a week in trucking lately if there wasn’t some news about the truckstop chain Pilot Flying J. This one has been no exception, with a new lawsuit being filed, one being dropped, and questions arising over who owns the company that’s come under fire following the disclosure of a federal investigation into allegations of shortchanging customers on fuel rebates.
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An Alabama trucking company is the latest to file suit, claiming the company and CEO Jimmy Haslam came up with a scheme to “secretly and unlawfully withhold diesel fuel price rebates” to customers.
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The move by Eagle Motor Lines in federal court is a class action. So are many of the other estimated more than one dozen suits that have been filed since mid-April, when agents from the FBI and IRS served several search warrants on the headquarters of Pilot Flying J and the homes of some executives as part of an investigation.
Two people have pleaded guilty to charges for their roles and have agreed to cooperate with prosecutors. Pilot Flying J and CEO Jimmy Haslam have denied accusations against them. No other charges are known to have been filed so far.
The Tennessean newspaper reports on lawsuit has been withdrawn for unknown reasons, a case originally filed last month by Alabama-based W.T.W. Enterprises and owner Charles E Winborn III.
In the meantime, the Knoxville News Sentinel newspaper this week published a story about secrecy surrounding the ownership of Pilot Flying J. It notes while the company has been tight-lipped, government documents reveal a lot more, including a number of different owners, though the family of Jimmy Haslam and Tennessee Gov. Bill Haslam retain a majority of the ownership.
The Department of Labor plans to expand Pell Grant eligibility to some shorter workforce training programs, a move the American Trucking Associations said will help strengthen commercial driver training schools and diesel technician training programs.
For an industry that has watched this issue go back and forth for years, the independent contractor proposal marks the latest swing in the regulatory pendulum.
America’s Service Line adopted Link’s SmartValve and ROI Cabmate systems to address whole-body vibration, repetitive strain, and driver turnover. The trucking fleet is already seeing measurable results.
The Federal Motor Carrier Safety Administration issued more than 550 notices of proposed removal to commercial driver training providers following a five-day nationwide enforcement sweep. Investigators cited unqualified instructors, improper training vehicles, and failure to meet federal and state requirements.
Illinois is the latest state targeted and threatened with the loss of highway funding by the U.S. Department of Transportation in its review of states' non-domiciled CDL issuance procedures. The state is pushing back.
After a legal pause last fall, FMCSA has finalized its rule limiting non-domiciled commercial driver's licenses. The agency says the change closes a safety gap, and its revised economic analysis suggests workforce effects will be more gradual than first thought.