OOIDA Ordered to Pay Prime $600,000
A U.S. District Court has ordered the Owner-Operator Independent Drivers Assn. to pay almost $600,000 to Prime Inc. for attorney’s fees the carrier incurred defending itself against an OOIDA suit
A U.S. District Court has ordered the Owner-Operator Independent Drivers Assn. to pay almost $600,000 to Prime Inc. for attorney’s fees the carrier incurred defending itself against an OOIDA suit.
This latest ruling stems from a lawsuit filed in 1997 charging the Missouri-based carrier’s escrow practices violated truth in leasing regulations. Those regulations date back to the late 1970s, but disputes were handled by the Interstate Commerce Commission until the ICC Sunset Act of 1995 gave owner-operators the right to sue motor carriers over leasing rules violations.
However, a lower court dismissed OOIDA’s suit against Prime, ruling that the lease contracts in questions were entered into prior to 1996, when the Act became effective.
A Circuit Court of Appeals upheld the decision last year. The case is now under appeal and OOIDA Executive Vice President Todd Spencer said they will also appeal the award for attorney’s fees.
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