A Trucking Company’s Liability in a Commercial Truck Accident

By Ed Rebenack, Esq.

How Trucking Companies Are Held Responsible in Accidents

There are thousands of accidents involving commercial trucks each year that result in approximately $2 billion in medical expenses and property damages. Often, the discussion about commercial trucking accidents focuses on the drivers. However, trucking accident attorneys advise that the trucking company that employs or contracts the driver frequently is responsible or at least shares in the liability.

Company Liability in a Truck Accident

A trucking company is often held liable in the event of an accident in which the driver was at fault. In fact, it is not common for the driver to be held directly responsible except in cases in which the driver was negligent, such as operating the vehicle under the influence. The extent of that liability often comes down to the relationship between the company and the driver. It is also worth noting that liability is not necessarily limited to a single party. Both the trucking company and the driver, and even a co-driver, may be liable, but the liability can also extend to other third parties, including a:

• Fleet management company
• Automotive service company
• Shipping company
• Loading company
• Cargo owner
• Vehicle or parts manufacturer

The At-Fault Driver As an Employee

The majority of professional truckers are employees of some form of a trucking company. When an employee injures someone or causes damage while performing their duties for an employer, the employer can be held responsible. This is due to a legal doctrine known as respondeat superior. There are some rare cases in which a company cannot be held liable, such as if the driver intentionally caused the accident. But even in cases in which drivers were found to be drinking alcohol or using narcotics, the company employing them generally can be held accountable.

The At-Fault Driver As an Independent Contractor

Who can be held at fault is less clear when the driver is an independent contractor. The biggest concern here is that most independent contractors are small businesses with little capital, and there may not be enough capital to get all the compensation that you deserve. But the fact that a driver is an independent contractor does not necessarily mean that a trucking company cannot be held liable. Companies often are, in fact, because they were using the independent contractor as a de facto employer in order to limit their risks or financial obligations.

Pursuing a Claim Against a Trucking Company

Holding a trucking company responsible for its drivers often requires a multiphase process. In addition, while it is possible to navigate this process on your own, it is highly advised that you hire an experienced trucking accident attorney that can take the necessary steps on your behalf and ensure that your rights are protected. The phases can vary from one case to the next but may include:

• Investigating the case
• Filing the claim
• Navigating the third-party investigation
• Negotiating a settlement
• Filing a lawsuit
• The pretrial phase
• Going to trial

The Investigation Phase

The investigation should begin on the same day the accident takes place, which is a primary reason it is so important to hire an attorney as soon as possible. As time passes, evidence becomes hard to acquire, and other evidence can get lost or otherwise disappear. The investigation phase not only involves collecting evidence but sending out spoliation letters to protect evidence in the hands of others and determine all entities who are liable. While determining liability may seem simple, it is often a complex process when major trucking accidents are involved.

Filing the Claim

Once the evidence is collected, and the responsible parties have been identified, the next step is to file a claim with the insurance company for the trucking company. Depending on how many liable third parties there are, there may be multiple insurance claims filed. In New Jersey, you have 24 months from the date of the accident to file claims, but your attorney will file much sooner than that — usually within 30 days and no more than 90 days. Time is of the essence because you need the freedom to negotiate the settlement while also having the option to file a lawsuit.

The Third-Party Investigation Phase

Filing a claim with an insurance company includes providing them with a fully completed proof of loss. Once an insurer has received these documents, it has 10 business days during which it must begin investigating the case. The insurer then has 45 days if the claim is limited to property damages or 90 days if the claim involves injuries to complete the investigation. In most cases, it will not take the full allowed period for the insurer to respond and begin the negotiation.

Negotiating the Settlement

The vast majority of trucking accident cases are settled during the initial negotiation. It generally depends on how much money is involved. At the smaller end of the range, an insurer is more inclined to complete the settlement quickly, and at the larger end of the range, an insurer will be more inclined to extend the process and seek to negotiate a lower compensation. While most cases conclude much sooner, it is not unusual for negotiations to go on for months and even into a second year.

Filing a Lawsuit

You have 24 months from the time of the accident in which to file a lawsuit. How much of this time is used varies greatly. Your negotiations may continue almost up until the trial deadline, but your lawyer may not feel confident about settling and file the lawsuit much sooner than that.

The Pretrial Phase

Once the lawsuit has been filed and processed by the court, your trial enters the discovery phase, which is also known as the pretrial phase. This is a period that is overseen by the court. It often involves the exchange of evidence and depositions. The purpose is to ensure that the lawsuit has merit and help the sides come to a potential agreement. Negotiations usually continue during this period, and many lawsuits that are filed conclude with a settlement during the pretrial phase rather than go to trial.

The Trial Phase

While going to trial in a trucking accident is not typical, there have been several high-profile cases involving millions of dollars in compensation that did go to trial. During the trial, your legal team and the opposing legal team will make their cases before a judge and jury. The judge ensures that the trial unfolds according to the law, but in the end, it is the jury that decides if you deserve compensation and, if so, how much.

Local Representation in New Jersey

If you have been involved in a commercial truck accident, it is important to have a trucking accident attorney represent you. Your attorney can identify the at-fault parties and pursue claims, and even lawsuits, if necessary. RAM Law has substantial experience investigating truck accident cases, pursuing claims, negotiating settlements and litigating cases. Our offices are in New Brunswick and Somerville, and you can schedule a free initial consultation by calling (732) 394-1549 or contacting us online.