Page 23 - Arkansas Trucking Report Volume 23 Issue 2
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It said state laws are preempted if they
        have “a connection with” prices, routes
        or services, even if “only indirect.” This   “THE NINTH CIRCUIT HAS BEEN MISAPPLYING THE
        was done in order to “avoid a patchwork   SUPREME COURT’S PRECEDENT, AND SO I WOULD
        of state laws, rules and regulations.”   THINK THE SUPREME COURT WOULD WANT TO TAKE
        California’s attack on trucking’s piece-  THE OPPORTUNITY TO HELP THE NINTH CIRCUIT SET
        rate payment system would not require
        employers to pay employees more — just            THE RECORD STRAIGHT THERE.”
        differently, and with less incentives
        for high-value activities. Meanwhile,           —PRASAD SHARMA, AN ATTORNEY WITH
        California’s rules added administrative       SCOPELITIS GARVIN LIGHT HANSON & FEARY
        burdens for tracking productive and
        non-productive time.
            It’s not yet known if the Supreme
        Court will hear the case. According to   and ADA cases, and they’ve narrowed   Sharma said the Ninth Circuit has
        www.uscourts.gov, the federal courts’   the scope of preemption…      failed to appreciate the ruling’s impact
        website, the Supreme Court is asked    “The Ninth Circuit has been mis-  on the trucking industry — at the same
        to review more than 7,000 cases each   applying the Supreme Court’s prece-  time it is misinterpreting the law.
        year and accepts between 100 and 150   dent, and so I would think the Supreme   “The preemption is against state
        of them. The court earlier had refused   Court would want to take the opportu-  laws that relate to motor carrier prices,
        to hear the Dilts case, but J.B. Hunt is   nity to help the Ninth Circuit set the   routes or services,” he said. “And what
        arguing that this case is more worthy of   record straight there.”    the state meal and rest break laws do is,
        hearing for several reasons, including   Sharma said resolving that conflict   they say, ‘OK, you cannot provide ser-
        the fact that J.B. Hunt is an interstate   and settling a disputed part of the law   vice, period, during these times that we
        carrier, while the Penske case involved   would be a reason the Supreme Court   the state has decided employers need to
        intrastate hauls in California.    would take the case.               provide employees breaks.’”
            Prasad Sharma, an attorney with                                       The Arkansas Trucking Association
        the Scopelitis Garvin Light Hanson   BUT WHEN?                        was one of 22 state trucking asso-
        & Feary transportation law firm, said   When that would happen is unclear.   ciations that joined an amicus curiae
        the case is “cert-worthy” because of its   The Supreme Court is under no timeline   (friend of the court) brief filed by the
        national importance and because of   or deadline to act. Typically, the justices   American Trucking Associations. It
        the conflict between the Ninth Circuit   would schedule a conference to discuss   argues that Congress passed the F4A to
        and rulings from other courts, includ-  the case’s merits and then might ask   ensure motor carriers could implement
        ing the Supreme Court. In 2014, the   Solicitor General Noel Francisco for his   efficient, standard business practices
        Supreme Court reversed another Ninth   recommendations — the solicitor general   across the country after the industry
        Circuit decision in a preemption case in   being the official who represents the   was deregulated. The brief argues that
        Northwest, Inc. v. Ginsberg. That case   federal government before the Supreme   adding state meal and rest breaks to
        was based on the Airline Deregulation   Court.                        federal hours of service rules reduces
        Act of 1978, but the language in the two   The Supreme Court declined to hear   productivity “in an industry where
        laws — the ADA affecting airlines, the   Penske’s appeal in the Dilts case after the   carefully engineered logistical networks
        F4A affecting trucking — is the same.  solicitor general recommended against   are crucial to the efficient movement
            According to Sharma, “There are   a hearing. However, that occurred with   of freight.” Terminals were chosen so
        other circuits that have understood   a previous solicitor general during the   driver breaks would coincide with other
        from the plain language, legislative his-  previous presidential administration.   activities, such as loading and unload-
        tory and from congressional intent, F4A   Sharma said a new administration with   ing at a dock. California’s rules could
        preemption is intended to be broad in   a new solicitor general might be more   force carriers to create additional facili-
        scope, and it’s intended to really foster   inclined to say yes to what has proven to   ties or relocate new ones.
        the promotion of market forces in the   be a recurring issue.             “The result is a cascade of ineffi-
        transportation industry to promote     On preemption cases, the Supreme   ciencies that would significantly reduce
        efficiencies and innovation. …What   Court does not necessarily fall along   the services a carrier can offer under
        the Ninth Circuit has done is they’ve   liberal-conservative lines. In the Ginsberg   the uniform federal regulations — pre-
        applied a test that is out of step with   case, the vote was 9-0. If the Supreme   cisely the sort of state interference with
        what even the Supreme Court has sug-  Court takes the case, it could be a positive   motor carrier services that the F4A was
        gested should be the test in prior F4A   omen for how it will rule, Sharma said.   designed to prevent,” it said. ATR

        ARKANSAS TRUCKING REPORT  |  Issue 2 2018                                                                 23
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