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(6) if customers or government agen-  using owner-operators should consider   motor carriers for input on the poten-
           cies are the true source of contrac-  moving now to conduct an operational   tial for EOBR harassment of drivers.
           tors’ instructions, make their origin   review to remedy any vulnerability to   For now, carriers using EOBRs
           clear in the independent contractor   reclassifying their owner-operators as   should consider safeguards such as
           operating agreement (“ICOA”);   employees rather than remaining inde-  requiring EOBR use only for drivers who
                                           pendent contractors.               have demonstrated HOS-compliance
        (7) don’t provide business coaching
           to contractors, but allow inter-    Damages in a successful worker-  problems; issuing a company policy,
           ested contractors to pay for outside   reclassification class action could   and training dispatchers and manag-
           coaches through charge-backs;   include the owner-operators’ cost of   ers, on the limited proper use of EOBR
                                           having to purchase their own health   data; restricting the frequency and
        (8) avoid “employee” terminology in   care coverage, in addition to penalties   detail of data-pings about the vehicle’s
           paperwork, websites, and customer   under ACA for failing to provide health-  location; meeting the specifications of
           communications; and             care coverage to the carrier’s “employee”   FMCSA’s current regulation on optional
        (9) subject your ICOA and leasing   drivers.                          use of “Automatic On-board Recording
           practices to periodic legal review.                                Devices”; distributing for driver signa-
                                           elecTRoNIc loggINg deVIceS         ture a privacy-related disclosure and
        affoRdable caRe acT –                  As an early advocate of an     consent form; and using a third-party
        complex cHoIceS                    Electronic Onboard Record (“EOBR”)   clearinghouse to screen and channel all
            While the Obama Administration   mandate, the Arkansas Trucking   EOBR data for use only to satisfy specif-
        has announced that it will delay by   Association has long appreciated the   ic regulatory or customer requirements.
        one year, until 2015, the requirement   safety-enhancement and customer-  Competitor Collaborations – Risk/
        that larger employers provide health   service benefits of EOBRs. The Trucking   Reward.  The Federal Trade Commission
        care coverage to their workers or pay   Alliance, spawned by the ATA leader-  and private lawsuits seeking treble-dam-
        penalties, all other provisions remain   ship two years ago to lobby Congress,   ages have increasingly been challenging
        in the landmark Patient Protection and   was instrumental in getting this EOBR   competing companies’ agreements and
        Affordable Care Act’s (“ACA”) remain   mandate included in the transportation   joint ventures under the antitrust laws.
        in place.                          bill last year.                    Competitor collaborations offer motor
            Transportation industry employers   Now that Congress has finally   carriers, among others, substantial law-
        should prepare now for the other provi-  agreed, the electronic logging devices   ful opportunities to get more efficient
        sions in the ACA. Individuals will have   (ELD) as they are now referred, will   and profitable by, for example, sharing
        to maintain an ACA-defined minimum   be fully implemented within the next   information on squeezing unnecessary
        level of health coverage or incur a pen-  two or three years. The ELD mandate   expenses out of their operations.  But
        alty collected by the IRS, while large   becomes effective two years after the   coordination among competitors can
        employers – those with 50 or more full   FMCSA promulgates, theoretically by   also be a “slippery slope” to jury verdicts
        time, or part-time equivalent, workers   10/1/2013, a final rule on the subject.    of unlawful price-fixing, dividing up of
        – will have to offer employees an oppor-  FMCSA has publicly acknowledged   customers, concertedly refusing to deal
        tunity to enroll in “affordable” health   motor carriers’ right to install EOBRs in   with competitors, customers, or vendors
        coverage providing “minimum value” to   the meantime.                 except on anticompetitive terms, or
        the employee, or incur a penalty.      Some legal exposure may accom-  engaging in other predatory conduct.
            The individual mandate and ACA’s   pany a carrier’s use of EOBRs. The   To avoid such jury verdicts and the
        Affordable Insurance Exchanges may   Owner-Operator Independent Drivers   prison terms, fines, and huge money
        encourage owner-operators to look for   Association has sued FMCSA over the   damages they can bring, motor carriers
        affordable health care plans in order to   possibility that carriers would exploit   should tread carefully and obtain anti-
        avoid, as independent contractors, hav-  EOBRs to harass drivers – by, for exam-  trust advice in advance when contem-
        ing to pay a penalty for lack of coverage.    ple, waking drivers resting in the sleeper   plating collaborations with other motor
        There is also a possibility the individual   berth or requiring drivers with available   carriers – including benchmarking sur-
        mandate will increase pressure on   hours based on EOBR information to   veys, questionnaires, or blogs.
        motor carriers and insurers to facilitate   continue driving despite driver fatigue
        health insurance for owner-operators.    – or to invade driver privacy through   Dan Barney is a Managing Partner and
            Motor carriers should familiar-  EOBRs’ ability to GPS-track a driver’s   Andrew Butcher is an attorney with the
                                                                              Washington, D.C. office of Scopelitis,
        ize themselves with this new dynamic   off-duty whereabouts.          Garvin, Light, Hanson & Feary, P.C.,
        that owner-operators will face in 2015,   In response, FMCSA recently   a national law firm that specializes in
        including whether it will help or hurt   announced that it has completed a   transportation law.
        recruiting and retention. Motor carriers   survey of more than 1,000 drivers and

        arkansas Trucking reporT | issue 3 2013                                                                   35
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