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Free Trucking Contract Template

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Updated Sep 1, 2026
~ 7 pages
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A trucking contract is a written agreement that sets the terms for transporting freight between a client and a motor carrier. Use this trucking contract template to record services, rates, shipment terms, cargo responsibility, and other agreed conditions.
Trucking Contract Page 1
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Written by Megan Thompson, LLB - Reviewed by Kate Adkham, LLB

What Is a Trucking Contract?

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A trucking contract template gives a shipper, client, and carrier a written framework for commercial freight transportation. It records who will transport the freight, how the carrier will be paid, and how the parties will handle delivery, cargo claims, and other responsibilities.

Federal law allows covered motor carriers and shippers to contract for specified transportation services at agreed rates and conditions, except for certain household-goods movements. 49 U.S.C. § 14101

Although this template contains an independent contractor provision, it primarily covers freight transportation between a Client and Carrier. It is not an owner-operator equipment lease.

When to Use a Trucking Contract

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Businesses commonly use trucking contracts when:

  • hiring a motor carrier to transport commercial freight;

  • setting a per-mile or other transportation rate;

  • establishing terms for recurring shipments;

  • documenting pickup and delivery requirements;

  • allocating responsibility for freight loss or damage;

  • using bills of lading for individual shipments; or

  • setting termination, default, and dispute procedures.

This template may need substantial changes for a broker-carrier relationship, household-goods transportation, or an owner-operator arrangement in which equipment is leased to an authorized carrier. Federal leasing rules can require a separate written lease containing specific terms. 49 CFR Part 376

Parties to the Trucking Contract

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Client/Shipper: The person or business that tenders freight for transportation and pays the agreed charges. The Client should provide accurate shipment, pickup, delivery, and handling information.

Carrier/Owner-Operator: The motor carrier responsible for transporting the freight. An owner-operator can fill this role when operating as a carrier under their own required authority. If the owner-operator instead leases equipment to another authorized carrier, federal leasing rules may apply. 49 CFR § 376.11

Broker: A broker arranges transportation by an authorized motor carrier for compensation rather than transporting the freight as the carrier. A broker acting as the Client may need a dedicated broker-carrier agreement and must comply with applicable broker rules. 49 CFR § 371.2

Key Components of a Trucking Contract

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Parties: The legal names and addresses of the Client and Carrier identify who is bound by the contract.

Transportation services: The agreement describes the freight to be transported and the services the Carrier will perform.

Shipment schedule: Start date, delivery date, mileage, locations, and special conditions establish when and where transportation will occur.

Payment: The contract records the rate, payment frequency, payment method, and any other agreed charges.

Term and termination: These provisions establish the contract duration, renewal terms, and notice required to end the relationship.

Bills of lading: Shipment documents record individual loads and can identify the freight, parties, and delivery details.

Freight loss and damage: The contract addresses custody of the cargo, carrier liability, claim procedures, and supporting documentation.

Licensing and insurance: The Carrier confirms responsibility for applicable operating authority, registrations, permits, and insurance.

Independent contractor relationship: The provision states that the parties intend an independent business relationship rather than employment, agency, partnership, or joint venture.

Default and remedies: These terms identify material breaches and explain what the non-breaching party may do in response.

Governing law and disputes: The parties select governing state law and jurisdiction, subject to federal rules that may control particular transportation issues.

Key Clauses in a Trucking Contract

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Transportation services clause

It defines the freight and transportation services the Carrier agrees to provide.

Sample language: “The Carrier will transport the Client's Freight according to the agreed pickup, delivery, mileage, and service requirements stated in this Contract.”

Include this clause in every trucking contract. Customize it for the cargo, service type, locations, mileage, delivery schedule, and special handling requirements.

Payment terms clause

It establishes the Carrier's compensation and the Client's payment obligations.

Sample language: “The Client will pay the Carrier [$2.50] per mile within [15] days after receipt of the Carrier's invoice and required shipment documentation.”

When to include or omit: Include it in every paid transportation arrangement. State whether the rate applies to loaded miles, deadhead miles, or both, and identify any additional charges.

Bill of lading clause

It explains how individual shipments will be documented and how bills of lading interact with the main contract.

Sample language: “Each shipment may be documented by a bill of lading or delivery receipt. If its terms conflict with this Contract, this Contract will control to the extent permitted by applicable law.”

Include it when separate bills of lading will accompany loads. For shipments governed by the Carmack Amendment, federal law addresses carrier liability under receipts and bills of lading. Failure to issue a receipt or bill of lading does not eliminate that statutory liability. 49 U.S.C. § 14706

Freight loss, damage, and claims clause

It allocates responsibility for freight in the Carrier's custody and establishes the process for loss, damage, injury, or delay claims.

Sample language: “The Client must submit a written Freight claim within [9 months] after the applicable event or within any longer period required by applicable law.”

Include it whenever the Carrier takes custody of freight. For claims governed by 49 U.S.C. § 14706, a carrier cannot establish a filing period shorter than 9 months. It also cannot provide less than 2 years for bringing a civil action, calculated as the statute specifies.

Carrier licensing and insurance clause

It requires the Carrier to maintain applicable registrations, operating authority, permits, and insurance.

Sample language: “The Carrier will maintain all registrations, operating authority, licenses, permits, and insurance required to perform the Services.”

Include it in commercial trucking contracts and customize the insurance requirements for the operation and cargo. FMCSA requirements depend on factors such as carrier type, operating authority, vehicle, and commodities transported. FMCSA insurance filing requirements

Carriers should also check environmental operating rules that apply along their routes. EPA's SmartWay program, for example, provides guidance on reducing unnecessary truck idling and its emissions. EPA SmartWay

Term and termination clause

It establishes when the contract starts and ends and whether it renews automatically.

Sample language: “This Contract will remain in effect until [December 31, 2027] unless terminated earlier by either Party upon [30] days' written notice.”

Include it for ongoing or recurring transportation services. Customize the end date, renewal period, termination rights, and notice requirements.

Independent contractor clause

It states that the parties intend to operate as separate businesses and not as employer and employee, partners, or joint venturers.

Sample language: “The Parties are independent contractors. Nothing in this Contract creates an employment, agency, partnership, or joint venture relationship.”

Include it when the Carrier genuinely operates as an independent business. Omit or revise it if the actual relationship is employment. A contract label alone does not determine worker status, and state classification rules may impose additional tests.

Default and remedies clause

It defines material breaches and states what remedies become available if a party fails to perform.

Sample language: “If either Party materially breaches this Contract and does not cure the breach within [10] days after written notice, the non-breaching Party may terminate the Contract and pursue available remedies.”

Include it when the parties want a defined process for non-payment, failure to transport or deliver as agreed, insolvency, or another material breach. Specify any cure period and whether particular remedies survive termination.

Optional Clauses to Strengthen Your Trucking Contract

  • Non-compete or NDA: An NDA can protect confidential rates, customer information, routes, or business records. If the parties consider a non-compete restriction, they should check applicable state law before adding it.
  • Indemnity: An indemnity clause can allocate certain third-party claims, losses, or expenses arising from negligence, cargo handling, regulatory violations, or other agreed risks. The parties should negotiate its scope rather than rely on a broad one-sided provision.
  • Detention and accessorial charges: The agreement can define free loading or unloading time and state when detention, layover, lumper, stop-off, loading, unloading, or similar charges become payable.
  • Fuel surcharge: For contracts affected by changing fuel prices, the parties can use a fixed surcharge or an agreed formula or index.
  • Arbitration: The parties can agree to resolve specified disputes through arbitration rather than litigation and state the location and procedure that will apply.
  • Attorney's fees: The contract can state whether each party pays its own legal costs or whether an eligible prevailing party may recover attorney's fees and costs.

Bill of lading (BOL): A shipment document identifying the freight and relevant transportation details. For covered interstate transportation, federal law requires the carrier to issue a receipt or bill of lading, although failure to issue one does not eliminate Carmack liability. 49 U.S.C. § 14706

Broker vs. carrier: A Carrier undertakes responsibility for transporting freight. A Broker arranges transportation by an authorized motor carrier for compensation. 49 CFR § 371.2

Dispatch fee: A fee charged for dispatch services such as locating loads, coordinating pickups, communicating with brokers or shippers, and handling transportation paperwork.

Deadhead: Miles traveled by a truck without freight, such as the distance between a delivery location and the next pickup. The contract should state whether these miles are compensated.

Per-mile rate: Compensation calculated according to the number of agreed miles driven. The parties should specify what mileage method applies and whether the rate covers loaded and deadhead miles.

Hours of service (HOS): Federal rules governing how long covered commercial drivers may drive or remain on duty and when rest periods are required. Most covered CMV carriers and drivers must comply with 49 CFR Part 395. FMCSA Hours of Service

Cargo insurance: Insurance intended to cover specified loss or damage to freight. Whether it is legally required and what coverage is appropriate depend on the carrier, operation, and cargo, so the contract should state any coverage the parties specifically require.

USDOT and MC numbers: A USDOT Number identifies a regulated entity for federal safety and registration purposes. Certain interstate for-hire operations also require operating authority, which FMCSA often identifies by an MC or other docket number. FMCSA operating authority

State Law Considerations

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Federal law governs many aspects of interstate motor carriage, but state rules remain important. FMCSA notes that some states require certain intrastate commercial motor vehicle registrants to obtain a USDOT Number even when federal interstate registration rules would not independently require one. FMCSA state requirements.

States may also impose separate operating-authority or contract requirements. For example, Illinois requires a Public Carrier Certificate for covered for-hire transportation of property in intrastate commerce. Tennessee maintains Intrastate Authority for covered for-hire motor carriers. Virginia may require For-Hire Intrastate Operating Authority for carriers transporting property point to point within the state. Arkansas imposes an additional step for contract carriers: 27 CAR § 110-1103 requires covered intrastate contract-carrier agreements to be submitted to the State Highway Commission and approved before operations begin.

Worker classification also varies. California Labor Code § 2775 uses an ABC test for covered worker-classification questions, while § 2776 provides a separate framework for qualifying bona fide business-to-business relationships. California Labor Code § 2775 and § 2776.

How to Fill Out a Trucking Contract

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  1. Identify the parties. Enter the Client's and Carrier's legal names, addresses, and the contract's effective date.
  2. Describe the transportation services. State what freight the Carrier will transport and add the pickup, delivery, and special handling requirements.
  3. Complete the shipment schedule. Add the start date, expected delivery date, mileage, and any other conditions that affect transportation.
  4. Set the rate and payment terms. Enter the per-mile or other agreed rate, payment frequency, and payment method. State whether deadhead, detention, fuel surcharges, or accessorial charges are included or paid separately.
  5. Choose the contract term. Add the end date, renewal period, and required notice for termination or non-renewal.
  6. Review shipment documents. Decide how bills of lading, delivery receipts, and related records will be used for individual loads.
  7. Complete the cargo and insurance terms. Enter the freight-claim procedure and required insurance. For a claim governed by the Carmack Amendment, do not use a claim-filing period shorter than 9 months.
  8. Review authority, governing law, and signatures. Confirm applicable registration and operating-authority requirements, choose governing state law, enter notice information, and have both parties sign the completed agreement.

Frequently Asked Questions

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How does California AB5 affect trucking contracts?

California's AB5 framework is reflected in Labor Code § 2775, which generally uses an ABC test to determine covered employee-versus-independent-contractor questions. Therefore, calling a driver or carrier an “independent contractor” in a trucking contract does not by itself establish that status.

A qualifying bona fide business-to-business relationship may instead fall under the framework in Labor Code § 2776 if all statutory conditions are met. These include a written contract, independence from control, an independently established business, and other requirements.

What is factoring in trucking?

Factoring is a financing arrangement in which a business sells or assigns accounts receivable to a factor to obtain cash without waiting for the customer to pay the invoice. Federal banking materials describe factoring as the purchase of trade accounts receivable.

If a Carrier factors freight invoices, the parties should make sure the trucking contract, invoices, and payment notices clearly state where payment must be sent and address any relevant assignment requirements.

What is detention pay in trucking?

Detention pay compensates a carrier or driver for excessive waiting time at a shipper's or receiver's facility. FMCSA research distinguishes detention from normal loading and unloading time and continues to study its effects on driver operations and safety.

The trucking contract should define when detention begins, the amount charged, any free-time period, and the records required to support the charge. Compensation practices vary across trucking sectors.

How do I file a cargo claim?

For interstate or foreign shipments covered by 49 CFR Part 370, the claimant generally submits a written communication to the proper carrier within the applicable deadline. It must contain enough information to identify the shipment, assert carrier liability, and claim a specified or determinable amount. 49 CFR § 370.3

A damage notation or inspection report by itself does not necessarily satisfy the federal minimum filing requirements. Keep the bill of lading, delivery receipt, photographs, invoices, inspection records, and other supporting evidence.

Can a carrier limit liability for damaged cargo?

Federal law permits liability limitations in some circumstances, but a dollar cap written into a contract is not automatically enforceable. For interstate freight governed by the Carmack Amendment, any limitation should comply with 49 U.S.C. § 14706 and the applicable transportation arrangement. 49 U.S.C. § 14706

Does a bill of lading replace a trucking contract?

Not necessarily. A trucking contract can establish the overall commercial relationship, while bills of lading document individual shipments. For covered transportation, the Carmack Amendment also assigns legal significance to receipts and bills of lading.

What does 42 mean in trucker talk?

As standalone CB slang, “42” is commonly used informally to mean “yes,” “okay,” or “understood.” CB slang is not a standardized regulatory language, so usage can vary.

It should not be confused with “10-42.” Many CB 10-code lists use 10-42 to report a traffic accident.

What is the 7-3 rule in trucking?

The 7-3 rule commonly refers to one way of using FMCSA's split sleeper-berth provision. A driver may take at least 7 consecutive hours in the sleeper berth and pair that period with another qualifying off-duty period so the two periods total at least 10 hours. A 7-hour sleeper period paired with 3 hours off duty is therefore known as a 7/3 split. FMCSA Hours of Service

The 7/3 split is not the only permitted pairing under the current rule; FMCSA also refers to 8/2 splits.

Disclaimer

Trucking requirements vary by state. Intrastate operating authority, USDOT registration, insurance, permits, environmental rules, and independent contractor classification may differ depending on where the Carrier operates. Check the requirements of every applicable state before using this trucking contract.

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