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Legal Definitions - private carrier

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Definition of private carrier

A private carrier is an individual or organization that transports goods or people, but only under specific, pre-arranged agreements with particular clients. Unlike a common carrier, a private carrier does not offer its services to the general public and is not obligated to serve everyone who requests transportation.

Essentially, a private carrier operates on a selective basis, choosing its customers and defining the terms of service through individual contracts. They do not advertise or hold themselves out as being available to transport for just anyone.

  • Example 1: Specialized Industrial Transport

    Imagine "MegaMove Logistics," a company that owns a fleet of specialized trucks designed to transport oversized and delicate industrial equipment, such as wind turbine components or large factory machinery. MegaMove Logistics does not offer general freight services; instead, it enters into specific contracts with a handful of manufacturing companies to move their unique products. They would decline a request from a small business owner wanting to ship standard pallets of goods.

    This illustrates a private carrier because MegaMove Logistics operates exclusively under special agreements with specific industrial clients. They do not present themselves as available to the general public for any type of transport and are not legally bound to accept every shipping request that comes their way.

  • Example 2: Exclusive Corporate Shuttle Service

    Consider "ExecutiveRide," a transportation company that has a long-term contract with a single large technology firm, "InnovateTech," to provide daily shuttle services for its employees between their suburban homes and the corporate campus. ExecutiveRide's vehicles are branded with InnovateTech's logo, and their routes and schedules are tailored specifically for InnovateTech's workforce. ExecutiveRide does not accept bookings from the general public for airport transfers, private events, or other individual transportation needs.

    This illustrates a private carrier because ExecutiveRide provides transportation services solely based on a special agreement with InnovateTech. They do not offer their services to the broader public and are not obligated to transport anyone outside of their contractual arrangement with the technology firm.

Simple Definition

A private carrier, also known as a contract carrier, is an individual or organization that transports passengers or goods for a fee under a specific agreement. Unlike a common carrier, it does not offer its services to the general public and is not obligated to serve everyone who requests transport.

The difference between ordinary and extraordinary is practice.

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