Boc 3 filing process is mandatory for transportation companies to freely operate in every state. This has to offer great legal protection to trucking organizations. Presently, the services of agents are working efficiently to provide companies in advance whatever they require to conduct routine business operations. Blanket agents help companies secure coverage and authority whenever needed.
Read the article below to learn why transportation companies must file a BOC-3 form and how it can be useful for brokers/transportation carriers/moving organizations.
Compliance with Federal Filing
First things first, BOC-3 filing is a federal procedure that shall be complied by the carriers, freight brokers, and transportation companies. It is quite imperative in terms of legalizing the businesses. BOC-3 filing is the USA’s federal filing process that is mandatory for every individual, partnership firm, or business concern that is involved with the logistics and transportation sector. BOC-3 filing helps companies grant within the USA to timely comply with legal procedures. Many transportation companies happen to choose an individual, agent, or organization (process agent) that can help in terms of submitting, receiving, and forwarding legal documents. In order to grant a BOC-3, processing agents shall be registered under the FMCSA. These processing agents are known to provide other services, including consultation, USDOT safety compliance, Intel, etc.
Key Requirement for FMCSA Certification
Transportation companies that are looking to apply for FMCSA certifications shall file a BOC-3. These companies are required to name service of process (SOP) agents who can work well with the federal regulations. In absence of BOC-3 filing, a transportation company or carrier business is not allowed to operate under the FMCSA (Federal Motor Carrier Safety Administration). In the USA, the FMCSA agency is responsible for getting control over the trucking industry to ensure road safeness. Henceforth, to get the authority, transportation companies must file a form pertaining to BOC-3. This way, carriers, freight brokers, transportation companies, and MVs owners can freely do businesses across different state lines.
Working With Blanket Process Agents
Filing a BOC-3 and keeping up with the compliance of other state regulations can be quite confusing, particularly for new businesses in the transportation sector. Therefore, it is recommended to work with a registered Blanket Process Agent that can help businesses legalize their operations and transportation activities across different state lines. Working with a process agent is an FMCSA obligation that shall be fulfilled as per the jurisdiction in which a company mainly operates. Having a process agent on the side of transportation companies can be quite beneficial in terms of tracking legal notifications. Indeed, regulations at state and federal levels change rapidly, and to avoid any potential penalties, every transportation company is required to timely comply with FMCSA.
To Ensure Legal Presence
Form BOC-3 is a great tool for transportation companies, motor carriers, brokers, and freight forwarders to have a legal presence in more than 50 US states. As mentioned earlier, filing a BOC-3 helps companies in the transportation industry to conduct business as per state laws & federal processes. Process agents are known to represent transportation companies in every state so that trucks’ operational activities can be run freely without any potential legal issues.
For instance, let’s say trucking company ABC is based in NYC, but one of their MVs or trucks got involved in a road accident in Kansas while hauling goods. The other party/driver will be willing to take legal action against ABC Company. However, in the presence of BOC-3, ABC Company can authorize an agent in Kansas to physically deal with court-related matters or handle lawsuits directly.
Grant Additional Services
As discussed in the aforementioned points, the BOC-3 form can help trucking companies acquire needed authority or licenses so that they can perform transportation activities across many US state lines. But, in reality, BOC-3 is much more than that—it allows clients/trucking businesses/cargo providers/carriers with multiple services. Process/Registered agents are capable enough to send or receive legal notices. They can better handle legal cases filed against their clients (trucking companies). Since they have more knowledge of the local jurisdictions, they can be better state representatives registered with the Department of Transportation (USDOT).