Gavin Howe
A common carrier is a private or public entity that transports goods or people from one place to another for a fee. The term is distinctive to common law systems, particularly in the US, and is seldom used in Continental Europe. Common carriers are responsible for any possible loss of goods during transport. They are subject to special laws and regulations that differ depending on the means of transport used. Common carriers are also distinguished from contract carriers, which transport goods for a specific number of clients, and private carriers, which are owned by companies and used to transport their goods.
| Characteristics | Values |
|---|---|
| Definition | A private or public entity that transports goods or people from one place to another for a fee |
| Origin of the term | Transportation |
| Examples | Taxi services, trucking companies, rail freight services, waste removal services, couriers, vehicle towing services, air freight services, bus services, airlines, railroads, phone companies, internet service providers, cruise ships, motor carriers, oil and gas pipeline operators, etc. |
| Common carrier vs private carrier | Unlike private carrier services, a common carrier is available to anyone willing to pay its fee |
| Common carrier vs contract carrier | A common carrier transports goods or people for the general public, while a contract carrier transports goods for only a certain number of clients |
| Common carrier law in the US | Many oil, gas, and CO2 pipelines are common carriers. The Federal Energy Regulatory Commission (FERC) regulates rates charged and other tariff terms imposed by interstate common carrier pipelines. Intrastate common carrier pipeline tariffs are often regulated by state agencies. |
| Common carrier law in Continental Europe | The term "common carrier" does not exist in Continental Europe, but is distinctive to common law systems, particularly in the US |
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What You'll Learn
Common carrier vs. private carrier
A common carrier is a person or company that transports goods or people for any person or company, and is responsible for any potential loss of goods during transport. Common carriers are subject to special laws and regulations that differ depending on the mode of transport used. They are distinguished from contract carriers, which transport goods for a specific set of clients, and private carriers.
Common carriers offer their services to the general public without discrimination, for the "public convenience and necessity". They must demonstrate to the regulator that they are "fit, willing, and able" to provide the services for which they are granted authority. Typically, common carriers transport people or goods according to defined and published routes, time schedules, and rate tables, upon the approval of regulators. Public airlines, railroads, bus lines, taxicab companies, phone companies, internet service providers, cruise ships, motor carriers, and other freight companies generally operate as common carriers.
Private carriers, on the other hand, transport their own goods using their own fleet. They are not for-hire carriers, and their primary business is not the transportation of goods for other companies. The types of goods shipped and the destinations determine the composition of a private carrier's fleet. Private carriers often invest in their transportation fleets to control costs and increase flexibility.
Contract carriers offer a middle ground, providing personalized transportation services under special agreements. They work exclusively with specific clients, offering customised services and schedules tailored to their customers' needs.
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Common carrier liability
In common law jurisdictions, a common carrier is typically held absolutely liable for any goods transported by them. This means that they are responsible for any loss or damage to the goods during transit. However, there are certain exceptions to this liability, such as when the damage is caused by a fire on board a ship or by a navigational error, in which case a sea carrier may not be held liable.
When it comes to the transportation of people, common carriers have a duty to exercise the utmost care and diligence for their passengers. They must comply with the safety standards and regulations set by the relevant regulatory body, such as the Federal Aviation Administration (FAA) for commercial airlines in the United States. If a common carrier fails to meet these standards or warn passengers about potentially dangerous conditions, they may be held liable for any injuries sustained by passengers.
To establish common carrier liability in personal injury cases, plaintiffs must typically prove negligence on the part of the common carrier. This can be done through evidence such as inspection records, expert witness testimony, and other relevant facts of the case. For example, if a bus company's inspection records advise the installation of new brakes but they fail to do so, they could be held liable for any injuries resulting from a brake failure accident.
It is important to note that the specific laws and regulations governing common carriers may vary depending on the means of transport and the jurisdiction in which they operate. For instance, sea carriers may be subject to different rules compared to road or railway carriers, and the term "common carrier" itself is primarily used in common law systems, such as in the United States, and may not have an exact equivalent in civil-law systems in Continental Europe.
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Common carrier law in the US
A common carrier is a person or company that transports goods or people for any person or company and is responsible for any possible loss of goods during transport. The term is derived from transportation, and this is still the context in which it is most frequently used.
In the US, common carriers are subject to special laws and regulations that differ depending on the means of transport used. They are regulated by a regulatory body that has been granted "ministerial authority" by the legislation that created it. This regulatory body may create, interpret, and enforce its regulations upon the common carrier, subject to judicial review, as long as it acts within the bounds of the enabling legislation.
Common carriers are distinguished from contract carriers, which transport goods for only a certain number of clients and can refuse to transport goods for anyone else, and from private carriers, which are owned and operated by a single company and are not available to the general public. Unlike private carriers, common carriers must provide their services to anyone willing to pay their fees unless they have good grounds to refuse.
In the US, common carriers typically include public airlines, railroads, bus lines, taxicab companies, phone companies, internet service providers, cruise ships, motor carriers (e.g. canal operating companies, trucking companies), and other freight companies. Many oil, gas, and CO2 pipeline operators are also common carriers.
The status of Internet service providers (ISPs) as common carriers is widely debated, with legal challenges filed by ISPs against net neutrality rules.
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Common carrier law in the UK
In the UK, the term 'common carrier' is used interchangeably with 'public carrier' and is distinct from a 'contract carrier' or 'private carrier'. A common carrier is a person or company that transports goods or people for any person or company and is responsible for any possible loss of the goods during transport.
The term is a common law term and is not used in Continental Europe, as it has no equivalent in civil-law systems. Common carriers are subject to special laws and regulations that differ depending on the means of transport used. For example, sea carriers are governed by different rules from road carriers or railway carriers.
In the UK, the Carriers Act 1830 outlined that common carriers, including mail contractors and stage coach proprietors, would not be liable for the loss or injury of certain valuable articles, including gold or silver coins, precious stones, jewellery, watches, clocks, and timepieces. However, if the value of the parcel exceeded ten pounds, it was lawful for common carriers to demand an increased rate of charge, provided they notified customers through a public notice.
Common carriers in the UK must offer their services to the general public without discrimination and demonstrate to the regulator that they are "fit, willing, and able" to provide the services for which they are granted authority. They typically transport people or goods according to defined and published routes, time schedules, and rate tables, upon the approval of regulators.
In the context of carriage of goods by sea, UK law recognises the Hague-Visby Rules, which outline the responsibilities and liabilities of carriers. Carriers must perform their duties with "due diligence", meaning reasonable care, and any attempt to exclude or limit liability is void and unenforceable.
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Common carrier law in continental Europe
The term "common carrier" is a common law term and is seldom used in Continental Europe because it has no exact equivalent in civil-law systems. In Continental Europe, the functional equivalent of a common carrier is referred to as a "public carrier" or simply as a "carrier". However, the term "public carrier" in Continental Europe differs from its meaning in British English, where it is a synonym for "contract carrier".
A common carrier in common law countries is a person or company that transports goods or people for any person or company and is responsible for any possible loss of the goods during transport. They offer their services to the general public under a license or authority provided by a regulatory body. Common carriers include public airlines, railroads, bus lines, taxicab companies, phone companies, internet service providers, cruise ships, and motor carriers.
In civil-law countries, the contract of carriage first achieved distinct form in the early 19th century. The French Civil Code of 1804, following the Romanist tradition, dealt with the contract of carriage as a species of the contract for the hire of services and subjected carriers to the same obligations as depositaries. However, the French Commercial Code of 1807 established a special legal regime for professional carriers, making the contract of carriage a distinct contractual form.
In France and in many countries following the French system, a contract of carriage requires the presence of three indispensable elements: carriage, control of the operation by the carrier, and a professional carrier. If any of these elements are missing, the contract is considered a hire of services rather than a special contract of carriage. Exculpatory clauses in a contract of carriage are ordinarily null and void, and actions that may be brought against the carrier are subject to a short period of limitation, typically one year.
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Frequently asked questions
A common carrier is a private or public entity that transports goods or people from one place to another for a fee. Common carriers are available to anyone willing to pay their fee and must do so without discrimination.
Common carriers include public airlines, railroads, bus lines, taxicab companies, phone companies, internet service providers, cruise ships, trucking companies, and other freight companies.
A common carrier is distinguished from a contract carrier as the former transports goods or people for anyone willing to pay, while a contract carrier only does so for a certain number of clients.
