Truck Dispatch & Freight Industry Definitions

Definitions

Truck dispatcher

A back-office service that books freight on behalf of motor carriers, negotiates rates with brokers and shippers, and manages paperwork so drivers can focus on driving.

MC number

Motor Carrier Operating Authority issued by the FMCSA permitting interstate transport of regulated commodities for hire.

DOT number

USDOT identifier used by FMCSA to track a carrier's safety, inspections, crash investigations, and compliance reviews.

Linehaul rate

The base per-mile compensation a broker or shipper pays a carrier for moving a load from origin to destination, excluding fuel surcharge and accessorials.

Deadhead

Miles driven without a paying load — typically when repositioning between deliveries and the next pickup.

Detention pay

Compensation owed by a shipper or receiver when loading or unloading exceeds a contracted free time window, usually 2 hours.

Factoring

A financing arrangement where a carrier sells its accounts receivable invoices to a third party at a discount in exchange for immediate cash.

Broker-carrier agreement

The contract governing the relationship between a property broker and a motor carrier, including payment terms, liability, and dispute resolution.

Rate confirmation

The signed document from a broker that locks in the agreed price, lane, and terms for a specific load.

BOL (Bill of Lading)

The legal shipping document that lists the freight, terms of carriage, and serves as proof of delivery once signed by the consignee.