U.S. Supreme Court Interprets “Safety Exception” Within the Federal Aviation Administration Authorization Act (FAAAA) To Save State Law Negligent Hiring Claims Against Brokers

In a short, unanimous decision delivered by Justice Barrett on May 14, the United States Supreme Court in Montgomery v. Caribe Transport II, LLC et al. ruled that the FAAAA does not preempt state law negligent hiring claims against brokers who arrange interstate shipment of goods by motor carriers. The decision, which acknowledged a split amongst federal appellate courts over the breadth of the so-called “safety exception” to the FAAAA’s exemption provision, ruled that the “safety exception”…
By: Goldberg Segalla