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Will the Pilot Flying J settlement benefit trucking companies who were cheated on fuel rebates? Lawyers for many trucking companies don’t think so. Most are unhappy with the preliminary settlement, calling it a “one-sided deal that provides no real benefit.” They also feel it was put together in a rush without seeking any input from the trucking companies that were impacted.
The settlement will reimburse trucking companies for fuel rebate shortages, plus 6 percent interest. Pilot Flying J travel centers were found to be cheating trucking companies out of rebates and discounts on diesel fuel purchases. Pilot is responsible for paying administrative and accounting fees, attorney’s fees and court costs. The settlement, which underwent a recent revision, covers overcharges that occurred from Jan. 1 2005 through July 15, 2013.
Lawyers for the trucking companies also criticized the vague language in the settlement. It doesn’t state how much money the companies will get, just that they will be paid what they are owed with interest.
Lawyers argue that the settlement offers nothing more than what Jimmy Haslam already granted trucking companies affected by the fuel rebate scandal.
Nearly 20 trucking companies have sued Pilot since the beginning of the ordeal. Pilot reached a preliminary agreement with eight of the companies in an Arkansas court, and the judge certified it as a class settlement. The ruling enables any Pilot customers that were part of a fuel rebate/fuel discount program to join the settlement.
A lawyer for Pilot noted that companies are free to opt out and “pursue another route” if they are unhappy with the settlement. A group of trucking companies plan to continue with lawsuits against Pilot Flying J. These nine companies plan to consolidate their cases in Mississippi.
An attorney for one of the trucking companies who agreed to the settlement said that “consolidation in Mississippi could delay payments to the trucking companies” that agreed to take the offer.
Carriers have until October 15, 2013 to opt out. Pilot Flying J has created an informational website with the details of the fuel rebate settlement. It details the legal rights and options carriers have regarding the settlement.
Now that this fuel rebate debacle has been (somewhat) remedied, it might be a good time to look into what our truck factoring fuel cards can do for your company. Fuel cards are available with our trucking factoring services and provide fuel discounts at nearly all major truck stops in the US.
