Chalk one up for the little guys

Today the U.S. Court of Appeals for the Ninth Circuit ruled in favor of ATA in the lawsuit against the Ports of Los Angeles and Long Beach. The Court elected to remand the case to the U.S. District Court, indicating that the judge should grant ATA an injunction against all or part of the Concession Plans.

In a unanimous decision, the Judges decided that the Concession agreement at the Ports will force motor carriers to "adhere to unconstitutional conditions and will cause a good deal of economic harm in the interim."

As an add-on to the Clean Truck Program, which ATA supports, the Concession Plan masked a Teamster-backed labor agenda under the guise of environmental and safety protocol.

This plan called for the eventual ban of all owner-operators at the Port of Los Angeles, a move that would have had devastating effects on the trucking industry at the Ports. ATA estimates that 98 percent of drayage drivers are independent owner-operators who work as subcontractors there.

The Ninth Circuit Judges saw through the scheme, stating, "We see little safety-related merit in those thread-paper arguments, which denigrate small businesses and insist that individuals should work for large employers or not at all."

So, what does this mean? Chalk one up for the little guys.

From here, ATA will work expeditiously with the District Court to structure an injunction that implements the Courts' ruling and protects the interests of the motor carrier industry. The Court of Appeals decision said it would not entertain any petition for rehearing, although the Ports could appeal to the Supreme Court.

Click here to see the Courts' ruling in the lawsuit against the Ports.