OCTOBER 31, 2011

Illinois Court of Appeals Sustains $23.8M Verdict against C.H. Robinson

 

The Illinois Court of Appeals has refused to overturn a previous trial court decision, whereby C. H. Robinson Worldwide was found vicariously liable for two deaths and one serious injury.  This is another in a disturbing series of “vicarious liability” verdicts that should get the immediate attention of third-party logistics companies, shippers, and brokers — potentially changing forever the manner in which they do business.  One of the more disturbing aspects of this verdict is that it was not based on negligent selection of a carrier, but rather that the carrier was construed to be an agent of Robinson.  That being the result, we now have cases with huge verdicts saying that brokers, in particular, should protect themselves from some of their current methods and perhaps reform their transactional documents.