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What should a dispatch agreement say before I sign?

The fee and what it is calculated on, who pays it and when, that you pick and approve every load, how either side cancels and how fast, who handles which paperwork, and that the dispatcher acts as your agent and is paid by you.

Write down: the percentage or flat fee; the basis (linehaul or the whole invoice); setup and other fees (ideally none); the payment schedule; and cancellation terms with no penalty clause.

Also write down that the carrier approves loads and that the dispatcher is not a party to the freight contract. FMCSA's guidance points to a written contract appointing the dispatcher as the carrier's agent, with insurance and liability responsibilities set out, as one factor against needing broker authority.

If you cannot get a copy of your own signed agreement, treat that as a serious red flag. Have another operator or a transportation lawyer read it before you sign.

Example clause to ask for. "Dispatcher's fee is 6% of linehaul only, invoiced weekly to Carrier. Dispatcher will not accept payment from any broker or factoring company. Either party may end this agreement with 7 days' written notice. No penalty applies."

General information, not legal advice. Rules change. Check the sources and talk to a transportation lawyer before you sign or start.

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Last reviewed Thu, Nov 12, 2026 · Where our data comes from