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Gilbert Express, Inc.

Case Summary

Case Name:

Owner-Operator Independent Drivers Association, Inc. v. Gilbert Express, Inc.

Court Name:

U.S. District Court of Newark, New Jersey

Case Filed:

10/1/2000

Allegations

This suit alleged that the form of the owner-operator agreement used by Gilbert violated the federal Truth-in-Leasing regulations.

Gilbert filed for bankruptcy protection in 2001.  In August 2002, the United States Bankruptcy Court for the District of New Jersey approved a class action settlement.  The terms of the settlement included the payment from Gilbert Express of $1 million into a settlement fund. The settlement covered all owner-operators who leased equipment and services to Gilbert Express during the period of October 1996 through June 2001 - approximately 1,100 drivers. Gilbert was also required under the settlement to comply with federal regulations by using the form of agreement Gilbert negotiated with OOIDA. In addition, current drivers with Gilbert Express will have their escrows guaranteed by other companies associated with Gilbert for a period of three years.

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