Freight & Logistics Definitions

A bill of lading is a binding contract that serves three main purposes:

1. A receipt for the goods delivered to the transportation provider for shipment
2. A definition or description of the goods
3. Evidence of title to the relative goods, if "negotiable".

Its use ensures the smooth and secure transportation of construction materials and equipment, provides legal protection, and facilitates customs clearance, contributing to the overall success and efficiency of construction projects.

Commodity refers to the type of goods being transported. Whether it's raw materials, finished products, or other items, the commodity classification influences shipping and handling considerations.

The shipper is the individual or entity responsible for initiating the shipment. They are the ones sending the goods and engaging with carriers to transport their cargo.

The consignee, also known as a receiver, is the individual or company to whom the goods are being shipped. They are the designated recipient responsible for receiving and acknowledging the delivered cargo.

Detention is a penalty fee for delaying the carrier’s equipment beyond the allotted time. The typical allotted time is 2 hours for loading and 2 hours for unloading a full truckload.

Freight is any product being transported.

A freight broker, also known as a 3PL or third-party logistics company, is an independent contractor paid to arrange freight transportation. Unlike asset-based carriers, freight brokers have much more available capacity since they are not restricted to a certain set of available assets.

A lift gate is a hydraulic platform on the back of a truck that can raise and lower, facilitating the loading and unloading of heavy or bulky items without the need for additional equipment.

Less than truckload, or LTL are shipments that utilize 12 linear feet or less. LTL shipments are typically performed by national or regional LTL carriers who have built hub and spoke models designed to efficiently move smaller freight shipments. Often, multiple shipments from different senders are consolidated into a single truck, optimizing space and reducing costs.

A pallet jack is a manual or electric device used to lift and move pallets within a warehouse or during loading and unloading operations.

TONU, an acronym standing for “Truck Ordered, Not Used”, is a cancellation charge for ordering a truck and then canceling the order.

Dry van trailers are designed to transport the most versatile of dry products due to the fully enclosed nature of the trailer, which allows freight to be protected from the elements. Palletized products are most common as they can be efficiently and safely loaded/unloaded with a forklift or pallet jack from a dock.

Flatbed trailers are designed to transport products that are long, heavy or oddly proportioned which creates a challenge when loading/unloading an enclosed trailer. The open nature of the trailer allows for loading/unloading from the rear, sides or top; allowing forklifts and cranes to create an even lift on the freight. Flatbeds are best suited being loaded / unloaded from the ground, rather than from a dock.

RGN (removable gooseneck, also called low boy or double drop) trailers are designed to transport oversized freight, both legally and through the use of permits/escorts. RGNs are specifically useful for products that can be driven onto the trailer, such as tractors, specialty vehicles, and heavy machinery. With the ability to detach from the cab, and with drop-down ramps, freight can easily be driven on and off.

Reefer trailers are designed to transport products that require to be kept at a specific temperature or temperature range through the entirety of the transit. While reefers are traditionally utilized to keep freight cold, reefers have the ability to be kept at warmer temperatures to protect freight from freezing, or run dry freight with the refrigeration unit turned off.

Step deck trailers, also known as drop decks, are designed to transport products that are too tall for a standard flatbed. The trailer consists of two decks, the upper and lower. The use of the lower deck, or well, allows for freight up to 10’ high to be legally transported, while still providing the same loading/unloading capabilities of a standard flatbed.

Full truckloads are shipments that require the use of a full trailer.

Partial truckloads are shipments that do not require the use of the entire trailer. These shipments can be combined with other shipments resulting in reduced costs to ship freight. This method is typically associated with partial shipments that exceed 12 linear feet. For partial truckloads less than 12 linear feet, see LTL.

The use of two modes (truck and train) to complete a single long-distance movement of freight. The freight is typically loaded in a standard dry van that is pulled by a truck. The truck takes the freight to the nearest rail yard (ramp) so the trailer can be loaded onto a train for transit. The trailer is removed from the train once it arrives at a rail yard near the final destination. Finally, a trailer is hooked back up to a truck, which will deliver the goods to the final destination. This mode of transportation can offer significant cost savings on long-haul shipments.