Truckers risk 'irreparable reputational damage'

Customers are unlikely to tolerate a trucking company caught breaking heavy vehicle laws, Ferrier Hodgson says

By Ruza Zivkusic-Aftasi | March 22, 2012

Transport operators caught breaking fatigue laws and tampering with speed limiters on their vehicles could lose customers, Ferrier Hodgson says.

Partner Brendan Richards says the New South Wales crackdown on trucking companies has set off a chain of events that could have significant impact on road transport operators.

Richards says operators caught up in allegations are at risk of losing their customers and unions banning any contact or activity with them.

"Financiers and transport operators need to pay careful attention to this issue and consider how it is likely to impact customers watching the evening news and seeing their logo on a trailer that has been involved in a speed or fatigue related activity," he says.

"With management in the firing line, who will keep the business on the road while the issues and legal actions are dealt with?"

"There is a risk that even if staff and management are ultimately absolved of blame, businesses will suffer irreparable reputational damage."

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