Moving Company Arbitration: The Right Almost Nobody Uses

Every interstate mover is required to participate in an arbitration program and must give you a summary of it before you sign the bill of lading. Arbitration lets you resolve loss and damage claims, and certain disputed charges, through a neutral third party instead of going to court. FMCSA notes it is often cheaper and more convenient than a lawsuit, and you are not required to use it.

Almost nobody uses this, mostly because almost nobody knows it exists. It is one of the more useful rights a moving customer has.

What arbitration actually is

A neutral arbitrator hears both sides and issues a decision. No courtroom, no lawyer required, and it is designed to be far faster and cheaper than litigation.

The requirement is not optional for the mover. All interstate movers must participate in a dispute settlement program, and they must provide you with a concise, accurate summary of theirs before executing the order for service.

Check your paperwork. That summary should be in there, and it names the specific program your mover uses.

The two things people get wrong

You are not forced into it

FMCSA states plainly that you are not required to submit to arbitration in the event of a dispute. It is a route available to you, not a waiver of your right to sue.

This is different from the mandatory arbitration clauses people encounter with banks and phone companies. Here, the mover must offer it and you choose whether to use it.

You can request it

If you cannot reach a settlement with your mover, you have the right to request arbitration from them.

That sentence is worth remembering during a stalled negotiation. A company stonewalling a claim is not expecting a customer who says “I’m requesting arbitration under your dispute settlement program.” It signals you have read the documents they assumed you ignored.

What arbitration covers

Loss and damage claims, the main use
Certain disputed charges, though the scope varies by program

What it generally does not resolve: an ongoing hostage load where your goods are being held right now. Arbitration is not fast enough for that. Use the FMCSA hotline and your state Attorney General instead.

Arbitration versus the alternatives

Route	Cost	Speed	Best for
Written claim to the mover	Free	30 to 120 days	Always do this first, it is required
Credit card chargeback	Free	Weeks	Charges disputed within about 60 days
Arbitration	Program fee, usually modest	Months	Claim denied or settled too low
Small claims court	Filing fee	Months	Amounts below your state’s limit
Civil suit	Significant	Year or more	Larger claims, usually with a lawyer

How to use it

Step 1: File the written claim first

You have 9 months from delivery, and it is a precondition for everything that follows. The mover must acknowledge within 30 days and pay, deny, or explain a delay within 120 days.

Step 2: Find the arbitration summary

It should be among the documents given to you before you signed the bill of lading. If you cannot find it, ask the mover for it in writing. If they never provided it, that failure is itself a violation worth documenting in a complaint.

Step 3: Request arbitration in writing

Send it certified mail. State the claim number, the amount, why the settlement is unreasonable, and that you are requesting arbitration under their dispute settlement program.

Step 4: Prepare like it matters

The arbitrator sees documents, not your frustration. Bring the estimate, the bill of lading, the inventory sheet with item numbers, photographs, your written claim, their response, and repair or replacement quotes.

Step 5: Know the ceiling

Your recovery is still bounded by your valuation level. Released Value Protection caps liability at 60 cents per pound per article. An arbitrator applies the contract, not a sense of fairness about what your things were worth.

Should you use it?

Good fit: your claim was denied or lowballed, the amount is meaningful but not enormous, you have solid documentation, and you would rather not spend months in court.

Poor fit: your goods are being held right now, the mover has vanished, the amount is small enough that a chargeback or small claims is simpler, or the case is complex enough to need a lawyer.

One practical note: run your other options in parallel. Filing an FMCSA complaint does not affect your right to pursue a civil action, and requesting arbitration does not stop you filing a complaint.

Frequently asked questions

Do moving companies have to offer arbitration?

Yes. All interstate movers are required to participate in a dispute settlement program and must provide you with a summary of it before you sign the bill of lading.

Am I required to use arbitration instead of suing?

No. FMCSA states you are not required to submit to arbitration in the event of a dispute. It is an option available to you, not a replacement for your right to go to court.

What does moving arbitration cover?

Loss and damage claims, and certain types of disputed charges. Scope varies by program. It is not a fast enough route for a shipment currently being held.

How do I request arbitration with my mover?

File your written claim first, locate the arbitration summary in your moving documents, then request arbitration in writing, ideally by certified mail, referencing the claim and the amount in dispute.

Is arbitration cheaper than going to court?

Usually. FMCSA notes that arbitration may be a less expensive and more convenient way to seek recovery than filing a lawsuit.

What if my mover never gave me the arbitration summary?

That is a violation of the disclosure requirements. Document it and include it in a complaint at nccdb.fmcsa.dot.gov, and request the summary from the mover in writing.

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