Senate Committee Advances Bipartisan Bill to Combat Moving Company Fraud

May 29, 2025

The Senate Committee on Commerce, Science and Transportation has approved the bipartisan Household Goods Shipping Consumer Protection Act, which aims to combat fraud in the residential moving industry. The legislation, introduced by D.C. Del. Eleanor Holmes Norton and Rep.

Who is affected

Consumers using residential moving services
Legitimate moving companies and industry players
Federal Motor Carrier Safety Administration (FMCSA)
Fraudulent moving businesses operating deceptive schemes

What action is being taken

The Senate Committee on Commerce, Science and Transportation is approving the Household Goods Shipping Consumer Protection Act
Lawmakers are working to empower the FMCSA with stronger enforcement tools
Industry and safety groups are backing the legislation
The bill is moving forward in the legislative process

Why it matters

Fraudulent moving companies are collecting upfront payments and holding customers' belongings hostage for additional fees
These deceptive businesses operate under fake online reviews and reopen under new FMCSA licenses when complaints accumulate
The current regulatory framework struggles to address the "whack-a-mole" problem of shutting down and reopening fraudulent operations
The legislation would clarify FMCSA's authority to assess civil penalties and withhold registration from illegitimate businesses

What's next

The bill will continue moving forward in the legislative process after committee approval

Read full article from source: The Washington Informer