Carmack Amendment

An amendment to the Interstate Commerce Act which provides that a common carrier who receives property for transport to a point in another state or territory, the District of Columbia, or an adjacent foreign country shall be liable for any loss, damage, or injury it causes to its cargo. It makes a carrier liable, without proof of negligence, for all damage to the goods. First enacted in 1906, the amendment applies to motor carriers (UPS, FedEx, and the like), airlines, and freight forwarders as well as railroads and other sundry common carriers.