The word "freight" is commonly used to mean both the carried goods and the charges for carrying the goods. A claim for freight means only the charges for the carriage of goods, and is frequently referred to as "rates". Lost, damaged, or delayed delivery of goods are referred to as lost, damaged, or delayed freight.

The party that sends the goods is the "consignor". The party that ultimately receives the goods is the "consignee". A "broker" is a party that arranges the transportation of goods between the consignor and consignee. Even though the broker may receive goods from the consignor and give the goods to the carrier, a broker is neither a consignor nor a consignee. The party or parties that carry the goods is/are the "carrier".

Under federal law, both the consignor and consignee are liable for the payment of rates to the carrier where the goods are carried in interstate shipment. Equitable estoppel may get a consignee off the hook if the Bill of Lading is marked "prepaid".

State law controls in intrastate shipments. In intrastate shipment within Texas, under Texas case law, only the consignor is liable for payment of rates.

Note that the Statute of Limitations for a suit for unpaid freight is 18 months (see 49 USCA 14705(a)). It is not governed by state law limitations on suits for debt.

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