Several Long Distance Moving Carriers Are Closing Down

The 2026 U.S. economy is hitting long distance moving companies harder than the post COVID-19 pandemic period. From 2020 to 2023, COVID-19 affected some moving businesses, but people still had enough money to hire movers and cover other expenses. However, in 2026 inflation and the cost of living have gone so high that many relocation brands are closing down because they can't afford trucking costs, rent and fuel. Consumers are simply not hiring long distance movers now and are looking for other cheaper methods of transportation, or aren't moving at all. While the economic slowdown may be temporary, it can potentially be devastating for many service based businesses.

Small & Mid-Sized Carriers Abandoning Shipments

Carrier agents, independent carriers and small moving companies are quickly noticing the change in consumer behavior and are not acting in a positive manner. Instead, they are collecting full payment from their client and ghosting their customers. While this may come with consequences to the carrier, this act is out of desperation and many of them aren't considering legal action at this time.

Here is what to know.

FMCSA Complaints

A consumer may file a DOT complaint, but this will not result in a fast remedy. The FMCSA operates a national complaint database, and filing does not guarantee the agency opens an enforcement case on your specific move.

That said, there is a category that carries real weight. If a carrier is refusing to deliver your goods after you have paid what you lawfully owe, that is a hostage load under 49 U.S.C. § 14915 — not an ordinary delay. A hostage load carries a civil penalty of at least $10,000 per violation, each day can count as a separate violation, and the FMCSA can suspend the carrier's operating authority for 12 to 36 months. State Attorneys General also have enforcement power in this area.

File the complaint accurately and describe exactly what happened. Do not describe your shipment as stolen if the situation is a refusal to deliver, and do not describe it as a delay if the carrier is refusing to release goods you have paid for. Getting the category right is what determines whether anything happens.

FMCSA National Consumer Complaint Database: 1-888-368-7238

File Your Written Claim Within 9 Months

This is the step most consumers miss, and missing it can end your case before it starts.

Under the Carmack Amendment, you generally must file a written claim with the carrier within 9 months of delivery or of the date the goods should have been delivered. If the carrier denies the claim, you generally have 2 years and 1 day from the date of denial to file suit.

A phone call is not a claim. An angry email may not be enough. Put it in writing, describe the shipment, state what you are asking for, and keep proof that you sent it. Do this while you are still waiting on the truck — you do not have to wait for the situation to resolve.

Abandoned Shipments

Despite the economy having issues, a moving company has a legal obligation to deliver your household goods. If they fail to, you have options beyond waiting.

Before jumping to a lawsuit, know that every interstate household goods carrier is required to offer a neutral arbitration program for loss and damage disputes. It is far cheaper than litigation, and the carrier has to participate. Ask for the arbitration program in writing — it should be described in your paperwork.

If arbitration isn't appropriate or the carrier is unresponsive, small claims court is often the practical next step for smaller shipments, and it does not require an attorney. For larger losses, a civil suit is the route. It takes time, but it is the option that gets you compensation and damages.

Usually Not A Criminal Matter

A long distance moving company failing to deliver your household goods is generally treated as a civil matter, not a criminal one. If you attempt to file a police report, many detectives and local police departments will decline to take it. Because hiring movers constitutes a business transaction, officers typically view the dispute as civil and will not pursue charges.

Note the word typically. Holding a shipment hostage can carry criminal exposure of up to two years imprisonment, and some state Attorneys General do pursue these cases. If local police turn you away, your next call is your state Attorney General's consumer protection division, not the end of the road.

The Reality With Moving Carriers

Opening up a long distance moving company is one of the easiest businesses to start. All you need is a truck (you can even rent trucks), insurance, a DOT number and connections with brokers you can find online.

Interstate household goods carriers are registered federally through the FMCSA, not licensed state by state, and the registration process is far lighter than most consumers assume. Consequently there are a lot of bad operators out there that will quickly abandon shipments in the event their business operations fail.

In the event you feel you have been scammed by a mover, here is what to do:

• Contact the FMCSA and file a complaint. Describe the situation precisely. If the carrier is refusing to release goods you have paid for, say so plainly and reference it as a hostage load. That category carries penalties an ordinary service complaint does not.

• Contact your state Attorney General. Consumer protection divisions have enforcement authority over movers operating in their state and often move faster than federal channels.

• Contact your local news reporter. Local outlets regularly cover stories about consumers whose belongings never arrived. Public pressure can produce a resolution faster than any filing. Describe the facts as they are — reporters verify, and an accurate account is far more likely to run.

• File your written claim. Nine months. Do not let this clock run out while you wait.

  
  

Filing A Lawsuit

Your final step would be filing a lawsuit. This may be costly at first, but might be your only option if you truly feel scammed by your moving company. For smaller shipments, start with small claims — the filing fee is minimal and you don't need a lawyer.

The Moving Industry Is In Shambles

Many carriers have reported that they would like to complete their shipments but cannot at the rate at which they are being booked. This is because many long distance moving companies operate off of shared load shipping and they cannot begin transit until their truck is full.

Shared load is not the problem. It is the standard model in this industry, and it is the reason a consumer can move across the country without paying for an entire truck. The problem is carriers running shared load without the infrastructure to support it.

A carrier that books consolidated shipments needs two things: enough volume to fill trucks on a predictable schedule, and secure warehouse space to hold goods properly when a route is slow. Operators with neither are the ones sitting on shipments for months and generating the loss and theft claims filling the FMCSA database right now.

If you're booking a shared load move, ask the company directly where your items are stored if the route is delayed, and who holds the shipment while it waits. A carrier that owns its warehouse space can answer that in one sentence. One that can't is telling you something.