FedEx Investigation

Greg Coleman Law attorneys are gathering information from individuals and businesses who have been impacted by FedEx Corporation’s alleged contracting practices, including sudden contract changes, punitive financial assessments, and forced terminations.

A Tennessee logistics company has filed a lawsuit in Washington County, Tennessee, bringing these issues to public attention, highlighting how FedEx’s actions have allegedly impacted contractors and small business owners across the region.

In early 2025, Tennessee-based LCQ Logistics – a company contracted with FedEx – filed a lawsuit seeking emergency injunctive relief against FedEx Corporation.

According to the complaint, FedEx engaged in conduct that jeopardized LCQ’s business and the livelihood of its employees. The complaint claims FedEx breached its contract, withheld route territories, and imposed thousands of dollars in “liquidated damages,” while ignoring raised safety concerns.

The lawsuit alleges FedEx’s practices worsened dramatically following the merger of FedEx Ground and FedEx Express, which contractors claim triggered:

• Sharp decreases in contractor profitability
• Abrupt, one-sided changes to contract terms
• Increased pressure on contractors and drivers
• Significant pay disparities compared to competitors like UPS
• Failure to account for economic and operational realities

Contractors claim raising concerns resulted in being ignored or retaliated against, including route removal and unwarranted scrutiny.

Weather Disasters Led to Safety Issues, Alleged Breach of Contract

A key component of the LCQ Logistics claim outlines multiple instances where FedEx allegedly ignored safety protocols, particularly during severe weather.

In September 2024, after Hurricane Helene caused catastrophic flooding and road closures across several Tennessee counties, LCQ alleged FedEx:

• Refused to honor promised weather-exception protocols
• Overrode contractor discretion, requiring unsafe or impossible deliveries
• Assessed liquidated damages without basis or explanation

According to one contractor, a FedEx representative allegedly dismissed safety concerns by saying he was “more concerned with a volcano erupting in the middle of Elizabethton” than the region’s flooded rivers.

Following a major snowstorm in January 2025, LCQ alleges FedEx removed assigned LCQ routes, reassigned them without justification or cause, and never returned the routes once the weather conditions improved.

At least eight LCQ Logistics drivers were left without work as a result, eventually prompting company layoffs.

If you lost routes, trucks, or drivers after severe weather or performance disputes, you’re not alone.

“Forced Termination” and “Substantial Duress” Alleged

According to LCQ Logistics, in February 2025, FedEx presented a termination agreement and pressured members of the LCQ leadership to sign the agreement immediately. According to the complaint:

• LCQ was denied adequate time to review the agreement
• FedEx representatives threatened immediate termination if LCQ did not sign
• LCQ claims FedEx refused to negotiate a contract
• LCQ was confronted with unexplained invoices for “liquidated damages”

A representative of LCQ had even requested to step away to consult with family before signing. The complaint alleged FedEx denied his request.

Given the pressure, LCQ claims it signed the agreement “under duress.” 

When the contract ended on February 28, 2025, LCQ claims the business was effectively forced to close, unable to pay drivers, maintain its fleet, or meet financial obligations.

Are You Part of the Potentially Affected Class?

You may qualify if you:

• Operate or operated as a FedEx Ground or Express contractor
• Are an owner, partner, or operator of a FedEx-contracted delivery provider
• Lost routes or had service areas reassigned without cause
• Were charged or threatened with liquidated damages related to weather or operational incidents
• Felt pressured to sign amendments or termination agreements
• Experienced retaliation after raising concerns to FedEx
• Suffered financial losses or layoffs because of FedEx’s conduct

Contractors across the country have described a similar pattern of long-standing, locally operated businesses being pushed out by FedEx’s corporate decision-making.

Regional contractors claim to have experienced:

• Sudden or unexplained liquidated damages
• Route removal or reassignment
• Pressure to dispatch drivers in unsafe conditions
• Retaliation for raising concerns
• Forced signing of unfair contract changes
• Termination or non-renewal without just cause
• Financial harm caused by FedEx’s alleged conduct

If your livelihood or business was harmed, you may be eligible to join the ongoing action.

We Want to Hear Your Story

FedEx’s alleged actions not only hurt businesses… they hurt people, families, workforces, and local communities.

If you have been subjected to unfair treatment, your story can help demonstrate the full picture of what’s happening to FedEx contractors nationwide.

Call or contact us today for a confidential case review.

Zero obligation to proceed, zero cost to inquire.