A federal rule restricting the ability of states to issue commercial driver licenses (CDLs) to foreign-domiciled residents is drawing a sharp political divide, with 23 states led by Republican governors filing a legal brief in support of the regulation. The case, Lujan vs. FMCSA, could reshape the driver supply for freight operations relying on non-domiciled workers, with oral arguments set for September 15 before the Court of Appeals for the District of Columbia.
The Regulatory Dispute
According to FreightWaves, the rule made final in February by the Federal Motor Carrier Safety Administration (FMCSA) greatly restricts the agency's ability to allow states to issue CDLs to foreign-domiciled residents. The only foreign-born residents that FMCSA said can still be issued a CDL are those who hold H-2A, H-2B, or E-2 status. As the states' brief notes, 'because applicants for these statuses undergo careful screening by multiple federal agencies, any applicant’s unsafe driving history comes to light. Then States know who is too dangerous to possess a CDL.'
The lawsuit, filed by driver Jorge Rivera Lujan, also includes as plaintiffs the AFL-CIO and the American Federation of Teachers. Numerous states led by Democratic governors are listed as amicus curiae for Lujan, ranging from Arizona to Washington, creating a clear partisan split.
State Perspectives
Last week, an amici curiae brief was filed by Florida, Alabama, Alaska, Arkansas, Georgia, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Mississippi, Missouri, Montana, Nebraska, North Dakota, Ohio, Oklahoma, South Carolina, South Dakota, Tennessee, Texas, and West Virginia – all states with Republican governors.
'The States have an interest in ensuring that federal safety regulations adequately protect drivers on their roads from threats posed by large commercial vehicles driven by unqualified commercial drivers,' the brief says. 'Without proper federal protections, States will be forced to spend more of their own time, budgets, and personnel to keep their travelers safe.'
Exhibit A in the red states' argument is a horrific crash involving Harjinder Singh, who was not in the U.S. legally and driving on a license granted by California. He made a U-turn on a Florida highway, resulting in a crash that killed three persons in a passenger car. The brief includes summations of similar fatal incidents in California, Tennessee, Indiana, and Oregon.
The D.C. Court of Appeals already denied a request for a stay in FMCSA's implementation of the rule.
Impact on Trucking Operations
For freight forwarders and logistics managers, the rule directly affects the supply of CDL-qualified drivers. States that have historically issued licenses to foreign-born residents, especially in agriculture-heavy regions, may see a tighter labor pool. The brief argues that states cannot address the problem alone due to recent Supreme Court decisions, necessitating a federal rule. The rule's backers argue it prevents unsafe drivers from operating large commercial vehicles.
| Aspect | Details |
|---|---|
| Rule effective | February 2026 |
| Restricted group | Foreign-domiciled residents (except H-2A, H-2B, E-2 visa holders) |
| Supporting states | 23 Republican-governor states |
| Opposing parties | Plaintiffs Lujan, AFL-CIO, AFT; blue states amicus |
| Next event | Oral arguments September 15, D.C. Circuit |
While the rule aims to improve safety, it may reduce the available driver workforce, potentially increasing spot rates on capacity-constrained lanes. Shippers in regions that depend on seasonal agricultural drivers should monitor the case closely.
What Shippers Should Watch
The September 15 oral arguments will be a key indicator of the rule's longevity. If the court upholds the rule, carriers may need to adjust hiring strategies. If the rule is struck down, states could resume issuing CDLs to foreign-domiciled residents, potentially easing driver shortages. Any change will affect the labor market for trucking, particularly in states like California and Texas with large immigrant communities.
The FreightWaves Brokerage Compliance Symposium and F3: Future of Freight Festival are upcoming industry events where these regulatory issues will be discussed.
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