# Exclusive Use Vehicle Freight Contracts

*Last updated: 2026-06-23*

> When a consignment cannot share space with third-party cargo—whether for legal, safety, or operational reasons—shippers turn to exclusive use vehicle contracts, commonly known in road freight as full truckload (FTL) charters.

When a consignment cannot share space with third-party cargo—whether for legal, safety, or operational reasons—shippers turn to exclusive use vehicle contracts, commonly known in road freight as full truckload (FTL) charters. The entire vehicle is reserved for one shipper: no part-load pickups, no groupage consolidation, no detours. ADR-regulated dangerous goods, chilled or frozen foodstuffs, high-value capital equipment, and time-critical spare parts are the most frequent use cases. Compared with LTL or groupage, costs are considerably higher because the client bears the full vehicle expense regardless of actual load factor—but transit times are shorter, cargo handling is reduced, and claims exposure is lower. Freight forwarders quoting exclusive use contracts must assess total mileage, vehicle category, driver hours regulations, and any special equipment required at loading or delivery point.

**Source:** [https://www.investopedia.com/terms/e/exclusive-use.asp](https://www.investopedia.com/terms/e/exclusive-use.asp)

## Quick Facts

| Property | Value |
|---|---|
| Term | Exclusive Use Vehicle Freight Contracts |
| Language | EN |
| Word count | 127 |
| Last updated | 2026-06-23 |
| Source | https://www.investopedia.com/terms/e/exclusive-use.asp |

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