On October 11, 2021, we published a blog post on vaccination mandates for independent contractors. We addressed the issue of whether OSHA, in issuing a rule covering so called “large employers” with over 100 employees, will...more
Can companies mandate that independent contractors be vaccinated? Do independent contractors have any rights if they are unwilling to comply with a vaccination mandate? The answer to these questions may depend on whether...more
The first three cases reported below regarding legal developments in August 2021 have four common denominators: the defendants are all large gig economy companies; plaintiffs’ class action counsel is the same; the lawsuits...more
9/15/2021
/ ABC Test ,
Arbitration ,
Class Action ,
Corporate Counsel ,
Employee Definition ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Federal Arbitration Act ,
Gig Economy ,
Independent Contractors ,
Lyft ,
Misclassification ,
Wage and Hour
June was a relatively slow month in the area of independent contractor misclassification and compliance. But it produced what may turn out to be one of the more important judicial decisions in years affecting last-mile...more
Tonight the President is expected to announce on the major networks and cable news services that he will sign into law tomorrow the next stimulus bill called the American Rescue Plan Act of 2021, which Congress passed...more
January 2021 may well be remembered in the independent contractor area of law as the “not so fast” month. The Fifth Circuit Court of Appeals told lower courts “not so fast” when it comes to certifying collective actions. ...more
On December 27, the President signed the next stimulus bill that Congress passed on December 21. The legislation extends unemployment assistance not only for employees but also for independent contractors and other...more
The results are in. Voters in California don’t want their rideshare and app-based delivery services to change. By an overwhelming majority, Proposition 22 was approved by California voters. Essentially, that means that...more
Last month presented a clash between the enactment of a new version of the most restrictive state law test in the nation for independent contractor status and the issuance of a proposed federal regulation that would create...more
10/9/2020
/ ABC Test ,
Class Action ,
Corporate Counsel ,
Department of Labor (DOL) ,
Employee Definition ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Independent Contractors ,
Misclassification ,
Preemption ,
Wage and Hour
Yesterday, the U.S. Labor Department issued a proposed regulation addressing the classification criteria of workers as independent contractors or employees under the Fair Labor Standards Act (FLSA). Unlike regulations with...more
Last month’s legal news in the area of independent contractor misclassification and compliance was dominated by two key arbitration decisions by federal circuit courts: one that compelled arbitration of an IC...more
Many independent contractors complained of dire consequences after Assembly Bill 5 (AB5) became effective in California on January 1, 2020. Following intense lobbying and public relations campaigns, independent contractors in...more
Two recent federal appellate court decisions struck down Amazon’s arbitration clause in its agreements with workers who deliver its packages to Amazon customers. Those two rulings have created great concern for businesses in...more
Six of the nine cases reported below from July 2020 involve drivers’ class action lawsuits alleging independent contractor misclassification against transportation and logistics companies. They include three settlements, the...more
Many companies are asking, should we require independent contractors to sign advance waivers and releases of liability for contracting the Coronavirus? Most commentators have urged companies to refrain from requiring...more
May 2020 was not a busy month for the filing of new independent contractor misclassification lawsuits, as some courts were closed for new filings and many lawyers were working remotely. But five cases came to our attention...more
The last two months have consumed all of us with matters related to COVID-19. This public health emergency has created an anomalous situation virtually no one could have foreseen: legislation being passed at the federal level...more
The New York Court of Appeals today issued a decision involving the independent contractor status of a Postmates courier. As will become readily apparent by a description of the case history our “Takeaways” below, the...more
This past month was the first month we can recall where there were no legal developments of note involving class action independent contractor misclassification lawsuits, which have become increasingly prevalent. Instead,...more
While selected states are in the midst of trying to crack down on independent contractor misclassification, the federal government is trying to clear a path and clarify the tests for independent contractor status under...more
2/18/2020
/ ABC Test ,
Arbitration ,
Arbitration Agreements ,
Corporate Counsel ,
Department of Labor (DOL) ,
Employee Definition ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Federal Arbitration Act ,
Independent Contractors ,
Misclassification ,
Private Attorneys General Act (PAGA) ,
Wage and Hour
Our combined news update provides guidance for companies that utilize independent contractors on what not to do. The first lesson involves a company’s waiver of its best argument for compelling arbitration of an IC...more
Last month saw large settlements and yet another new lawsuit against companies that have an independent contractor business model, but also success by such companies in obtaining a favorable jury verdict in an IC...more
There were several notable court and administrative cases over the past two months, but they were overshadowed by a legislative matter: the enactment of Assembly Bill 5 in California, which was the subject of our September...more
10/2/2019
/ Class Action ,
Corporate Counsel ,
Employee Definition ,
Employer Liability Issues ,
Fair Labor Standards Act (FLSA) ,
Franchisors ,
Independent Contractors ,
Misclassification ,
NLRB ,
Popular ,
Ridesharing ,
Wage and Hour ,
Wage Payment and Collection Act
The National Labor Relations Board earlier today held that a courier services company misclassified drivers as independent contractors instead of employees, who are protected under the National Labor Relations Act....more
We are often asked, what industries are impacted by independent contractor misclassification? While IC misclassification claims are most prevalent in the construction, transportation, and gig economy businesses, there are...more