We highlight in this past month’s news update two class action settlements entered into by bakery companies alleged to have misclassified product distributors as independent contractors. One of those baked goods companies has...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
Under the CARES Act, self-employed individuals are now covered for pandemic unemployment assistance, as we discussed in our QuickStudy of March 26, 2020. Many independent contractors (“ICs”) have begun to file claims for...more
Click Here for PDF As anticipated in our recent QuickStudy concerning certain actions taken by the New Jersey legislature and Governor Murphy to combat the effect of the coronavirus on New Jersey employers and their...more
The 883-page Coronavirus stimulus bill passed by the Senate and expected to be passed by the House and signed into law by the end of this week contains unemployment assistance provisions that expand coverage to individuals...more
(Updated July 17, 2020)
NOTE: Because of the ever-changing COVID-19 legal environment, employers should consult with their inside or outside counsel for the latest developments and updated guidance on these topics. Please...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
The Senate passed last night an 883-page Coronavirus stimulus bill, which is expected to be passed by the House and signed into law by the end of this week. It contains unemployment assistance provisions that expand coverage...more
To combat the effect of the Coronavirus (“COVID-19”) on New Jersey employers and their employees, last week lawmakers advanced several bills to Governor Murphy for his signature.In doing so, the legislature made it clear it...more
New York Governor Cuomo signed Senate Bill 8091 (S. 8091) into law on March 18, 2020 to provide job protection and sick leave, family leave, and disability leave for employees who are subject to mandatory or precautionary...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
Many companies that operate their businesses on an independent contractor model or supplement their workforce with ICs may be wondering if they will be impacted by the U.S. Department of Labor’s final rule on joint employer...more
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
Ten years ago, when we began a legal blog dedicated to independent contractor compliance and misclassification, the landscape of the law involving ICs was quite different than today – although a great deal remains unchanged. ...more
“Independent contractor misclassification” is a phrase that is misunderstood, misapplied, and misused – constantly. It is used to cover an array of disparate forms of IC misclassification: unpardonable; uninformed;...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
In recent months, New York has implemented several changes to its discrimination and sexual harassment law, many of which are effective in the coming month....more
The latest version of Assembly Bill 5, which codifies the California Supreme Court’s Dynamex decision that was issued in April 2018, is about to become law. Dynamex created a so-called ABC test requiring companies to satisfy...more
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
On Feb. 18, 2019, the New York City Commission on Human Rights released new legal enforcement guidance stating that “grooming or appearance policies that ban, limit, or otherwise restrict natural hairstyles or hairstyles...more
On July 9, the New Jersey Misclassification Task Force issued its first Report. The Task Force was created by an Executive Order issued by Governor Phil Murphy on May 3, 2018 and includes representatives from the Labor,...more