News & Analysis as of

CA Supreme Court ABC Test Gig Economy

Proskauer - California Employment Law

California Supreme Court Delivers Big Win for Gig Companies

On July 25, 2024, the California Supreme Court upheld the constitutionality of Proposition 22, the law allowing gig economy workers to be classified as independent contractors. The decision ends a nearly four-year legal...more

Snell & Wilmer

Not So Fast: California Judge Strikes Down Proposition 22, Finding That Rideshare and Delivery Drivers Are Employees—Not...

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The road to independent contractor status for rideshare and food delivery drivers working for companies like Uber, Lyft, and Grubhub in California has been neither smooth nor inexpensive. After spending more than $200 million...more

McDermott Will & Emery

AB 5 Contractor-Classification Battles Set to Heat Up in 2021

Employers grappling with independent-contractor classification had a busy 2020—and should expect a flurry of additional activity this year. Few areas in employment law are changing as rapidly. Last year, many concerned about...more

Troutman Pepper

California Supreme Court Clarifies Dynamex’s “ABC” Test, Concluding that Independent Contractor Status Applies Retroactively

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Q: Does the “ABC test” for independent contractor status in the state of California apply retroactively? ...more

CDF Labor Law LLP

Proposition 22 Challenged in Oakland State Court

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Last November, California voters convincingly (almost 60% supporting) enacted Proposition 22.  This Proposition was a well-funded effort that allows gig drivers working for companies like Uber, Lyft and Doordash to avoid the...more

Fisher Phillips

Once-Pivotal Grubhub Case Back On The Court Docket – But Has The Gig Economy Moved On?

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A federal appeals court just resurrected a pivotal gig economy battle that at one time seemed to be the center of the legal universe – but for a variety of reasons seems much less important these days. The 9th Circuit Court...more

Foley & Lardner LLP

California Supreme Court Rules Dynamex Decision Applies Retroactively | Newsletters | Legal News: Distribution & Franchise

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The California Supreme Court has followed up on its groundbreaking decision in Dynamex Operations West Inc. v. Superior Court, 4 Cal.5th 903 (2018), which imposed the so-called “ABC Test” for determining whether a worker is...more

Polsinelli

California Supreme Court Holds “ABC Test” For Independent Contractors Applies Retroactively

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On January 14, 2021, the California Supreme Court held that the “ABC Test” for classifying workers as independent contractors applies retroactively.  The high court first articulated this standard, which makes it tougher for...more

FordHarrison

Misclassification Liability in the Rear-View Mirror May Be Greater Than It Appears: Cal Supremes Say Dynamex "ABC Test" Applies...

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It was quite a week for the gig economy in California. This is the second of a two-part update; last week we reported on a union- and driver-led California Supreme Court challenge to Proposition 22, the November 2020 voter...more

Littler

California Supreme Court Reaffirms that ABC Test is Retroactive

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On January 14, 2021, the California Supreme Court held in Vazquez v. Jan-Pro Franchising Int'l, Inc. that the ABC test for determining worker classification fashioned in its groundbreaking decision, Dynamex v. Superior...more

Holland & Knight LLP

California Supreme Court: ABC Test for Contractors Applies Retroactively

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The California Supreme Court in Vazquez v. Jan-Pro Franchising International, Inc. ruled on Jan. 14, 2021, that its decision in Dynamex Operations West, Inc. v. Superior Court 4 Cal. 5th 903 (2018) (Dynamex), applies...more

Benesch

California Supreme Court Affirms that the Dynamex “ABC Test” for Independent Contractor Classification Applies Retroactively

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On January 14, 2021, the California Supreme Court in Vasquez v. Jan-Pro Franchise International, Inc. held that the three-part “ABC” test previously set forth in Dynamex Operations West Inc. v. Superior Court also applies...more

Proskauer - California Employment Law

The ABCs of Independent Contractor Classification: California Supreme Court Holds Strict Independent Contractor Test Applies...

On January 14, 2021, the California Supreme Court decided, at the request of the Ninth Circuit, that its decision in Dynamex Operations West, Inc. v. Superior Court, 4 Cal.5th 903 (2018) applies retroactively. Vazquez v....more

Fisher Phillips

California Supreme Court Rules Dynamex’s ABC Test Is Retroactive

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The California Supreme Court held Thursday that the ABC test announced in its landmark Dynamex decision – which makes it infinitely harder for businesses to classify workers as independent contractors – applies on a...more

Stokes Wagner

California Supreme Court Holds Dynamex ABC Test Applies Retroactively

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On Thursday, the California Supreme Court ruled that California’s “ABC” test for determining independent contractor status applies retroactively. As a result, employers may be held to a standard not even in effect at the time...more

CDF Labor Law LLP

California Supreme Court Affirms That The Dynamex (A-B-C) Test Applies Retroactively

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Since April 2018, when the California Supreme Court issued its Dynamex Operations West, Inc. v. Superior Court, 4 Cal. 5th 903 (2018) decision, which radically changed the way in which courts differentiated between an...more

Holland & Knight LLP

Another Shift on Joint Employment and Independent Contractors

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Four years ago, the question was raised of whether the then-incoming Trump Administration would reverse course on Obama Administration positions assailing the independent contractor model. Shortly thereafter, the U.S....more

ArentFox Schiff

California Trucking Industry Faces Continuing Legal Uncertainty After the California Court of Appeal Finds the Expanded AB 5 ‘ABC’...

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In the latest Chapter of the continuing saga of whether the Federal Aviation Administration Authorization Act (FAAAA) of 1994 preempts either California’s expanded Dynamex “ABC” test set forth in AB 5 or the recent statutory...more

Littler

California Supreme Court Grants Review of Dynamex Retroactivity – Again

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On Wednesday, January 15, 2020, the California Supreme Court agreed to review a second case raising questions as to the scope and retroactivity of its landmark 2018 Dynamex decision....more

Proskauer - California Employment Law

Adjusting To The “New Normal” With AB 5 – A World Without Independent Contractors

On January 1, 2020, California’s new worker classification law known as Assembly Bill 5 (“AB 5”), goes into effect. AB 5 codifies the three-factor “ABC” test adopted by the California Supreme Court in its 2018 Dynamex...more

Allen Matkins

Has California Made Directors Employees?

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On September 18, 2019, California Governor Gavin Newsom signed AB 5 into law effective January 1, 2020.  This legislation is intended to make it more likely that a worker will be classified as an employee. It effects this...more

Lewitt Hackman

Franchise 101: California Assembly Bill 5 (2019)

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California Governor Gavin Newsom signed into law Assembly Bill 5 (“AB-5”). AB-5 codifies into California’s Labor Code the “ABC test” for determining employee or independent contractor status, as adopted by the California...more

Snell & Wilmer

The Brave New World of Determining Independent Contractors in California

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California's Governor has signed into law a bill passed by the legislature amending Section 3351 of, and adding Section 2750.3 to the Labor Code and amending Section 606.5 and 621 of the Unemployment Insurance Code relating...more

Fisher Phillips

Grubhub Decision Put On Ice As Retroactivity Question Looms

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You’ve been waiting quite a long time for a critical ruling from the 9th Circuit Court of Appeals on the very fabric of the gig economy model – and you’re going to have wait even longer. The appeals court just announced late...more

FordHarrison

California Governor Signs AB 5

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California Governor Gavin Newsom has signed AB 5, and the new law will take effect January 1, 2020. As discussed in our September 13 Alert, AB 5 codifies the existing “ABC Test” that was set forth by the California Supreme...more

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