California

California Court Invalidates Arbitration Agreement With PAGA Waiver 

California

From JDSupra, Jennifer Santa Maria discusses a recent case in which a California Court of Appeal said an arbitration agreement was not enforceable because it contained a waiver of California’s Private Attorneys General Act (PAGA) claims and the clause could not be severed. Jennifer writes: On appeal, the California Court of Appeal agreed with the trial court, finding…

“Worksite Employer” Can Enforce Arbitration Agreement Against Employee of Temporary Employment Agency

California

In this unpublished opinion, a California appellate court said that the client of a staffing agency could enforce an agreement requiring arbitration against the employee of a temporary staffing agency. While this case cannot be cited or relied upon, the reasoning and citations are instructive: California Rules of Court, rule 8.1115(a), prohibits courts and parties…

The Risky Business of Paying Physicians as Contractors

From Medscape, Jehan N. Jayakumar and Matthew M. Stokke discuss the challenges of paying physicians as independent contractors in California after the Dynamex decision. They write: Healthcare practices, in particular, customarily engage the services of licensed physicians and other healthcare providers as independent contractors. However, as the old adage notes: Just because everyone else is doing…

California Court Of Appeal Clarifies Application Of The ABC Test For Independent Contractors 

California

  From Mondaq, Thalia S. Rofos and William C. Sung discuss the recent case which limited the application of the stringent ABC test for classifying workers in California to non-wage order claims. Thalia and William write: In Garcia v. Border Transportation Group, LLP, the California Court of Appeal clarified that the ABC Test only replaced theBorello Test as applied to wage and…

CTA sues California over employee vs. independent contractor

obson-hatsukami-morgan-134764-unsplash truck Indio California

  From the Common Carrier Journal (CCJ), Jill Dunn reports that the California Trucking Association has filed a lawsuit contesting the the application of the ABC test which was recently adopted by the California Supreme Court. Jill writes: The California Trucking Association and two owner-operators are suing California over the state’s enforcement of its recently adopted test…

Misguided court ruling will devastate California’s economy unless legislators step in 

California

  From the Daily Bulletin, Gene Wunderlich joins others in calling on the California legislature to modify the California Supreme Court’s decision adopting the ABC test for classifying workers as independent contractors. Gene writes: Reclassification will derail the hopes and plans of roughly 79 percent of independent contractors who prefer it over traditional employment, according to the…

DYNAMEX UPDATE: Are There Still Independent Contractors in California? 

Optimized-ani-kolleshi-unsplash Doctor

From JDSupra, Robert Cooper and Carol Lucas discuss the Dynamex decision and the effect of the ABC test on the classification of physicians in California. Robert and Carol write: However, misclassification itself is not a violation; failure to pay a misclassified employee what he or she should have been paid is the violation. If a re-classified employee would be…

Barbers quit over state ruling on independent contractors 

Barbershop

  From the Sacramento Bee, Benjy Egel writes about a barbershop where barbers quit rather than be reclassified as employees following the California Supreme Court decision. Benjy writes: Three customers sat on Bottle & Barlow’s patio Wednesday afternoon, sipping cocktails and soaking up the last bits of summer sun. That was a crowd compared to the scene…