Search Results for “”

U.S. Supreme Court Decision Offers Pathway for Developing Arbitration Provisions that Can Protect Companies Against Having to Litigate in Court any California Labor Code PAGA Claims

For companies doing business with independent contractors on a multistate basis that operate with arbitration provisions in their independent contractor agreements, California has presented a vexing challenge by its Labor Code Private Attorneys General Act of 2004 (“PAGA”), Cal. Lab. Code § 2698 et seq. California’s PAGA empowers an employee (including an individual classified as … Continue reading “U.S. Supreme Court Decision Offers Pathway for Developing Arbitration Provisions that Can Protect Companies Against Having to Litigate in Court any California Labor Code PAGA Claims”

Legal Implications of Independent Contractor Status for the Maryland State Bar Association

Attached is a copy of this paper that was presented at a meeting of the Maryland State Bar Association on May 31- June 3, 2022. Click here to view the paper.

COVID-19 Emergency Temporary Standard Creates Potential Risk and Uncertainty for Employers that Perform Project-Based Work

Employee-based companies that perform project-based work could face significant costs and uncertainty in complying with the U.S. Department of Labor’s Occupational Safety and Health Administration (“DOL’s OSHA”) new Emergency Temporary Standard (“ETS”) to protect employees from the spread of the coronavirus on the job. The ETS applies only to employees. But it creates an additional dimension of … Continue reading “COVID-19 Emergency Temporary Standard Creates Potential Risk and Uncertainty for Employers that Perform Project-Based Work”

Recent Developments Affecting Brokers/Referral Agencies that Contract with Independent Contractors to Provide Services to Third-Party Clients

Two recent developments would directly affect companies that contract with independent service contractors to provide services to third-party clients.

FLSA Regulations Clarifying Test for IC Status Benefit All Stakeholders Except Trial Attorneys

The final regulations on Independent Contractor Status under the Fair Labor Standards Act (“FLSA”), which the U.S. Department of Labor (“DOL”) issued on January 6, 2021, are in substance a restatement and refinement of the law, based on court decisions interpreting the term “employee” for purposes of the FLSA. These regulations, scheduled to become effective … Continue reading “FLSA Regulations Clarifying Test for IC Status Benefit All Stakeholders Except Trial Attorneys”

California AB 5 Restricts an Individual’s Right to Work as an Independent Contractor

On September 18, 2019, California’s Governor Gavin Newsom signed into law Assembly Bill 5, which launched California into a grand experiment that restricts an individual’s right to work in that state as an independent contractor.

Tax Reform Creates New Benefit for Self-Employed

The Tax Cuts and Jobs Act created a new tax deduction – of up to 20% – for pass-through entities, which include certain independent contractors. The provision, codified as new Internal Revenue Code section 199A, applies for tax years beginning after December 31, 2017, but before January 1, 2026.

House Small Business Committee Hearing Considers Taxes and the Sharing Economy

At a recent hearing before the U.S. House of Representatives Committee on Small Business, certain Members and witnesses expressed concern that current tax laws are outdated and burdensome to companies in the “sharing economy.”

NLRB Contends Worker Misclassification is a Violation of the NLRA

By Russell A. Hollrah

The National Labor Relations Board (“NLRB”) appears to be creating a new source of regulatory risk to companies doing business with independent contractors. On April 18, 2016, the Regional Director of the NLRB’s Los Angeles office issued a Complaint against a transportation company

North Carolina Governor Resurrects Failed Worker-Classification Enforcement Proposal

By Patrick A. Hollrah

State agencies in North Carolina will be permitted to share information and work collaboratively to bring enforcement actions against suspected worker misclassification – in spite of the defeat of proposed legislation, H.B. 482, which would have permitted these activities.