Bloomberg Law
Dec. 9, 2019, 10:51 AM

California Justices Asked if ‘ABC Test’ Covers Joint Employment

Erin Mulvaney
Erin Mulvaney

The California Supreme Court could settle an unresolved area of law if it decides to clarify whether a rigid test used to determine who is an independent contractor should apply broadly to franchises and joint employer relationships.

In three separate cases, the justices have been asked to review the scope of the state high court’s 2018 ruling that created a a three-part “ABC test” that makes it harder for employers to classify workers as contractors instead of employees. The test has the potential to upend business models that rely on independent contractors, including gig companies such as Uber Technologies, ...

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