Bloomberg Law
July 13, 2020, 8:17 PM

California Labor Agency Files First A.B. 5 Enforcement Suit

Joyce E. Cutler
Joyce E. Cutler
Staff Correspondent

A gig-economy car-wash company is the first to be sued by the California Labor Commissioner’s office for allegedly misclassifying its workers as independent contractors, the state agency said Monday.

Customers of Mobile Wash Inc., based in Bellflower, Calif., can use an app to order car washing and detailing services at a location of their choice. The company’s workers providing those services aren’t reimbursed for using their own cars or for buying uniforms, insurance, supplies, cleaning equipment, and gas, according to the lawsuit filed in California Superior Court for the County of Los Angeles, Central District. The company also charges its ...

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