Source: Dynamex Operations West v. Superior Court (April 30, 2018: CA Supreme Court)

The CA Supreme Court has reset the standards for qualifying as an independent contractor in the State.  In summary: the burden is on the business to prove that a worker is an independent contractor.  All workers are assumed as employees unless proven otherwise.

There is now an ABC test: 

A) the worker is free from control and direction of the hiring entity in connection with the performance of the work, both under the contract and in fact.

B) the worker performs work that is outside the usual course of the hiring entity’s business

C) the worker is customarily engaged in an independently established trade, occupation or business.

ALL THREE TESTS MUST BE FULFILLED.  

We are not a law firm and can’t make a classification determination for you, but we can recommend employment attorneys to help.  Financial penalties for mis-classification can be significant.