Oliver Yee and Kaylee Feick authored this article for the Daily Journal on the unique challenges and issues Assembly Bill 5 creates for public agencies. AB 5 codifies the “ABC” test for determining independent contractor status that the California Supreme Court adopted in its 2018 decision in Dynamex Operations West, Inc. v. Superior Court (2018) 4 Cal.5th 903. Under the ABC test, the presumption is that an individual is an employee unless the hiring entity demonstrates that all three of the following conditions have been satisfied in order for the individual to qualify as an independent contractor:
A) The individual is free from the control and direction of the hiring entity in connection with the performance of the work, both under the contract terms and in fact;
B) The individual performs work that is outside the usual course of the hiring entity’s business; and
C) The individual is customarily engaged in an independently established trade, occupation, or business of the same nature as the work performed for the hiring entity.
To read the full article, please visit: https://www.dailyjournal.com/articles/355448
