News & Analysis as of

Independent Contractors Corporate Counsel Employment Litigation

Independent contractors are individuals or entities that perform work for other individuals or entities, but are not employees of those individuals or entities. Whether a worker is an employee or an independent... more +
Independent contractors are individuals or entities that perform work for other individuals or entities, but are not employees of those individuals or entities. Whether a worker is an employee or an independent contractor is not always an easy determination. However, due to differences in tax and liability treatment, misclassifying an employee as an independent contractor can have serious consequences. Autonomy is the defining feature of independent contractor arrangements. Independent contractors control the manner and method of how work is performed while payers control the desired result. Control over schedule and number of hours worked, ownership of equipment or tools, permanency of relationship, and acceptance of jobs from multiple entities are all possible factors in determining whether a worker is an employee or independent contractor.   less -
Brooks Pierce

Fourth Circuit Affirms Multi-Million Dollar Decision, Underscoring Risks in Worker Misclassification

Brooks Pierce on

Many businesses rely on independent contractors to stay flexible, control costs, and meet fluctuating demand, but misclassifying those workers can carry massive financial consequences. On July 17, 2025, the Fourth Circuit...more

Sheppard Mullin Richter & Hampton LLP

Major Changes to AAA Employment Arbitration Rules: What Employers and Litigants Need to Know

Effective May 1, 2025, the American Arbitration Association (“AAA”) implemented significant revisions to AAA Employment/Workplace Arbitration Rules and Mediation Procedures. According to the AAA, these revisions aim to...more

Ballard Spahr LLP

Trump Administration Retreats from Defense of Two Biden-Era Lawsuits

Ballard Spahr LLP on

In the ongoing battle over labor policy, the Trump administration has signaled plans to abandon or at least revise its defense of two Biden-Era lawsuits and their underlying initiatives. ...more

Troutman Pepper Locke

Artificial Intelligence Industry Faces Independent Contractor Misclassification Claim: December 2024 IC Legal News Update

Troutman Pepper Locke on

As the business of artificial intelligence is expanding, it seemed it was only a matter of time before the AI industry became the subject of an independent contractor misclassification lawsuit. Last month, one of the leading...more

Fisher Phillips

Labor Department to Crack Down on These 7 Workplace Contract Provisions

Fisher Phillips on

The Labor Department’s top lawyer announced on Tuesday that the agency would target seven specific employment-related contract provisions that she believes could discourage workers from exercising their rights under federal...more

Troutman Pepper Locke

Independent Contractor Misclassification Lawsuits Involve Record Label Artists, Imam, ‎and Recyclable Sorters: August 2024 IC...

Troutman Pepper Locke on

The legal developments in the area of independent contractor misclassification and compliance last month include cases against a record label company, an Islamic Center, and a waste recycling company. Lawsuits for IC...more

Troutman Pepper Locke

Jurors Disagree on Whether Ride Share Drivers Are Independent Contractors or ‎Employees: June 2024 IC Legal News Update ‎

Troutman Pepper Locke on

Lawyers representing ride share drivers have argued for years that their clients are being misclassified as independent contractors under federal and state laws. They have attained little success, however, obtaining...more

Troutman Pepper Locke

Industries Counteract Class Action Independent Contractor Misclassification Claims: May ‎‎2024 IC Legal News Update‎

Troutman Pepper Locke on

Class action independent contractor misclassification cases continue to be filed and most seem to settle, often for large sums, as we have reported in our blog posts on legal developments each month. But some industries have...more

Troutman Pepper Locke

Even Clown Companies Are Targets of Independent Contractor Misclassification ‎Lawsuits: December 2023 IC Legal News Update

Troutman Pepper Locke on

We have had the opportunity, in the course of our independent contractor practice, to represent clients in over 75 diverse industries including some in rather esoteric businesses. These clients have included musical bands,...more

Troutman Pepper Locke

Mega-Settlements in Independent Contractor Misclassification Lawsuits: September 2023 IC Legal News Update

Troutman Pepper Locke on

Every so often a large settlement of a class action lawsuit reverberates in the independent contractor world – but last month there were two mega-settlements. The first was between Flowers Foods, a large nationwide baked...more

Troutman Pepper Locke

Can Last-Mile and Logistics Companies Compel Arbitration of Independent Contractor ‎Misclassification Cases? July 2023 IC Legal...

Troutman Pepper Locke on

We report on three case developments during July 2023 that raise the question whether last-mile, logistics, and delivery companies alleged to have misclassified drivers as independent contractors can compel arbitration of...more

Troutman Pepper Locke

Another Unemployment Setback for Gig Economy Companies Using Independent ‎Contractors: April 2023 IC Legal News Update

Troutman Pepper Locke on

We reported in our October 10, 2022 blog post that Uber had agreed to pay $100 million in back unemployment taxes to the New Jersey Department of Labor for having classified drivers as independent contractors. Another state...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Federal District Court in Virginia Rejects Familiar Two-Step FLSA Collective Certification Approach

On April 14, 2023, the United States District Court for the Eastern District of Virginia (Ellis, J.) declined to conditionally certify a collective of USA Today sports website editors, ruling that the familiar two-step Fair...more

Bradley Arant Boult Cummings LLP

Not Interstate? You Must Arbitrate – Third Circuit Rules Uber Drivers Don’t Meet FAA Exception

Can you require your workers to arbitrate claims? What if they work in interstate commerce? Recently several courts have addressed the scope of the Federal Arbitration Act (FAA) and when it applies to arbitration agreements...more

Blake, Cassels & Graydon LLP

Defining the Relationship: Independent Contractor or Employee?

Organizations commonly face the question of whether a relationship with a worker should be characterized as a contractor or employment relationship. Each characterization offers different benefits and creates different...more

Troutman Pepper Locke

New Jersey is Becoming the Next California: February 2023 Independent Contractor Legal News Update

Troutman Pepper Locke on

Ever since the New Jersey Supreme Court issued its 2015 decision in the Sleepy’s case, establishing an ABC test for wage and hour lawsuits, class action lawyers have targeted companies operating in that state for IC...more

Troutman Pepper Locke

Sports Industry Continues To Be Target For Independent Contractor Misclassification Class ‎Actions: December 2022 IC Legal News...

Troutman Pepper Locke on

Half of the court cases that we report on below from last month involve legal proceedings related to the sports industry: golf caddies, tennis pros, and sports editors. Misclassification within the multi-faceted sports and...more

Lathrop GPM

Ninth Circuit Affirms Decision that Franchisees Are Not Employees of Franchisor

Lathrop GPM on

The Ninth Circuit Court of Appeals recently affirmed a decision that a group of franchisees are not employees of their franchisor, even though the trial court failed to apply the correct test. Haitayan v. 7-Eleven, Inc., 2022...more

Fisher Phillips

The Top 14 Workplace Law Stories from October 2022

Fisher Phillips on

It’s hard to keep up with all the recent changes to labor and employment law. While the law always seems to evolve at a rapid pace, there have been an unprecedented number of changes for the past few years—and this past month...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Eleventh Circuit Serves a Whopper of a Ruling on Franchisor’s ‘No-Poach’/‘No-Hire’ Agreement With Franchisees

​​​​​​​Over the last several years, business-to-business “no-hire” and “no-poach” agreements have come under legal attack, including through enforcement actions by the Federal Trade Commission and criminal prosecutions by the...more

Littler

Alberta, Canada: Court Uses Oppression Remedy to Hold Corporate Directors Personally Liable for Wrongful Dismissal Damages

Littler on

In Wisser v CEM International Management Consultants Ltd, 2022 ABQB 414 (CEM International), the court used the oppression remedy to hold directors of a corporation personally liable for damages for wrongful dismissal after...more

Fisher Phillips

The Top 14 Workplace Law Stories from July 2022

Fisher Phillips on

It’s hard to keep up with all the recent changes to labor and employment law. While the law always seems to evolve at a rapid pace, there have been an unprecedented number of changes for the past few years—and this past month...more

Fisher Phillips

The Top 17 Workplace Law Stories from May 2022

Fisher Phillips on

It’s hard to keep up with all the recent changes to labor and employment law. While the law always seems to evolve at a rapid pace, there have been an unprecedented number of changes for the past few years—and this past month...more

Perkins Coie

Rare Employer Victory in CA Misclassification Case

Perkins Coie on

A unanimous three-judge panel reached a decision in the case of Bijon Hill v. Walmart. Last week, the U.S. Court of Appeals for the Ninth Circuit affirmed that Walmart classified a freelance model, Bijon Hill, as an...more

Fisher Phillips

The Top 17 Workplace Law Stories from April 2022

Fisher Phillips on

It’s hard to keep up with all the recent changes to labor and employment law. While the law always seems to evolve at a rapid pace, there have been an unprecedented number of changes for the past few years—and this past month...more

79 Results
 / 
View per page
Page: of 4

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
- hide
- hide