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Independent Contractors Transportation Industry

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 -
Marshall Dennehey

Florida Court Holds Uber is Not Vicariously Liable for Driver’s Negligence in Fatal Accident

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Campo v. Uber Technologies, Inc., 2025 WL 15388 (Fla. 3d DCA 2025) - Florida’s Third District Court of Appeals affirmed summary judgment for Uber Technologies, Inc. and affiliated defendants (collectively Uber), holding Uber...more

Foley & Lardner LLP

From the Pickup Line to the Picket Line: What Employers Need to Know About the Gig Economy Labor Movement

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The gig economy has emerged as a defining aspect of the modern workforce, transforming how people work, earn, and engage with employers. Unlike traditional full-time jobs, gig workers benefit from significant flexibility....more

Benesch

Independent Contractor Owner-Operators and the Second Trump Administration: Motor Carrier Expectations for the Road Ahead

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The role of independent contractor owner-operators (“ICOOs”) in the trucking industry has a long history as a business model and also as a lightning rod for scrutiny. ...more

Holland & Knight LLP

The Trump Administration's Impact on Independent Transportation Contractors

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Approximately one year ago, we discussed the impact of the final rule from the U.S. Department of Labor (DOL) regarding whether a worker is an employee or independent contractor under the Federal Fair Labor Standards Act...more

Amundsen Davis LLC

7th Circuit Again Upholds Preemption of Negligent Hiring Claims Against a Freight Broker

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The Seventh Circuit Court of Appeals recently issued another important ruling for brokers, upholding that a claim for negligent hiring against a freight broker was preempted by the Federal Aviation Administration...more

Goldberg Segalla

Rise of Transportation Contractors Leading to Complex Coverage Litigation

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The post-Covid influence over the “gig economy” has led to an expansion of self-employed or by-the-job employed individuals in the delivery and transportation industry. CDL jobs have proven they are not immune to this...more

Benesch

A Broker Nuclear Verdict Reversal! (And a Very Good Year [In the Courts] for Brokers)

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Suffice it to say that the past year has been a very good year for brokers; in the courts, that is! While there have been several very favorable preemption decisions across the country, the preemption doctrine is not...more

Fox Rothschild LLP

In 2024, The Need To Take Pot Across State Lines Is Not A Crime But A Necessary Prerequisite For Application Of the Motor Carrier...

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In the movie “Blow,” Johnny Depp complains to the Judge about to sentence him for interstate transportation of marijuana that all he did was take some vegetation across an imaginary line. The Judge did not listen. In a...more

Morgan Lewis

US Supreme Court Clarifies Application of Federal Arbitration Act’s ‘Transportation Worker’ Exemption

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In Bissonnette v. LePage Bakeries, a unanimous Supreme Court clarified the scope of the Federal Arbitration Act’s (FAA’s) “transportation worker” exemption by rejecting the industry-based test applied in the Second Circuit....more

Amundsen Davis LLC

[Webinar] Independent Contractors in the Transportation Industry – Is Your Business Compliant? - May 15th, 10:00 am CT

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The Department of Labor (DOL) recently published a final rule on independent contractor classification under the Fair Labor Standards Act (FLSA). Transportation and logistics companies using independent contractors for...more

Carlton Fields

First Circuit Provides Additional Guidance on FAA’s Transportation Worker Exception

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The First Circuit Court of Appeals has followed up on its recent jurisprudence outlining the standards for the Federal Arbitration Act’s “transportation worker exception,” as we previously posted, by applying its recently...more

BakerHostetler

Second Circuit Again Considers if Bakery Goods Drivers Are Excluded Under the FAA Because They Are “Transportation Workers”. The...

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While the Supreme Court’s opinion in Southwest Airlines Co. v. Saxon, 142 S. Ct. 1783 (2022), brought needed clarity to the analysis of the class of workers excluded as “transportation workers” by the residual clause of the...more

Holland & Knight LLP

Massachusetts Food Delivery Drivers Not Exempt From Arbitration

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One issue that continues to be debated in state and federal courts is whether delivery drivers who deliver takeout food and other prepackaged goods from restaurants, delicatessens and convenience stores fall into the class of...more

Benesch

Time to Adapt: U.S. Supreme Court Declines Review of California Assembly Bill No 5

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Unfortunately, today, June 30, 2022, the U.S. Supreme Court delivered a deeply disappointing loss to the transportation industry and supply chain interests throughout the country by declining to review the California Trucking...more

Benesch

In Anticipation of Preemption: The U.S. Supreme Court Speaks (Sort Of...)

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The transportation and logistics industry has been widely anticipating a decision from the U.S. Supreme Court as to whether or not it will accept for review two very significant cases involving the scope of the Federal...more

Benesch

A Powerful “One-Two” Punch: NLRB and DOL Signal Contractor Classification Crackdown

Benesch on

Transportation providers would do well to pay close attention to twin developments unfolding before the NLRB and the DOL that could have a very detrimental effect on those providers who use independent contractors as drivers,...more

Weber Gallagher Simpson Stapleton Fires &...

Will an Out of State Contract Bind the Parties in New Jersey to the Laws of Another State?

In Bruno L. Moraes v. Supreme Auto Transport, No. A-0702-20 (App. Div. June 4, 2021) the Appellate Division held in an unpublished decision that the Claim Petition was inappropriately granted without further consideration of...more

Jackson Lewis P.C.

New Jersey High Court Enforces Arbitration Agreement With Independent Contractors Under State Law

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Companies in the transportation industry in New Jersey can enforce arbitration agreements with employees and independent contractors under the New Jersey Arbitration Act (NJAA), the New Jersey Supreme Court has held. Arafa v....more

Society of Corporate Compliance and Ethics...

Keeping food deliveries safe

Report on Supply Chain Compliance 3, no. 10 (May 14, 2020) -... So much of the U.S. shelters in place to help slow the spread of COVID-19, more consumers are using delivery services to get grocery and restaurant...more

Jackson Lewis P.C.

Navigating the Federal Arbitration Act’s Transportation Worker Exception After New Prime

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As enforcing arbitration agreements with transportation workers under the Federal Arbitration Act (FAA) has become more difficult, employers should consider arbitration agreements with a potential alternative enforcement...more

Benesch

InterConnect FLASH! No. 79 - Mr. AB-5 Goes to Washington - And Brings A Lot of Baggage! (The Assault on the IC Citadel Continues)

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Introduction: The PRO Act Overall - Early last week, the U.S. House of Representatives passed the “Protecting the Right to Organize Act,” H.R.2474 (“PRO Act”), which would fundamentally shift various important...more

Benesch

InterConnect FLASH! No 77: California AB5 Litigation Update - The TRO is Extended

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Yesterday, on January 13, 2020, Judge Benitez of the United States District Court for the Southern District of California extended the temporary restraining order previously entered in the litigation brought by the California...more

Epstein Becker & Green

Federal Court Issues Eleventh-Hour TRO to Enjoin Enforcement of California’s Controversial New Independent Contractor Law for...

On January 1, 2020, California’s new independent contractor statute, known as AB 5, went into effect.  The law codifies the use of an “ABC” test to determine if an individual may be classified as an independent contractor....more

Benesch

InterConnect FLASH! No 76 - Federal Court Temporarily Enjoins Enforcement of AB5 Against California Motor Carriers

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Champagne bottles popped earlier than expected on New Year’s Eve when Judge Roger T. Benitez of the United States District Court for the Southern District of California granted a temporary restraining order prohibiting the...more

Fisher Phillips

California Voters May Get Chance To Overturn ABC Test For Gig Drivers

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When California’s AB 5 was signed into law last month, a chorus of voices decried the fact that it could radically change the gig economy as we know it. Many contended that the average app-based driver enjoyed being an...more

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