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Barbara Weltman

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Legal Challenge to California’s ABC Test

November 24, 2019 / By Barbara Weltman

A California law makes it virtually impossible for Uber and many other drivers to maintain their independent contractor status. Under the ABC test, because drivers are doing the business for the company engaging them, they are the company’s employees. Now the California Trucking Association has filed suit to challenge the law as a violation of the U.S. Constitution’s Interstate Commerce Clause. The suit says that 70,000 drivers would be out of work due to the new law. Let’s see what happens.

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Small business ideas, business tax news and small business consulting from Barbara Weltman to provide business owners with the information they need to succeed. Visit our small business blog, Idea of The Day®, small business books and articles on small business taxes, small business finance and small business legal advice.

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