What is the ABC Test?

Let's review the ABC test for independent contractors as set forth in the California Supreme Court’s ruling in Dynamex Operations West, Inc. v. Superior Court, (2018) 4 Cal.5th 903. 



1) Part A of the test requires that the worker is free from the control and direction of the hiring entity in connection with the performance of the work, both under the contract for the performance of the work and in fact; and


2) Part B of the test requires that the worker performs work that is outside the usual course of the hiring entity’s business; and


3) Part C of the test requires that the worker is customarily engaged in an independently established trade, occupation, or business of the same nature as the work performed.


4) The contractor must actually be in business for themselves.


The analysis is if the plaintiff “independently has made the decision to go into business for himself or herself” and “generally takes the usual steps to establish and promote his or her independent business – for example, through incorporation, licensure, advertisements, routine offerings to provide services of the independent business to the public or to a number of potential customers, therfore making the Independent Contractor a Small Business Owner.















#SmallBusinessOwners #IndependentContractor #ABCTest #ABCCompliant

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