Lawyer Commentary JD Supra United States California Employment Law Notes - May 2019

California Employment Law Notes - May 2019

Document Cited Authorities (2) Cited in Related
Strict Independent Contractor Test Applies Retroactively

Vazquez v. Jan-Pro Franchising Int'l, 2019 WL 1945001 (9th Cir. 2019)

Last year, the California Supreme Court in Dynamex Ops. W. Inc. v. Superior Court, 4 Cal. 5th 903 (2018), adopted the so-called "ABC test" for determining whether a worker is an employee or independent contractor and in so doing made it much more difficult for a hirer to properly classify a worker as an independent contractor. The ABC test requires the hirer to prove that the worker is: (A) free from the control and direction of the hirer; (B) performing work outside of the usual course of the hirer's business; and (C) customarily engaged in an independently established trade of the same nature as the work performed. In Vazquez, the Ninth Circuit held that Dynamex should be applied retroactively to hiring arrangements that existed prior to issuance of the Dynamex opinion.

California Employee Is Compelled To Litigate His Employment Claims In Indiana

Ryze Claim Solutions LLC v. Superior Court, 2019 WL 1467947 (Cal. Ct. App. 2019)

Jerome Nedd was employed by Ryze Claim Solutions in El Cerrito, California for almost three years before his employment was terminated, resulting in his filing claims against Ryze for wrongful termination and violation of the Fair Employment and Housing Act ("FEHA") in Contra Costa County Superior Court. When Nedd was first employed, he executed an employment agreement with Ryze (an Indiana-based company), which contained a forum selection clause in which Nedd agreed that he would prosecute any claims he might have against Ryze in either Marion County or Hamilton County, Indiana or in federal court in the Southern District of Indiana. In response to Nedd's complaint, Ryze filed a motion to stay or dismiss the action based on the Indiana forum selection clause in the agreement. The trial court denied Ryze's motion, but the Court of Appeal issued a peremptory writ of mandate directing the trial court to grant Ryze's motion. The Court of Appeal rejected Nedd's argument that the public policy underlying FEHA favors a "wide choice of venues" on the ground that the relevant issue here involved forum (i.e., which state) rather than venue (i.e., which county within the state) selection. The Court also rejected Nedd's reliance upon Labor Code § 925 (restricting non-California forum selection clauses) on the ground that the contract at issue in this case was entered into prior to the January 1, 2017 effective date of that statute.

Employee Could Rely Upon Former Supervisor's Statement About Existence Of Discrimination

Weil v. Citizens Telecom Servs. Co., 2019 WL 1891796 (9th Cir. 2019)

David Weil sued Citizens Telecom Services for wrongful termination and discriminatory failure to promote under Title VII and related statutes. In support of his failure-to-promote claim, Weil testified in his...

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