The Atlanta Business Chronicle recently spoke with Polsinelli's Stan Hill regarding the California Labor Commissioner's ruling and how it may impact sharing economy businesses. The California Labor Commissioned issued a ruling finding that an Uber driver was misclassified as an independent contractor and should have been treated by an employee. The driver was awarded mileage costs as well as toll charges. Uber has appealed the decision.
"These types of rulings don't just impact transportation providers, per se. It applies to any sharing economy business model. What makes this ruling so noteworthy is that it has sweeping language that some attorneys may try to apply to other companies," Hill said, "Those businesses engaged in the sharing economy would be wise to keep an eye on how law is being interpreted in California to best determine how service providers are classified."
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