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The Ninth Circuit Court of Appeals has issued a long-awaited decision on the question of whether AB5, California’s strict independent contractor misclassification statute, may be applied to motor carriers, or whether the Federal Aviation Administration Authorization Act (FAAAA or F4A) preemption language precludes such application.
In a blow to motor carriers statewide, the Court reversed the previously ordered injunction against the application of AB5 to California’s motor carriers, holding that AB5 is not preempted under the FAAAA. The full opinion in the case of California Trucking Association v. Bonta can be found here. Our previous alert discussing this issue can be found here.