Connecticut Supreme Court Confirms That Independent Contractors Are Not "Misclassified" Employees Simply Because They Only Work For One Company
In a welcome development for Connecticut companies that routinely rely on consultants, the Connecticut Supreme Court ruled in Southwest Appraisal Group LLC v. Administrator, Unemployment Compensation Act that individuals can still be properly classified as independent contractors even if they work exclusively for one entity. The decision was released on March 21, 2017.
- The existence of state licensure or specialized skills;
- Whether the individual holds him/herself out as an independent business through business cards, printed invoices or advertising;
- Whether the individual has a place of business separate from the potential employer;
- The individual's capital investment in his/her independent business;
- If the individual has his/her own liability insurance;
- If the individual performs services under his/her own name or the employer's name;
- If the individual employs or subcontracts others;
- If the individual has a saleable business with established clientele;
- Whether the individual performs services for more than one entity; and
- Whether the performance of services affects the goodwill of the individual rather than the putative employer.