Independent Contract vs Employee short answer Flashcards
Tammy works at Jane’s Trampoline and Bootcamp Fitness as an instructor. She is required to go through two weeks of training by the company for each type of class she teaches. Tammy must send in a video of a sample class before she can teach a class. After the training, she is required to teach at least 4 classes per week and at least one class on Sat/Sun per month.
Tammy instructs Jane which days she can wrok but Jane sets the class schedule and might require Tammy to fill in on other days. Tammy is paid $30 per class, does not have any benefits such as insurance, etc. All customers pay monthly fees to the company. every week Tammy receives a video of that week’s class and must teach the class exactly like that video
Tammy is an employee because Jane and Co controls her job by requiring her to g through 2 weeks of training, sending a video sample complying with standards, teach at least 4 classes and one on the weekend, they set her class schedule and she is paid $30 a class (rule: CONTROL)
NOTE: if she brings in her own clients, controls her classes, and controls the music, how many people come in, pays rent for room in building would be an IC
b) If Tammy is an employee, under TN Workers Comp law, Jane’s Trampoline and Bootcamp Fitness will have to pay for her medical bills/is responsible for her injury
Great Clips Inc. hires Patty. Great Clips sets prices for all services and provides the software for receipts and billing. Although Patty may give her preference when she can work, Great Clips creates the work schedule. Patty must remain on the job site during her scheduled hours even if she does not have any customers. when she does not have customers, she works at the front desk and sells their hair products. all payments are made to Great Clips.
Patty is an employee because Great Clips Inc controls her job by setting the price for all services at the salon and ultimately setting the work schedule. Great Clips Inc also requires her to remain on the job site during her regularly scheduled work hours, and she must work at the front desk and sell hair products; also, all payments go to Great Clips Inc. (rule: CONTROL)
2b) If Jane was an independent contractor, Jane would be responsible for her own medical bills and Karen’s, which is the customers, because the company is not obligated to pay for an independent contractor’s medical bills (also because she rents out a booth)
* Karen files a lawsuit
2c) Great clips pays medical bills because of TN Work Comp
* Karen sues company under respondeat superior
Format
issue: are they an IC or employee
rule: control
application:
conclusion:
