David Barr

speaker
302 appearances 2 recordings 1 series first heard Nov 2020 last heard Dec 2020

David Barr’s voice in public audio — every appearance, attributed to the second.

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so the newspaper now had employees.
It was interesting that Sacramento Bee would not support this legislation until they got an exemption for the newspaper.
So the legislator gave the newspaper industry an exemption,
So that their newspaper delivery people could be still maintained independent contractor, even though they got captured in this law.
And that's in essence what Uber and Lyft just did on the last election was they went out, spent over $100 million and got the constituents of the state of California to say that this law does not apply to those businesses.
But unfortunately, the franchising got caught in this net.
The net was thrown in the water and pulled in, and they let some fish out, for lack of a better term, but they did not let franchising out.
And IFA had fought hard to try to get an exemption.
That has not been possible so far.
And so that's the AB5 test in California, which incorporates the ABC test that Ron just defined.
But the PRO Act that we're talking about at the federal level
is codifying the same test, the ABC test.
So what is right now somewhat of a legislative disaster in the state of California would be scooped up and put in all states from a federal position.
of emerging brands,
especially, it doesn't take more than one or two of those type of lawsuits to wipe out your annual profit for several years.
And that's just defending it because you can stand, I think, fine today.
Council's given different opinions as to how this is all going to play out.
But the one thing we all do know, and I've had every council agree to, is there will be uncertainty and there will be plaintiff's attorneys and there will be lawsuits.
How those all sort themselves out to be determined.
But if you're a smaller brand and in all involved in one of these, again, could put the whole franchise or at risk as to the exposure based upon this ABC test or joint employer.
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