Legal Question in Employment Law in New Jersey
Contractor's/Employee's false claims
I opened a small pet sitting business in March of 2005 and gathered about 11 contractors to help with the pet sitting.
Both the contractors and I put out flyers. Customers called me and I called the pet sitters in that area to see who wanted the job.
The contractor got 50% to 70% of the fee. Any remaining contact with the customer was initiated by the contractor.
We had set prices but the contractor had the ability to offer a discount, reduce the price, add services such as litter box cleanup, etc.
I had a verbal altercation with two of the contractors over a client that they were working on so they got me back by going to the NJ department of labor, claiming that they were ''employees'', not contractors and claiming that I did not pay them. Now the DOL is after me to pay ''unpaid wages'' of which there are none, payroll taxes, insurance, etc.
I have no proof that they were not due commission other than the absence of a customer check deposited in the business account.
Since these contractors manipulated this situation in order to hurt me.... (I had to threaten to press charges previously), I would like to get out of this without having to pay fines. I would also like to sue them for emotional/financial damage
1 Answer from Attorneys
Re: Contractor's/Employee's false claims
The contractor-employee test is a mutli-pronged test that is very fact sensitive.
A careful review of the agreement and actual working conditions would have to be done in order to determine your liability, if any.
I have signifigant experience handling these types of cases (I spent six years w/NJDOL)and I have a good understanding of the process.
If you would like a free consult concerning this matter please contact me.
Regards.