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Employer records rare victory in California misclassification case

June 2022 employment law letter
Authors: 
Heather M. Sager and Atticus Lee, Perkins Coie LLP

Walmart classified a freelance model as an independent contractor in good faith and therefore didn’t owe any waiting-time penalties under California Code Section 203 for failing to pay her immediately after photo shoots, a three-judge panel of the U.S. 9th Circuit Court of Appeals (which covers Washington, California, and other western states) recently ruled.

Facts

Bijon Hill, a clothing model, appeared in 10 San Francisco-based photo shoots organized by Walmart over a total of 15 days between July 2016 and August 2017. She received payment for the appearances from a third party, Scout Talent Management Agency, which had a contract with Walmart. The retailer paid a flat day rate for modeling services provided by the agency.

Hill filed various wage-and-hour claims against Walmart in July 2019, alleging each photo shoot constituted a different instance of employment by the retailer and that she was “discharged” after each shoot. She sought $540,000 in damages, alleging Walmart failed to pay her all wages owed within 30 days of discharging her employment. She demonstrated she didn’t receive any wages until more than 30 days after each shoot.

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