Contractor vs. Employee By Kenneth Starr

Contractor vs. Employee

The employment relationship is a contractual one between an employer and a worker who can be either an employee or an independent contractor. As the following case illustrates, it's not always easy to determine the legal propriety of the relationship.

Acme Court Reporting Co. Inc. employs eight professionally trained and experienced court stenographers/reporters. Consistent with the industry standard, all of the reporters are treated as independent contractors. They are all required to supply their own computer-aided transcription (CAT) hardware and software. They also supply their own vehicles and vehicular insurance for transportation to and from stenographic jobs, which are assigned at the sole discretion of the owner/manager of the company. They are not permitted to refuse any assignment and are also required to be in the company office during the day so they can be available to respond to "call-in" jobs. They are not permitted to work for any other court-reporting firm. Acme also furnishes steno note pads and copy paper to print out copies of deposition and trial transcripts and reporters also have use of the company's copy machine, telephones and other office supplies at no cost to them.