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News & Press: Sacramento Report

Real Estate Licensees Remain Independent Contractors Under AB 5

Tuesday, July 16, 2019  
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The California Supreme Court in the Dynamex case set out a 3-part test to determine whether workers are employees or independent contractors. Unless all three conditions are met, the worker is an employee. This meant that most licensed real estate salespersons would arguably be classified as employees. Assembly Bill 5 (Gonzalez) codifies Dynamex while excluding certain occupations, including real estate licensees, from the 3-part test. The exception for real estate licensees references applicable case law prior to Dynamex as well as stating that the existing statutory real estate law governs the relationship of a real estate licensee.

California Land Title Association


1215 K Street #1816 Sacramento, CA 95814-3905
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