AALRR Attorneys Mark Huge Win for Interpreter and Translator Industry in Appeals Board Case
Atkinson, Andelson, Loya, Ruud & Romo ("AALRR") attorneys David Kang, Ed Ho, and Cindy Arellano recently received a critical win for their client over the Employment Development Department (“EDD”) in a California Unemployment Insurance Appeals Board (“CUIAB") appeal, saving the client more than $600,000.
The client provides language interpretation and translation services, utilizing independent contractors. Generally, the contractors are matched with the company’s clients through a technology platform (similar to ridesharing platforms) that identifies a client's need for an interpreter and the skills of the contract interpreter looking for an assignment.
The EDD audit was initiated by an unemployment claim from one of the interpreters, with the claimant successfully obtaining an EDD ruling that she was an employee, not an independent contractor. A subsequent EDD audit resulted in an assessment of $619,700 against the company and a reclassification of all of the linguists from independent contractors to employees.
In contesting the assessment, Ms. Arellano initially worked with the company in appealing the EDD assessment and in preparing the case for hearing. Mr. Kang and Mr. Ho then took over as the litigators on the case and immediately began preparing for the hearing in San Diego. Despite bearing the burden of proof as to the status of the workers, and despite the fact that the interpreters were essential to the ongoing viability of the client’s business, Mr. Kang and Mr. Ho were successful in obtaining a ruling that the interpreters were not under the direction and control of the company and were therefor appropriately classified as independent contractors.
“This is a huge win for the client on an issue that is of critical importance in the interpretation industry,” commented Scott Dauscher, Practice Group Leader for AALRR’s Commercial and Complex Litigation Practice.
About Atkinson, Andelson, Loya, Ruud & Romo
With 40 years of unwavering commitment to client service, AALRR is one of California’s leading law firms. Our diverse team brings a seasoned perspective to California’s complex legal landscape for public and private entities, with particular strength in the areas of education, labor and employment, construction, complex litigation, corporate, taxation, and white collar law. Our public sector clients include more than 400 K-12 school districts, community college districts and universities, as well as cities, counties and special districts. We also represent diverse business entities, from small, family-run businesses to publicly traded corporations. At 195 lawyers and growing, AALRR has nine offices in Cerritos, Fresno, Irvine, Marin, Pasadena, Pleasanton, Riverside, Sacramento and San Diego to serve our clients throughout California. For more information about AALRR, visit our website at www.aalrr.com and sign up for our blogs, EdLawConnect, CA Public Pensions Law, Business Law Journal, Labor & Employment Law, and Labor Relations Law.