Seattle’s New Impartial Contractor Ordinance: Instant Motion Required – Contracts and Industrial Legislation

Seattle’s New Impartial Contractor Ordinance: Instant Motion Required – Contracts and Industrial Legislation


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Corporations with impartial contractors in Seattle want to take
fast motion to conform to a brand new regulation handed through the Seattle
Town Council. The Impartial Contractor Protections Ordinance,
codified at SMC 14.34, took impact Sept. 1.

The regulation applies to solo impartial contractors who carry out any
a part of their paintings in Seattle for a business hiring entity if the
contractor receives or is predicted to obtain no less than $600 in
general reimbursement from the hiring entity all through a calendar yr.
If the hiring celebration is aware of or has reason why to understand that the paintings is
being carried out in Seattle, then the regulation applies, even supposing the
hiring celebration has no desire as to the place the paintings is
carried out.

Impartial contractors are outlined to incorporate folks and
entities consisting of just one particular person. The regulation does now not practice to
staff being handled as staff through a staffing company or
consulting company.

Industrial hiring entities are outlined to incorporate for-profit and
nonprofit organizations. Changed laws practice to drivers for
transportation community firms, corresponding to ride-share services and products.
There also are exceptions for attorneys and for contractors whose
sole dating to the hiring celebration is a belongings apartment
settlement.

Industrial hiring entities with impartial contractors coated
beneath the brand new regulation should:

  • Supply a written precontract disclosure to the contractor that
    contains no less than 12 specified classes of details about the
    engagement. This disclosure should be in one file within the
    contractor’s number one language. A fashion realize is
    to be had.

  • Supply written updates earlier than making adjustments to any of the
    required knowledge.

  • Supply well timed cost in step with the precontract
    disclosure phrases or a later written contract. If no closing date for
    cost is specified, then the contractor should be paid no later
    than 30 days after the paintings is finished.

  • Supply an itemized, written cost disclosure accompanying
    every cost. The disclosure should be in one file, corresponding to
    a pay stub or bill, and it should include knowledge in no less than
    12 specified classes.

  • Supply a written realize of the contractor’s rights beneath
    the brand new regulation. The awareness should be in English and, if acceptable, the
    contractor’s number one language. A fashion realize is
    to be had.

  • Handle for 3 years data that exhibit compliance
    with those necessities.

  • Chorus from retaliating towards any contractor who asserts
    rights safe beneath the brand new regulation. Prohibited retaliation contains
    threatening to record that the contractor is an unlawful immigrant.
    If any antagonistic motion is taken inside 90 days of a contractor’s
    workout of rights, the regulation creates a rebuttable presumption that
    the motion used to be retaliatory.

The precontract disclosure and disclosure of rights should be
equipped earlier than paintings starts or, for contractors already offering
services and products, through Sept. 30, 2022.

Consequences for violating this regulation would possibly come with cost of unpaid
reimbursement, liquidated damages, civil consequences, different consequences
payable to an aggrieved contractor, fines and passion. Those
consequences are along with another reduction to be had beneath any
different regulation.

The content material of this newsletter is meant to offer a normal
information to the subject material. Specialist recommendation must be sought
about your explicit cases.

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