AB5, California legislature’s attack on the owner-operator model, was challenged by the California Trucking Association (ATA) on the grounds it was preempted by federal law. On December 31, 2019, Judge Benitez ruled in our favor and issued a restraining order on the law’s implementation for trucking. In January, further relief was granted in the form of an injunction.
In March, the State of California filed an appeal with the 9th Circuit Court of Appeals.
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This appeal is being heard today at the 9th Circuit. The industry feels confident in our chances to winning the appeal. This is the same court which ruled in favor of the ATA in its legal battle with the Port of Los Angeles on the same subject. But, you just never know.
As always, we’ll keep you posted.