From JDSupra, Ryan L. Eddings provides employers in California with changes in 2026 including a new law that says ownering a motor vehicle used in service does not create an independent contractor relationship. Ryan writes:
SB 809 is an explicit declaration of law that merely owning a vehicle used for labor or services does not create an independent contractor relationship. (Labor Code, §§ 2750.9, 2775.5, and 2802.2.) SB 809 declares the duty of an employer to indemnify their employee for all necessary expenses or losses applies to the use of a vehicle owned by an employee and used by that employee in the discharge of their duties. With respect to construction trucking, a commercial motor vehicle driver who owns the truck, tractor, trailer, or other commercial vehicle that they use in the discharge of their duties as an employee working for an employer would be entitled to reimbursement for the use, upkeep, and depreciation of that truck, tractor, trailer, or other commercial vehicle, as provided. Finally, SB 809 creates the Construction Trucking Employer Amnesty Program that will relieve construction contractors of liability for statutory or civil penalties (subject to exceptions) associated with the misclassification of construction drivers as independent contractors, if the eligible construction contractor executes a settlement agreement negotiated with, or approved by, the commissioner prior to January 1, 2029.
Source: 2026 California Labor & Employment Update | Hanson Bridgett – JDSupra
