Beaches, waves and ocean breezes may be what the Golden State is most known for, but in the business world California has a reputation for leading the country on one more thing: regulation.
With 200 regulatory agencies empowered by the California Code of Regulations, the state is uniquely suited for addressing some of the issues that matter most to supply chains. And in 2018, California actively took on that mantle.
In May, the state's courts developed a test to determine whether an employee was an independent contractor. And by September, state senators had approved a law that would hold shippers accountable for traces of employee misclassification.
They were big developments at the state level to be sure, but California is so crucial to business in both sales and supply chains, regulatory changes can have an effect well beyond the state's borders. Businesses had to adapt.
Here are some of the year's legal highlights from the West Coast.
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New California independent contractor test assumes all workers are employees
The "ABC test" could finally put an end to the truck driver misclassification debate. Read More >>
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SCOTUS refuses to review standardized federal trucking regulations
J.B. Hunt, along with other 3PLs and trucking companies, argue states — like California — should not be able to set their own wage and rest break rules that preempt federal law. Read More >>
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World Logistics Center goes 'back to square one'
Recent court decisions cast doubt on plans to open a 40-million-square-foot development in Moreno Valley, California, by 2023. Read More >>
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New California law puts retailers on the hook for driver misclassification
The legislation changes the dynamics of an issue that has plagued California's ports for years, resulting in numerous lawsuits and driver strikes. Read More >>
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ATA petitions federal overrule of California meal and rest break standard
After a legislative fix failed, the American Trucking Associations and lawmakers are calling on the Secretary of Transportation to wade into hours-of-service rules. Read More >>
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California Trucking Association sues to stop contractor classification test
New contractor classification standards throw a wrench in business as usual between owner-operators and freight carriers. Read More >>
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Port drivers file wage claims with City of Los Angeles
Truck drivers for California Cartage Express are asking the city to conduct a company-wide investigation over what they claim are systemic labor violations. Read More >>