Is an unlicensed subcontractor an employee of the principal contractor?

California, United States of America


The following excerpt is from Neighbours v. Buzz Oates Enterprises, 217 Cal.App.3d 325, 265 Cal.Rptr. 788 (Cal. App. 1990):

Under the plain meaning of section 2750.5, any unlicensed subcontractor is the employee of the general contractor; consequently, as a matter of law, the employee of an unlicensed subcontractor is the employee of the principal contractor. (Blew v. Horner, supra, 187 Cal.App.3d at p. 1389, 232 Cal.Rptr. 660: "[A]mong the consequences which flow from a determination that a person is an employee rather than an independent contractor is that an employer-employee relationship exists between the hirer of the employee and those whom the employee has hired to do the hirer's work.")

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