A roofing contractor hires a consultant to provide safety training seminars. The consultant uses their own materials, trains multiple companies, and invoices for services. Under AB 5, this arrangement would likely:
Correct Answer
C) Both B and C are correct
Safety consulting is likely outside the usual course of a roofing contractor's business, the consultant appears independently established, and professional services may qualify for AB 5 exemptions.
Why This Is the Correct Answer
Under AB 5 (Labor Code Section 2775), the default classification is employee unless all three prongs of the ABC test are met. Here, prong B — that the work is outside the hiring entity's usual course of business — is likely satisfied since safety consulting is not the core trade of a roofing contractor. Additionally, the consultant operates independently (own materials, multiple clients), suggesting prong C (independently established business) is met. Furthermore, safety consulting may qualify for the professional services exemption from AB 5. Both the independent contractor qualification and the professional services exemption may apply, making 'Both B and C are correct' the most accurate answer.
Why the Other Options Are Wrong
Option A: Be subject to the professional services exemption
While the professional services exemption is one valid basis for the answer, selecting it alone misses the possibility that independent contractor status under the ABC test may also apply. Option A is incomplete because it excludes the concurrent applicability of both grounds.
Option B: Qualify for independent contractor status
Qualifying for independent contractor status alone is a valid analysis but does not capture the full picture — the professional services exemption may also apply. Selecting B alone is therefore an incomplete answer when the facts support both B and C.
Option D: Require employee classification due to the ABC test
Employee classification under the ABC test would be required if the consultant's work fell within the roofing contractor's usual course of business (prong B). Safety training seminars are not within the usual course of roofing construction work, so prong B is likely satisfied, defeating the argument for mandatory employee classification.
Memory Technique
For AB 5 analysis, use the ABC checklist: A = free from control, B = outside usual business, C = independently established. If B and C are both satisfied AND a professional exemption applies, the answer is 'both.' Safety consulting + roofing = outside usual course = independent contractor territory.
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