EstatePass
law-businessBusiness Organization & Employer ObligationsMEDIUM

Under California's AB 5 legislation implementing the Dynamex decision, which factor is NOT part of the three-prong ABC test for determining independent contractor status?

Correct Answer

A) The worker provides their own specialized tools and equipment

The ABC test under AB 5 has three specific prongs: (A) freedom from control, (B) work outside usual business course, and (C) independently established trade/business. While providing tools may be relevant, it is not one of the three mandatory ABC test criteria established by the Dynamex decision and codified in AB 5.

Answer Options
A
The worker provides their own specialized tools and equipment
B
The worker performs work outside the usual course of the hiring entity's business
C
The worker is free from control and direction of the hiring entity
D
The worker is customarily engaged in an independently established trade or business

Why This Is the Correct Answer

The ABC test under AB 5 has three specific prongs: (A) freedom from control, (B) work outside usual business course, and (C) independently established trade/business. While providing tools may be relevant, it is not one of the three mandatory ABC test criteria established by the Dynamex decision and codified in AB 5.

Why the Other Options Are Wrong

Option B: The worker performs work outside the usual course of the hiring entity's business

This IS Prong B of the ABC test: the worker must perform work outside the usual course of the hiring entity's business. For example, a plumber hired by a retail store performs work outside the store's usual business, supporting independent contractor status.

Option C: The worker is free from control and direction of the hiring entity

This IS Prong A of the ABC test: the worker must be free from the control and direction of the hiring entity in performing the work, both under the contract and in fact. This is the foundational control prong.

Option D: The worker is customarily engaged in an independently established trade or business

This IS Prong C of the ABC test: the worker must be customarily engaged in an independently established trade, occupation, or business. This means the worker operates their own independent business, not just working for one entity.

Memory Technique

Remember the ABC test by its prongs: A = Autonomy (free from control), B = Business scope (outside usual business), C = Customarily self-employed. Tools and equipment ownership is NOT in the ABC β€” it's a distractor from other tests.

Was this explanation helpful?

More law-business Questions

Under B&P Code Section 7071.9, a contractor may deposit cash or securities instead of obtaining a surety bond. If a contractor chooses this option, where must the deposit be maintained and what happens to interest earned?

Under California's AB 5 law (Dynamex decision), which factor is NOT part of the ABC test for determining independent contractor status?

According to Business and Professions Code Section 7031, what is required when a licensed contractor supervises work performed by unlicensed employees on a construction project?

Under California Building Standards Code Title 24, which entity has the authority to issue building permits for most residential and commercial construction projects?

According to B&P Code 7159.5, service and repair contracts must include specific provisions. Which statement is correct regarding these contracts?

Which of the following activities is exempt from California contractor licensing requirements under Business and Professions Code Section 7048?

Under Cal/OSHA regulations in Title 8 CCR Section 5192, Safety Data Sheets (SDS) for hazardous chemicals used on construction sites must be readily accessible to employees during which hours?

Under California Business and Professions Code Section 7071.9, in lieu of a surety bond, what alternative security may a contractor provide to satisfy the contractor license bond requirement?

According to Cal/OSHA regulations, which of the following is NOT a required element of a written Injury and Illness Prevention Program (IIPP)?

A homeowner requests that a B-General Building Contractor provide a certificate of insurance naming the homeowner as an additional insured on the contractor's general liability policy. Under California law, what is the contractor's obligation?

People Also Study

Related Study Resources

Practice More Contractor Exam Questions

Access all practice questions with progress tracking and adaptive difficulty to pass your Florida General Contractor exam.

Start Practicing