The prospect of California’s AB5 impacting the state’s trucking sector moved a step closer to reality Thursday when a California Court of Appeals ruled that the law governing the hiring of independent contractors was not preempted by a federal law.
In a case that was first filed before AB5 passed the California legislature in 2019, the drayage company Cal Cartage had won an earlier ruling that AB5 was preempted by the Federal Aviation Administration Authorization Act, legislation passed in the...