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Driving a truck can be a grueling, demanding occupation, especially for drivers who travel across the country. Not only do drivers face the risk of getting in an accident, they also need to find ways to cope with the long hours of sitting behind the wheel. As such, it is important for trucking company owners to hire people capable of performing the job safely and in accordance with state and federal trucking laws. However, between the shortage of truck drivers and increasing demands on transportation companies, finding drivers who fit these criteria is proving to be quite difficult. That may or may not change if bills to lower the interstate commercial driving age from 21 to 18 are successful. What proponents of the bills say Supporters say that lowering the age for interstate drivers provides valuable opportunities for younger drivers looking for a career in trucking. There is also motivation to lower the age because, as noted in this analysis from the American Trucking Association, people between the ages of 18-20 have the highest rate of unemployment. Lowering the driving age could increase employment opportunities while possibly reversing the driver shortage. What critics of the bills say Critics of lowering the age say that teenage drivers are simply not safe or responsible enough to operate a commercial truck across state lines. They say that teenage drivers are at least four times more likely to be in a fatal crash, and they do not have the driving experience to warrant an interstate license. Instead of hiring younger drivers to address the shortage, opponents of the bills argue, more should be done to keep and attract drivers who fit the current criteria. What this means for trucking company owners today It is not yet known if the bills to lower the age will pass, though we will certainly follow up with any developments. Issues regarding regulations and hiring practices in the trucking industry can be incredibly complicated and divisive. But regardless of where you fall on a particular measure as a trucking company owner, it is crucial that you take seriously compliance with state and federal trucking laws. Should you have questions or concerns about complex regulations or insurance issues, you can consult an attorney.

If you operate a mid-to-large sized business in California, you likely have a diverse workforce consisting of different types of workers. While many of them could be full-time, regular employees, it is becoming increasingly common for such companies to hire freelancers or independent contractors as well. This hiring trend is part of the “gig economy,” which refers to the rising number of people who work in independent or short-term capacities. Due to the fact that this segment continues to grow so quickly, there have been more companies across the country confronted with disputes regarding worker classification. Why classification matters The way an employer classifies a worker is significant for many reasons – particularly in California. First, it can define the longevity of the role. Will a person be on staff indefinitely as a regular employee? Will the person be working for the company for a single project as a freelancer? Is there an end date to his or her employment defined in a contract? Classification also matters because it dictates what (if any) benefits and protections a worker receives. In general, employers are not required to provide things like health insurance, time off or a minimum wage to freelancers and contractors. Further, these workers may not be covered under certain federal laws that protect employee rights in the workplace. Finally, classification reflects the expectations of the role. An employee typically has a manager, a defined schedule and receives specific training. Non-employees often have more control over their schedules as well as the jobs they accept. How the gig economy contributes to employment disputes As discussed in this NPR article, workers in a gig economy can take on attributes of both employees and non-employees. This can make it easy for confusion and debate to arise. California courts and administrative agencies closely monitor how a worker is classified, generally relying on a multi-part test of various elements to determine whether a worker is an employee or independent contractor. Misclassifying a worker can result in a wage and hour lawsuit by the worker, as well as actions by governmental agencies seeking taxes, fees and penalties. Consequently, it is important to properly classify workers to avoid trouble; but if you get into a dispute with a worker or governmental agency, you need to retain an attorney who can aggressively advocate on your behalf to minimize or eliminate the damage.

Intellectual property rights matter, no matter what that property is used for. In an era where every action is an opportunity for a Facebook, Instagram or other social media post to promote your brand, any business needs to remember that copyrights matter. This doesn’t just refer to using a popular internet meme or a screenshot somebody else shared. It could even be an image of you or your company. Singer/celebrity Jessica Simpson currently faces a lawsuit for posting a picture of herself on Instagram. Note that it’s “a picture of herself,” not “her own picture.” Splash News and Picture Agency own this image, and British paper, The Daily Mail, had rights for its limited use. This did not include use by Simpson herself. MEASURING VALUE BY EXPOSURE While most people would think they’d have rights to a photo where they are the subject, Splash News and Picture Agency is a paparazzi company whose business is founded on the sale of rare photographs. Suing for $25,000, the company claims that Simpson’s use of the image reduced its value. As a celebrity photo company, the argument also notes that Simpson’s fans who saw the image on her Instagram post are the same customer base who buy the celebrity magazines the agency does business with. As the Professional Photographers of America explains, photo copyrights belong to the photographer immediately upon creation. Rights then transfer based on permission. Just because The Daily Mail had rights to the image, it did not grant Ms. Simpson the same rights, and she’s not the first celebrity to experience this surprising reality. READING THE FINE PRINT This lawsuit is one of many examples of how business contracts hinge on many parties. It only takes a single violation to decrease the value of a product or service. Any business matter requires careful review to make sure that the owners of property rights are protecting their brand and its use. Misuse of property can be as simple as a social media post or it can be far more egregious.

The processes and products that separate one business from the competition are often quite valuable. Business owners therefore want to be sure that they protect the features that set them apart and give them an edge over their competitors. There are numerous ways California business owners can do this. We discuss a few approaches in this post, though you are encouraged to discuss all your options with an experienced attorney to protect information. Protecting it from unauthorized employees Sensitive information is not necessarily something that needs to be shared with or accessible to every employee, especially in large companies with hundreds of employees. As such, you can protect this information from improper access by keeping a list of authorized users and making sure the information cannot be shared without permission. Placing strong passwords on the material can also be crucial. Protecting it from competitors To keep confidential information or trade secrets from competing entities, you can utilize non-disclosure agreements (commonly known as a “NDA”) or confidentiality agreements with employees. When properly drafted, these clauses can prevent employees from sharing protected information with other companies should they leave your company. Protecting it from the public In addition to the measures mentioned above, business owners can protect information from the public by examining the options for securing a patent, copyright or trademark on appropriate materials to prevent misuse. It can also be wise to pursue alternatives to litigation in the event of a dispute to prevent details about your business from going on the public records. These and other measures can ensure your business retains ownership and control over the elements of your company that allow you to stay competitive. However, if these measures fail or if a party violates them, you may have grounds to take legal action. Doing so may not undo the harm that has been done, but it can hold the appropriate party liable and allow you to recover financial damages.

Mergers and acquisitions are highly complicated business transactions that must be entered into with careful consideration. It is not as easy as a one-time transaction or purchase, and there are financial, employment and organizational implications to think about. As such, it can be prudent to approach growth opportunity discussions with caution. A potential deal could certainly be exciting, but a lot of work goes into these transactions and there is the potential for it to fall apart. Recently, for instance, discussions between Uber and an independent freight logistics company reportedly failed after months of discussions regarding Uber’s purchase of the company. Details on the purported discussions are sparse, but sources say that Uber wanted to acquire Load Delivered Logistics in an effort to expand its reach and offerings in the trucking industry. It is not clear why the discussions came to an end, though some speculate that Uber’s ongoing CEO issues and a particularly strong quarter for the logistics company could have affected the negotiations. While talks between the two companies have ended, this can serve as a reminder that not all merger and acquisition discussions are successful. They can and do fail for a number of reasons, from logistical challenges of reaching a deal to one party’s decision against buying or selling. Whether your company is assessing options for growth into a new area or dealing with internal issues that could jeopardize a transaction, it is important that you identify solutions that minimize disruption and allow you to focus on the future of your company. Considering all that is required in these situations, business owners would be wise to have the guidance and insight of an attorney who understands industry regulations, effective dispute resolutions methods and the challenges of running a business.

In the construction field, contractors face different constraints with publically funded construction projects. One of the limitations of city-funded projects is a local hiring requirement where a predetermined percentage of a project’s workforce must come from the surrounding geographic area to promote the local economy. When creating a bid or reviewing a contract for a publicly funded construction job, check for any hiring restrictions. Local Hiring Currently, Beverly Hills does not have a local hiring ordinance in effect, but the implementation of the Far Chance Initiative for Hiring this summer is a step in that direction. Based on previous enactments elsewhere in the nation, local hiring ordinances have been favorably looked upon by municipal governments. Since 2011, San Francisco has had a local hiring ordinance in place for city contract construction projects over $600,000 or on public land. The ordinance requires contractors to have at least 30 percent of their work hours, per each trade, performed by residents of San Francisco. In addition, at least half of the 30 percent must be enrolled in an apprenticeship program. Before 2011, contractors only had to make a “good faith effort” to hire 50 percent of their workforce from local areas. In order to ensure the ordinance is feasible, the city of San Francisco works provide contractors with qualified employees for each trade. The city targets the ZIP codes of poorer neighborhoods for workers to enter into city-sponsored workforce development programs. Issues with local hiring requirements The purpose of local hiring ordinances is to assist low-income individuals to find a job located near their home to promote the local economy. The practice is beneficial for long-term employment positions, such as civil servants. However, by their very nature, construction projects are not long-term and local workers face unemployment once the project is finished. Additionally, tradesmen do not always live in the communities where the construction is taking place, it may be too expensive and then the hiring requirement is in effect for no reason. In order to balance the cost of sourcing local laborers, contractors can add the labor cost into their bid. Or, if a contractor will not be complying with the hiring ordinance, they may add the penalty for non-compliance into their bid. Contractors and construction companies seeking work in the Beverly Hills area should be on the lookout for any local hiring initiatives as the mid-term elections approach.

It seems that we regularly read news stories about defective products. You don’t have to search too hard to find a current report on a defective airbag, children’s toy or construction element. Despite the fact that we see these stories so often, many cases involving defective products are settled with an agreement that discovery information be kept confidential. That practice was recently challenged with a bill to prohibit confidentiality clauses in cases involving defective products. However, the proposed measure died in the California Assembly. What the bill proposed The bill was introduced to prioritize and increase consumer safety by banning confidential settlements when they involve a defective product. Currently, when a lawsuit involving an allegedly defective product settles outside of court, it is not unusual for all parties to agree to a confidentiality clause that prohibits public disclosure of information regarding the case. Under the terms of this bill, these elements of a settlement would be prohibited. Why the bill was proposed Supporters argue that the secrecy of these settlements puts the public in danger of being hurt or killed by a product known to be defective. When no one involved in the case can disclose information about a potential danger, then there can be no efforts to protect consumers with awareness and possible regulatory action. Impacts on businesses Many business owners are fiercely protective when it comes to the information that is available to the public. Without the protection of a confidentiality agreement, cases involving alleged defects could become even more contentious and lengthy. Business owners can be more motivated to challenge disclosure of information during discovery, especially if it contains confidential or sensitive information. How this can affect business owners today While this measure was not successful, it should alert business owners in California to the fact that these cases are often divisive and have the potential to drastically affect consumers and businesses. Parties who are involved in a defective product lawsuit will, therefore, want to be diligent about how they protect sensitive information, whether this includes a confidentiality agreement or challenges during discovery.

Complying with state and federal trucking regulations is a significant responsibility for those operating in this industry. There are equipment, training, hiring and operational obligations that must be observed properly or the companies could face major consequences. As such, any changes to policies or rules in this industry must be considered carefully before implementing. This is the situation currently facing trucking companies and lawmakers who have raised the issue of mandating the addition of side guards to all commercial trucks. The Stop Underrides Act of 2017 Lawmakers recently proposed bipartisan legislation that would require trucks to have side guards in place. The guards would prevent cars from sliding underneath the truck in an accident, which causes catastrophic injuries and at least 200 deaths annually. Currently, side guards are not required, though the National Transportation Safety Board does recommend that trucks have them. The proposed bill would change the recommendation to a requirement. The cost of compliance While there are potential benefits of installing side impact guards, there is also a cost associated with implementing the system. Trucking companies would need to pay for the parts and the addition of the bars, and there is a risk that the guards could increase the weight of the truck and weaken parts of the trailer. Both of these issues could cause other problems in the operation of the trucks. In other words, there are challenges that trucking companies need to deal with when it comes to adding parts to their vehicles. It is typically far more difficult than people outside this industry might expect. Responding to new legislation Trucking companies must comply with federal legal requirements, but until measures like adding side guards become legally required, each company will need to decide whether and how to put certain safety protocols into practice. This calls for an assessment of cost and resources that would be required. In such situations, it will be crucial for companies to understand their legal obligations and options so that a mistake or oversight does not become a costly legal dispute.

Technology is changing the way business is conducted throughout the world. In the transportation industry, driverless trucks are quickly becoming reality for logistics companies. As these trucks are rolled out in the years ahead, logistics firms will need to adjust to new regulations and deal with safety concerns. As a logistics business owner, you are planning your business strategies far in advance. How you navigate the changes in your industry could make a huge difference to your business’ future success. UPS joins block chain in Trucking Alliance (BiTA) Recently UPS made an announcement that they were joining the BiTA in order to learn more about how block chain could serve their business. block chain is a technology which allows for a more secure transfer of digital assets (like import documents) and currency using a peer-to-peer network. UPS cites the potential for increased efficiency and transparency among the different stakeholders in logistics with the use of block chain. Analysts suggest that block chain technology combined with artificial intelligence (AI) assisted real-time matching of loads and empties will transform the industry. Investment in these technologies will increase and eventually lead to a common practice amongst logistics companies. Technology investment will differentiate logistics firms Business owners who make the shift to invest in block chain and other technology will likely be more competitive in the marketplace. Participants in the initiatives that BiTA supports could see an increase in efficiency. The use of new technology could cut down on errors caused by improper paperwork, missed connections or bad deliveries, for example. The consumer will begin to notice the difference when their orders arrive sooner or are less expensive. As it becomes more obvious to consumers that certain companies are performing better they may change their preferences. Within the industry, partners could require the use of block chain to be eligible to work with them. Future impact to your business Those companies that do not comply with the new standards could see a drop in business or maybe go out of business because they cannot compete. It will be important for you to be aware of the impact of block chain, AI and autonomous vehicles on your overall strategic decisions for the business. In addition, you will want to know how these changes will affect your business contracts. You may be required to modify current partner agreements, for example. You will want to put some thought into what potential liabilities may be related to the technology. To navigate the complexities of these business initiatives, you might want to consult with an attorney who understands the intricacies of logistics. Investing in technology is great and yet it brings with it a whole new set of requirements for a successful outcome.

The beginning of a new year can be the perfect opportunity for employers to assess how – and if – an employee handbook is holding up. This is particularly true in 2018 as numerous legislative changes have been made or proposed. Here, we examine various elements of an employee handbook that employers may need to revise, remove or add in order to preserve its effectiveness in the year ahead. Sexual harassment policies It is as important as ever to have strong sexual harassment policies in place. In 2017, there was something of a watershed moment with regard to sexual harassment in the workplace. Additionally, as noted in this SHRM article, California recently expanded requirements for harassment prevention training. As such, it is crucial for employers to ensure they have solid policies for addressing, investigating and reporting workplace harassment. Drug use policies Recently, legislative changes have been made with regard to the legalization of marijuana in California as well as to policies regarding federal prosecution of drug laws in states where the drug is legalized. With the subject in the national spotlight, employers would be wise to review what their handbook says about drug use and testing policies. Parental leave policies California is expanding parental leave laws this year, so it is vital for businesses to review leave policies. This is especially true for companies with 20-49 employees who are now required to offer job-protected leave for parents. These are just a few of the policies that could require updating in light of changing laws and changing attitudes; there could very well be others you discover in a thorough review of your handbook. Workplace disputes can be very costly for both employers and employees. Avoiding them by having in place a comprehensive, updated handbook can prove to be a wise decision. Should you have questions or concerns about any elements of your company’s handbook, you can consult an attorney familiar with employment law cases in California.

Construction defects, heavy machinery operation errors and failed safety precautions can all put people in danger of being hurt or killed on a construction site. These dangerous conditions can, therefore, lead to serious penalties for noncompliant parties. As such, there are numerous state and federal regulations with which companies and property owners must comply. However, even when people comply fully with the law, accidents can and do happen due to the nature of these environments. Understandably, there is a major push to identify new solutions to improve safety on construction sites. Recently, for instance, one company known for making video game technology is reportedly working with machinery giant Komatsu, which manufactures heavy construction machinery such as earth movers, dumper trucks, and hydraulic excavators, to develop solutions to make construction sites safer. According to this article from Equipment World, Komatsu and NVIDIA are working together to bring artificial intelligence to construction sites. They plan to do this by equipping heavy machinery with intelligent cameras that can constantly assess their surroundings and gather valuable data. Eventually, they hope to also create autonomous machines. Once in place, the technology is expected to constantly monitor surroundings, identify hazards and then engage measures to avoid the hazards. The goal is to minimize human error to improve job site safety, which can save lives and save companies considerable amounts of money. Innovative solutions like this are rapidly progressing in industries like construction and heavy machinery. However, while these solutions are often exciting and ambitious, it is important for businesses to think carefully about the impact of adopting new technologies. Not only is it typically a massive financial investment to adopt new technological solutions, it can also involve legal risks that leave a company vulnerable to certain challenges and disputes. Companies in these industries would, therefore, be wise to have legal representation when it comes to implementing new solutions in their business.

The hiring process is a nervous time for both the prospective employees who apply for the open position, and the employer that is trying to hire the most talented applicant available. There are many things to consider on both sides, but today we want to focus on the employer and what they must do in order to ensure a successful and litigation-free hiring. The first thing to realize about the hiring process is that there are many different questions that the interviewer is not allowed to ask the applicant. For example, they can’t ask if the applicant is considering having a child. They can’t ask about the race, religion, age, or sexual preference of the applicant. And they can’t ask about the disability or citizenship status of the applicant. Another factor of the hiring process is that there are a lot of administrative steps that need to be completed. The employer must get a federal identification number for any new hire, as well as register the new hire for tax purposes. Workers’ compensation insurance and other benefits must be considered too, as well as aiding the new employee with registering for these benefits. Last but not least, any employer should refrain from making any promises to a prospective employee during the interviews and discussions they have with applicants. This is because those promises become an “implied contract,” and if the situation changes with your hiring process and another applicant is actually selected as opposed to the one your promised something to, then you could have a legal mess on your hands.