Legal Question in Business Law in California

I am an independent contractor, working for an Automotive Training Company located in Easton, PA., and Las Vegas, NV. I live in California, and a local dealership here in CA. contracted and hired this company to recruit and train new sales people for their Dealership. We typically run 2 days of interviews, and 3 days of training. On Monday... after we interviewed 18 candidates, the owner of the company pulled us into his office, and informed us the person who signed the contract was not authorized to act in this capacity, and informed us that we needed a California business license to conduct business in the State of California. Is an "out of state" company who is contracted and hired by a company conducting business within the State of California, required to obtain an license to do business within the State of California?


Asked on 3/05/13, 10:09 am

1 Answer from Attorneys

It depends on how much business you do in California. If you are an independent contractor, you personally need to be properly licensed and registered as an independent business in CA. Most likely, however, you are legally an employee who is illegally being treated like an independent contractor. If that is the case, then your employer must register as a "foreign" company doing business in CA.

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Answered on 3/05/13, 10:58 am


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