Bill Text: IA HSB558 | 2017-2018 | 87th General Assembly | Introduced
Bill Title: A bill for an act relating to the independent contractor status of marketplace contractors performing services through the use of marketplace platforms and including retroactive applicability provisions.
Spectrum: Committee Bill
Status: (N/A - Dead) 2018-01-22 - Subcommittee: Mohr, G., Bloomingdale and Kacena. H.J. 130. [HSB558 Detail]
Download: Iowa-2017-HSB558-Introduced.html
House
Study
Bill
558
-
Introduced
HOUSE
FILE
_____
BY
(PROPOSED
COMMITTEE
ON
COMMERCE
BILL
BY
CHAIRPERSON
COWNIE)
A
BILL
FOR
An
Act
relating
to
the
independent
contractor
status
of
1
marketplace
contractors
performing
services
through
the
2
use
of
marketplace
platforms
and
including
retroactive
3
applicability
provisions.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
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Section
1.
NEW
SECTION
.
93.1
Definitions.
1
For
purposes
of
this
chapter:
2
1.
“Marketplace
contractor”
means
any
individual,
3
corporation,
partnership,
sole
proprietorship,
or
other
entity
4
that
does
all
of
the
following:
5
a.
Enters
into
an
agreement
with
a
marketplace
platform
6
to
use
the
marketplace
platform’s
online-enabled
application,
7
software,
internet
site,
or
system
to
receive
connections
to
8
third-party
individuals
or
entities
seeking
services.
9
b.
Offers
or
provides
services
in
return
for
compensation
to
10
third-party
individuals
or
entities
upon
connection
through
the
11
marketplace
platform’s
online-enabled
application,
software,
12
internet
site,
or
system.
13
2.
“Marketplace
platform”
means
a
corporation,
partnership,
14
sole
proprietorship,
or
other
entity
operating
in
this
state
15
that
offers
an
online-enabled
application,
software,
internet
16
site,
or
system
that
enables
the
provision
of
services
by
17
marketplace
contractors
to
third-party
individuals
or
entities
18
seeking
such
services.
19
Sec.
2.
NEW
SECTION
.
93.2
Status
of
marketplace
20
contractors.
21
A
marketplace
contractor
shall
be
treated
as
an
independent
22
contractor,
and
not
an
employee,
of
a
marketplace
platform
for
23
all
purposes
under
state
law,
including
but
not
limited
to
24
chapters
87
and
96,
and
rules
and
local
ordinances,
amendments,
25
resolutions,
and
motions,
if
all
of
the
following
conditions
26
are
met:
27
1.
The
marketplace
contractor
and
marketplace
platform
28
agree
in
writing
that
the
marketplace
contractor
is
an
29
independent
contractor
with
respect
to
the
marketplace
30
platform.
31
2.
The
marketplace
platform
does
not
unilaterally
prescribe
32
specific
hours
during
which
the
marketplace
contractor
must
33
be
available
to
accept
service
requests
from
third-party
34
individuals
or
entities
submitted
through
the
marketplace
35
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platform’s
online-enabled
application,
software,
internet
site,
1
or
system.
2
3.
The
marketplace
platform
does
not
prohibit
the
3
marketplace
contractor
from
using
any
online-enabled
4
application,
software,
internet
site,
or
system
offered
by
5
other
marketplace
platforms.
6
4.
The
marketplace
platform
does
not
restrict
the
7
marketplace
contractor
from
engaging
in
any
other
occupation
8
or
business.
9
5.
The
marketplace
contractor
bears
all
or
substantially
10
all
of
the
marketplace
contractor’s
own
expenses
that
are
11
incurred
by
the
marketplace
contractor
in
performing
the
12
services.
13
Sec.
3.
NEW
SECTION
.
93.3
Exclusions.
14
This
chapter
does
not
apply
to
the
following
services:
15
1.
Services
performed
in
the
employ
of
a
state,
political
16
subdivision
of
a
state,
or
Indian
tribe,
or
an
instrumentality
17
of
a
state,
political
subdivision
of
a
state,
or
Indian
tribe,
18
which
instrumentality
is
wholly
owned
by
one
or
more
states,
19
political
subdivisions,
or
Indian
tribes,
that
are
excluded
20
from
the
definition
of
employment
pursuant
to
26
U.S.C.
21
§3306(c)
by
reason
of
26
U.S.C.
§3306(c)(7).
22
2.
Services
performed
in
the
employ
of
a
religious,
23
charitable,
educational,
or
other
organization
that
are
24
excluded
from
the
definition
of
employment
pursuant
to
26
25
U.S.C.
§3306(c)
solely
by
reason
of
26
U.S.C.
§3306(c)(8).
26
Sec.
4.
RETROACTIVE
APPLICABILITY.
27
1.
This
Act
applies
retroactively
to
services
performed
by
a
28
marketplace
contractor
prior
to
the
effective
date
of
this
Act
29
if
all
of
the
conditions
set
forth
in
section
93.2,
as
enacted
30
by
this
Act,
were
met
when
the
services
were
performed.
31
2.
This
section
does
not
apply
to
an
action,
claim,
or
32
proceeding
initiated
prior
to
the
effective
date
of
this
Act.
33
EXPLANATION
34
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
35
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the
explanation’s
substance
by
the
members
of
the
general
assembly.
1
This
bill
relates
to
the
independent
contractor
status
of
2
marketplace
contractors
performing
services
through
the
use
of
3
marketplace
platforms.
4
The
bill
defines
marketplace
contractor
as
any
individual,
5
corporation,
partnership,
sole
proprietorship,
or
other
entity
6
that
enters
into
an
agreement
with
a
marketplace
platform
7
to
use
the
platform’s
online-enabled
application,
software,
8
internet
site,
or
system
to
receive
connections
to
third-party
9
individuals
or
entities
seeking
services,
and
that
also
offers
10
or
provides
services
in
return
for
compensation
to
third-party
11
individuals
or
entities
upon
connection
through
the
marketplace
12
platform’s
online-enabled
application,
software,
internet
site,
13
or
system.
14
The
bill
defines
marketplace
platform
as
a
corporation,
15
partnership,
sole
proprietorship,
or
other
entity
operating
in
16
this
state
that
offers
an
online-enabled
application,
software,
17
internet
site,
or
system
that
enables
the
provision
of
services
18
by
marketplace
contractors
to
third-party
individuals
or
19
entities
seeking
such
services.
20
The
bill
provides
that
a
marketplace
contractor
shall
be
21
treated
as
an
independent
contractor,
and
not
an
employee,
of
a
22
marketplace
platform
for
all
purposes
under
state
law
and
rules
23
and
local
ordinances,
amendments,
resolutions,
and
motions,
if
24
five
specified
conditions
are
all
met.
25
The
bill
does
not
apply
to
certain
services
excluded
from
26
employment
as
defined
in
26
U.S.C.
§3306(c).
27
The
bill
applies
retroactively
to
services
performed
by
a
28
marketplace
contractor
prior
to
the
effective
date
of
the
bill
29
if
all
of
the
conditions
set
forth
in
the
bill
were
met
when
30
the
service
was
performed.
This
provision
does
not
apply
to
an
31
action,
claim,
or
proceeding
initiated
prior
to
the
effective
32
date
of
the
bill.
33
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