Potential Ways For AB-5 To No Longer Apply To Truckers
We have stated before that we will continue to provide updates to the California AB-5 case regarding the trucking industry as it unfolds, and a new chapter in the saga has emerged, though it is not good for truckers.
Details
The Ninth Circuit Court, the same one that removed the first injunction from Judge Roger Benitez, has again ruled in favor of the AB-5 law, saying in a Memorandum Opinion that the latest argument from the Owner-Operators Independent Drivers Association (OOIDA), that it violates the dormant Commerce Clause in the U.S. Constitution, saying that it has a negative impact on interstate commerce in the United States.
The Ninth Circuit disagreed, stating that OOIDA failed to present evidence in support of its argument that AB 5 places a substantial burden on interstate commerce.”
So what happens next for the OOIDA? The OOIDA says that it is assessing its options at this point, but we see two potential ways for AB-5 to no longer apply to truckers in the Golden State:
- Appeal to the Supreme Court. While the Supreme Court declined to hear the first case regarding AB-5, it is possible they may listen to the second one. If they continue to deny claims, the Ninth Circuit’s ruling will continue to stand.
- Ballot initiative. Much like how independent contractors such as GrubHub and Uber have been able to carve out an exemption for themselves through a statewide vote, the trucking industry can launch an aggressive campaign to tip the scales during an election to get an exemption carved out for themselves as well. The steps to do this would be arduous, including getting signatures equal to or exceeding 8% of the number of people who voted in the last gubernatorial election, but it may be a better option than consistently banging heads against the wall of the legal system.
Conclusion
As always, we will continue to provide updates as the AB-5 sage unfolds. Despite currently applying to truckers within the state, AB-5 has not completely upended the trucking industry within the state: there are many trucks that are still operating on its roads. Still, it would be nice for truckers to have the option to drive under the Authority of another carrier.
Other Trucking Articles You May Like
- Sean Duffy to Reduce Trucking Regulations
- Michigan Introduces Bill to Prohibit Left-Lane Truck Travel
- FMCSA to Implement Two-Step Test in English Proficiency
- ATRI Proposes Alternative to Federal Excise Tax
- Sean Duffy Finalizes 76 Projects
- 16 State Coalition Sues FHWA
- CARB Abandons Advanced Clean Fleet Rule Altogether
- Trump Executive Order Makes English the Rule of the Road
ABOUT TOPMARK FUNDING
TopMark Funding is a top-rated semi-truck financing and trailer financing company located in Roseville, CA. We specialize in commercial trucking and heavy equipment. Our mission is to become your long-term financial partner by helping you grow your trucking business and fleet.
We’re not here for the short term, we’re on the long haul with you!
We have financing options for trailers, semi-trucks, commercial trucks, and small businesses. We have great rates, low down payments, and flexible monthly payments regardless of credit history.
Learn more about Trailer Financing.
Fill out the contact form or give us a call at (866) 627-6644. One of our truck financing specialists will contact you as soon as possible to go over your truck lease needs and learn more about you and your business financing goals.
