FACT: Not necessarily! Many business owners believe that as long as they issue a 1099 tax form or agree on "contractor" status in writing, they are exempt from employment laws and Workers' Compensation. Under legal standards (especially in California), worker classification is NOT determined solely by: ✗ Whether someone receives a W-2 ✗ Whether someone receives a 1099 ✗ What the business calls the worker Instead, courts and regulatory agencies look at the actual working relat