Minnesota Court Upholds 14-Factor Subcontractor Statute

SJJ posted recently about a court challenge to the recently enacted subcontractor classification statute, Minn. Stat. § 181.723. The plaintiffs in that case moved for a temporary restraining order stopping the enforcement of the Statute. The Court refused to issue an injunction, citing that the challenge was unlikely to be successful. While this ruling was on whether a temporary stay of the statute should be issued (an extraordinary remedy that is rarely granted), the Court’s opinion seems to indicate that when it does rule on the merits of the Statute it will not strike it down.

As always, our team stands ready to answer questions and help general contractors update their subcontractor agreements to be compliant with the updated Statute. Reach out today if you haven’t updated your company’s subcontractor agreement.