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Existing law considers a person providing labor or services for remuneration, for purposes of the Labor Code and the Unemployment Insurance Code, and for the purposes of wage orders of the Industrial Welfare Commission, to be an employee rather than an independent contractor unless the hiring entity demonstrates that certain conditions are satisfied, as specified. Existing law exempts a bona fide business-to-business contracting relationship, as defined, from this presumption if specified conditions are met, including, among other things, that an individual acting as a sole proprietor contracts to provide services to another such business.
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