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Misclassification Of Individuals As Independent Contractors Rather Than Employees - Huge Liability

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Nonprofit and Church Legal Trends - Free Edition - November December 2008 (free edition)

Misclassification of individuals as independent contractors rather than employees has huge liability attached to it if you are wrong. Three financial representatives who worked for Northwestern Mutual have filed a $200 million lawsuit against the company for failing to pay them overtime wages under California and federal law. The suit was filed in San Diego on behalf of all sales and financial representatives at Northwestern Mutual who were allegedly denied overtime compensation.