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Massachusetts Independent Contractor Agreement

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Massachusetts at a glance: Classification Test: ABC Test (M.G.L. Ch. 149 § 148B) · Prong B Restriction: Strictly enforced; work must be non-core · Governing Law: Mass. Gen. Laws Ch. 149 § 148B

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Overview

Independent Contractor Agreements in Massachusetts

Massachusetts has one of the strictest worker classification laws in the nation. It applies a statutory **ABC Test** (Mass. Gen. Laws Ch. 149 § 148B) which makes it highly difficult to hire contractors who perform core business activities. Prong B requires that the services must be completely outside the client's usual course of business to avoid employee status.
Key Facts

Massachusetts Independent Contractor Agreement — Quick Reference

RequirementMassachusetts Rule
Classification TestABC Test (M.G.L. Ch. 149 § 148B)
Prong B RestrictionStrictly enforced; work must be non-core
Governing LawMass. Gen. Laws Ch. 149 § 148B
Legal Requirements

Massachusetts Legal Requirements

  • Must satisfy all three prongs of the Massachusetts ABC test.
  • Contractor must be free from control and operate an independent business.
Governing Laws

Massachusetts Governing Laws

Mass. Gen. Laws Ch. 149 § 148B
Worker Classification
Codifies the ABC test and establishes severe penalties for misclassification.

Read the full text of these laws at Cornell Law School's Massachusetts legal resources or your state legislature's official website.

Questions & Answers

Massachusetts Independent Contractor Agreement — Frequently Asked Questions

What is Prong B in Massachusetts?

It is a rule stating that a contractor cannot perform work that is part of the client's core business operations. If they do, they are legally an employee.

What are the penalties for misclassification in Massachusetts?

Penalties include mandatory treble damages (triple damages) for lost wages, plus criminal fines and civil penalties.