Transportation 39

The 9th Circuit reversed the decision of the lower court in the case of Narayan v. EGL on July 13, disregarding the choice of law provision contained in the contract between EGL and its contractors.  The provision specified that Texas law applied and the Northern District of California court used Texas law to find that the drivers were independent contractors.  The 9th Circuit reversed the finding of summary judgment, noting that California law must be applied, despite the choice of law provision in the contract, because the contractors were largely operating in California and should be subject to the California Labor Code.