Advanced Cleaning Services was an incorporated company offering cleaning services. It negotiated and signed contracts with...
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Advanced Cleaning Services was an incorporated company offering cleaning services. It negotiated and signed contracts with clients and managed the business but hired cleaners to do the actual cleaning. Clients were invoiced for cleaning services performed from Advanced Cleaning Services, not from the cleaners. A.J. Boreal had his own part-time cleaning business and his spouse helped him with cleaning jobs. In 2010, he became one of Advanced Cleaning Services' cleaners. The agreement with Advanced Cleaning services said Mr. Boreal was an independent contractor and had full control over his business. The agreement also specified that Advanced Cleaning Services had a lot of control over him. The agreement stated that Mr. Boreal had to report any client complaints immediately and fire an employee of his business if Advanced Cleaning Services or a client asked. Mr. Boreal had to report any new possibilities or leads for cleaning contracts, so Advanced Cleaning Services could sign the client. Advanced Cleaning Services paid Mr. Boreal directly and would deduct amounts he owed under the agreement. This could be up to 43% of what he earned. After five months, Mr. Boreal left because he couldn't build his business or make profits. He ended the agreement and went back to his own cleaning business. Mr. Boreal's agreement with Advanced Cleaning Services specified he was an independent contractor however Mr. Boreal believed he was an employee. At the time he ended the agreement Mr. Boreal claimed Advanced Cleaning Services owed him and his spouse over $9,000 in unpaid wages and benefits. Mr. Boreal took the claim to court. Questions: 1. Explain what arguments the plaintiff (Mr. Boreal) could raise to the court to substantiate his lawsuit against Advanced Cleaning Services. 2. Explain what arguments the defendant (Advanced Cleaning Services) could raise to the court in their defense. 3. Propose an outcome to the case. Explain your rationale for the decision using the source of law applicable to the case. Include how you would decide on the awarding of damages in this case. Advanced Cleaning Services was an incorporated company offering cleaning services. It negotiated and signed contracts with clients and managed the business but hired cleaners to do the actual cleaning. Clients were invoiced for cleaning services performed from Advanced Cleaning Services, not from the cleaners. A.J. Boreal had his own part-time cleaning business and his spouse helped him with cleaning jobs. In 2010, he became one of Advanced Cleaning Services' cleaners. The agreement with Advanced Cleaning services said Mr. Boreal was an independent contractor and had full control over his business. The agreement also specified that Advanced Cleaning Services had a lot of control over him. The agreement stated that Mr. Boreal had to report any client complaints immediately and fire an employee of his business if Advanced Cleaning Services or a client asked. Mr. Boreal had to report any new possibilities or leads for cleaning contracts, so Advanced Cleaning Services could sign the client. Advanced Cleaning Services paid Mr. Boreal directly and would deduct amounts he owed under the agreement. This could be up to 43% of what he earned. After five months, Mr. Boreal left because he couldn't build his business or make profits. He ended the agreement and went back to his own cleaning business. Mr. Boreal's agreement with Advanced Cleaning Services specified he was an independent contractor however Mr. Boreal believed he was an employee. At the time he ended the agreement Mr. Boreal claimed Advanced Cleaning Services owed him and his spouse over $9,000 in unpaid wages and benefits. Mr. Boreal took the claim to court. Questions: 1. Explain what arguments the plaintiff (Mr. Boreal) could raise to the court to substantiate his lawsuit against Advanced Cleaning Services. 2. Explain what arguments the defendant (Advanced Cleaning Services) could raise to the court in their defense. 3. Propose an outcome to the case. Explain your rationale for the decision using the source of law applicable to the case. Include how you would decide on the awarding of damages in this case.
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1 Arguments the plaintiff Mr Boreal could raise to substantiate his lawsuit against Advanced Cleaning Services a Control and direction Mr Boreal could argue that despite being labeled as an independen... View the full answer
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Auditing Cases An Interactive Learning Approach
ISBN: 978-0132423502
4th Edition
Authors: Steven M Glover, Douglas F Prawitt
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