Landstar has officially gave notice to California owner operators…move out or lease termination

Discussion in 'Truckers News' started by drvrtech77, Jan 7, 2026.

  1. drvrtech77

    drvrtech77 Road Train Member

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    The ridiculous CA AB 5 bill independent contractor reclassification bill That has been in litigation has officially taken effect on January 1…
     
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  3. Concorde

    Concorde Road Train Member

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    Sniveling truck drivers is the reason behind the new law.

    Truck drivers that got themselves into lease deals that weren’t putting any money into their pockets at the end of the week. It was in the news a handful or more years ago so the State of California resolved the issue.

    Most of the drivers interviewed were crying about feeling imprisoned.

    Funny how everyone is for it unless it’s California taking the lead…must have something to do with politics, lol.

    For the true owner operators, Landstar’s move will be celebrated..less capacity means more revenue for us.

    Some basics on the law..

    California's AB5 law
    aims to reclassify many independent contractor truckers as employees by applying the "ABC test," making it harder for companies to use owner-operators with their own rigs, forcing them into employee roles or requiring them to obtain separate operating authority, sparking major legal battles, business changes, and supply chain concerns, though the law's strict enforcement on interstate carriers remains contested. The law's core conflict lies with federal regulations for leased owner-operators, creating legal challenges regarding control and burden on interstate commerce.
    What AB5 Does:
    • ABC Test: Imposes the "ABC test," making it presumed that a worker is an employee unless the hiring business can prove the worker meets all three criteria: (A) free from control/direction, (B) performs work outside the usual course of business, and (C) independently established in the trade.
    • Impact on Truckers: For owner-operators leased to carriers, the 'B' part of the test often fails, meaning they must be employees, not contractors.
    Key Conflicts & Legal Battles:
    • Federal vs. State Law: AB5 conflicts with federal laws (Truth in Leasing) requiring carriers to control leased vehicles, creating irreconcilable differences for owner-operators.
    • Dormant Commerce Clause:Trucking groups argue AB5 unduly burdens interstate commerce, a claim reviewed by courts.
    • Ongoing Litigation: The California Trucking Association (CTA) and Owner-Operator Independent Drivers Association (OOIDA) have challenged AB5, with courts denying injunctions, allowing the law's potential enforcement in the state.
     
  4. Concorde

    Concorde Road Train Member

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    Who’s against the ABC test?
     
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  5. drvrtech77

    drvrtech77 Road Train Member

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    That state is the problem…let it burn
     
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  6. Concorde

    Concorde Road Train Member

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    People’s politics is the problem :)

    Here’s what happens when capacity is reduced.. I and one of my TTR buds have been killing it lately..

    Perhaps now I’ll send CA another $30 and get a smog test submitted :)

    IMG_7758.png
     
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  7. Concorde

    Concorde Road Train Member

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    7 days $14,000 dry van, lol.
     
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  8. drvrtech77

    drvrtech77 Road Train Member

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    IMG_6932.jpeg
    going to get worse in California by March…
     
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  9. Chinatown

    Chinatown Road Train Member

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    Prediction is $10.00 gallon in the future and that's because the refineries are shutting down and leaving California.
     
  10. Concorde

    Concorde Road Train Member

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    Only Bozo’s buy fuel in CA :)

    I’m a business man not a politician..my business decisions are void of politics.

    Already the OP has shown that he doesn’t disagree with AB5..making the thread not about policy but about politics..

    I’m out, TTR has become nothing but a cesspit of RW politics.

    Enjoy your miserable existence, lol
     
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  11. blairandgretchen

    blairandgretchen Road Train Member

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    Been keeping an eye on the refinery situation out there - it's a problem when oil companies are shutting down refineries in a state due to the cost of doing business with said state.
     
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