Atlanta Partner Urges Automotive Dealerships to Determine Nature of Vendor Relationships

In an interview with Automotive News, Tillman Coffey stresses the importance of dealerships correctly defining and classifying their relationships with vendors in order to comply with relevant wage and hour laws. He discusses considerations for determining the nature of the relationship between dealerships and vendors, and he explains that "to avoid the appearance of a joint employer, dealerships must be careful not to become too involved in managing and supervising vendor employees." Tillman also notes that "while dealerships have the right to give instructions, such as determining how many vehicles will be detailed daily, they shouldn't be inspecting vehicles or telling vendor personnel how to do their work." Ultimately, Tillman thinks it should be clear to everyone whether a vendor is an employee or an independent contractor, and he encourages dealerships to conduct periodic audits to verify that all employees are classified and paid correctly and that their wage and hour practices comply with federal and state laws.

To read the article visit Automotive News. Tillman also shares his insight on a podcast hosted by Automotive News.