SINCE 1828
economic realities test
noun
economic re·al·i·ties test
Legal Definition of economic realities test
: a judicial method of determining the nature of a business transaction or situation
especially
: a test used by courts for the purpose of determining if a person is an employee by considering such things as the extent of the alleged employer's ability to control, hire, fire, and discipline the person, the nature of the person's duties, and the payment of wages
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