Broadway Cab LLC v. Employment Department, 358 Or. 431

ALJ held Broadway liable for unemployment taxes on wages of taxi drivers performing driving services for Broadway for remuneration.
Court of Appeals affirmed; Supreme Court granted review and affirmed the Court of Appeals.
Statutory framework: ORS ch. 657 defines employer, wages, and employment; independent contractor exclusion under ORS 670.600 applies if four criteria are met.
Broadway contracted with drivers via Driver Agreements; drivers paid substantial weekly fees for services, insurance, dispatch, and processing; drivers’ remuneration depended on Broadway’s services and contracts.
Court concluded drivers provided driving services for Broadway and were not independent contractors; Broadway must pay unemployment taxes for the relevant period (Q1 2008–Q4 2009).

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether drivers performed services for Broadway for remuneration triggering unemployment taxes	Broadway contends drivers' services were for passengers, not Broadway	Employment Dept. argues services rendered by drivers were for Broadway as their employer	Yes; drivers performed driving services for Broadway for remuneration, making Broadway liable.
Whether drivers are independent contractors under ORS 670.600(2)-(3)	Broadway contends drivers were independent contractors	Dept. argues drivers fail multiple criteria for independent contractor status	No; drivers do not meet key criteria (a) and (e) (and others) to be independent contractors.

Journal Pub. Co. v. State U.C. Comm., 175 Or 627 (Or. 1945) (employee may be remunerated even if employer is not direct payer of wages; guidance for wage-remuneration under employment statute)
Golden Shear Barber Shop v. Morgan, 258 Or 105 (Or. 1971) (space-sharing arrangement not employment relationship; distinction from employer-employee)
Columbia Management Co. v. Morgan, 270 Or 109 (Or. 1974) (employment may exist even if wages paid by another; emphasis on relationship over payer)