OPINION
Plaintiffs-Appellants are 15 migrant farm workers who reside in Arizona who sued Defendant Appellee J.B. Martin and Sons Farms, Inc. (“Martin Farms”), for claims arising under the Agricultural Worker Protection Act (“AWPA”), 29 U.S.C. §§ 1801-1872 (1999), and Arizona state law. The district court dismissed the action for lack of personal jurisdiction over Martin Farms. Appellants timely appealed, contending that Martin Farms had sufficient contacts with Arizona to assert personal jurisdiction in Arizona. We have jurisdiction under 28 U.S.C. § 1291, and we reverse.
I. BACKGROUND
Martin Farms is а grower located in upstate New York. Ramey Farms, Inc. (“Ramey”) is a Texas-based labor contractor. In early 1997, representatives from Ramey traveled to New York to meet with Dave Martin. During that meeting, Martin requested Ramey’s help in recruiting migrant labor for the Fall 1997 cabbage and squash harvests.
Before the Fall 1997 harvest began, Martin Farms requested recruiting help from Ramey for summer weeding. For this job, Ramey hired a crew of workers from El Paso, Texas. Martin Farms was dissatisfied with the quаlity of this crew’s work, however, and instructed Ramey to hire a different crew for the upcoming fall harvest. Ramey assured Martin Farms that there were plenty of available farm-workers in San Luis, Arizona, and that it would recruit there for the fall harvest.
In July 1997, Ramey and Martin Farms entered into a contract for the Fall 1997 harvesting season. The pertinent contractual provisions are as follows: employees recruited by Ramey were “the sole and exclusive employees Rаmey Farms, Inc. [sic]”; Ramey was responsible “for all aspects of payroll”; Ramey was responsible for transporting the workers from Arizona and in New York; “[a]ny employee that works for ... Martin Farms ... thru Ra-mey ... cannot be hired directly or indirectly” by Martin; housing, equipment and tools were provided by Martin; and the effective dates of the agreement were July 3, 1997, through December 81, 1997. To cover transportation expenses, Martin Farms paid Ramey $25.00 for each worker transported by bus from Arizona to New York. And, while Ramey contractually controlled “all aspects of payroll,” Martin Farms set Appellants’ wage rate at $6.00 per hour because it did not want them to be paid more than the farm workers at other farms in the area. Ramey charged
In September 1997, Terry Ramey arrived in San Luis, Arizona, and hired 42 farm workers, including Appellants, to work as harvesters in Martin Farms’ cabbage and squash fields. The workers were not given written contracts. Rather, they were orally promised $6.00 per hour, 10 hours or more of work per day, free housing, and transрortation to and from New York. Before leaving Arizona, Terry Ra-mey contacted Martin Farms. Once Martin Farms informed Ramey that everything was prepared for harvest, Ramey transported the workers to Martin Farms’ labor camp in New York.
Appellants allege that while working in New York, Martin Farms provided substandard housing, in violation of the AWPA, and breached its contracts by not paying the workers all wages that were due and by failing to provide some workers with transportation back to Arizona after the work was completed.
The district court dismissed the action for lack of personal jurisdiction without holding an evidentiary hearing. Appellants appeal.
II. STANDARD OF REVIEW
The trial court’s decision to dismiss for lack of personal jurisdiction is reviewed de novo. Lee v. City of Los Angeles,
III. DISCUSSION
We .must decide whether migrant farm workers, recruited by a labor contractor in one state to work on a farm in another state, can assert personal jurisdiction in the state of their residence over a nonresident farm employer. Although the question, in this factual setting, is one of first impression in this Circuit, we apply to it settled principles of law.
This court has established a three-factor test for determining when a state may constitutionally exercise specific jurisdiction over a defendant: (1) the nonresident dеfendant must do some act or consummate some transaction with the forum state or perform some act by which it purposefully avails itself of the privilege of conducting activities in the forum state, thereby invoking the benefits and protections of its laws; (2) the claim must arise out of or result from the defendant’s forum-related activity; and/or
A. Purposeful Availment
Neither party contests that Ra-mey directed its recruiting activities toward Arizona. If Ramey was acting as Martin Farms’ agent in this regard, Ra-mey’s activities suffice to provide specific jurisdiction over Martin Farms. See Theo. H. Davies & Co. v. Republic of the Marshall Islands,
The district court ruled that Ramey acted as an independent contractor and thus could not be considered Martin Farms’ agent. While the district court’s analysis on this point is quite brief, it did conclude that “Martin Farms had no control over the actions of Ramey.” This conclusion, however, is at odds with the record. While Ramey conducted the recruiting in Arizona without direct interference by Martin Farms, Martin Farms had previously instructed Ramey not to recruit certain individuals from El Paso, Texas, for the Fall 1997 hаrvest. Ramey complied with these instructions and, instead, turned to San Luis, Arizona, for migrant labor. While this fact establishes that Martin Farms exercised some control over Ramey, the question becomes, whether this control was sufficiently broad to characterize Ramey as Martin’s agent. We conclude that it was.
Under Arizona law, the categories “independent contractor” and “agent” are not mutually exclusive. An independent contractor who is not an employee of a principal can nevertheless still be that principal’s agent. See Wiggs v. City of Phoenix,
(1) Martin Farms’ Control Over Ramey
The “fundamental criterion” for determining whether an actor is a purely independent contractor “is the extent of control the principal exercises or may exercise over the agent.” Id. at 141. “A strong indication of control is ... [thе] power to give specific instructions with the expectation that they will be followed.” Id. at 142-43.
Martin Farms exercised very little day-to-day control over Ramey’s recruitment and management of the Arizona migrant workers. Ramey arranged most of the recruiting logistics and managed the workers once they arrived in New York. Martin Farms, however, possessed the power to give Ramey instructions, and to expect that its instructions would be followed. In fact, Martin Farms did exactly that when it instructed Ramey not to use the El Paso crew for the Fall 1997 harvest, and when it instructed Ramey that the migrant harvesters were not to be paid more than $6.00 per hour. Additionally, Martin Farms dictated the timing of Ramey’s recruiting in Arizona and transportation to New York. In fact, every instruction that Martin Farms gave to Ramey was followed. Martin Farms’ ability to exercise control over Ramey weighs in favor of establishing that Ramey acted as Martin Farms’ agent.
(2) The Distinct Nature of Ramey’s Business
Whether someone acts to promote his own independent enterprise or to further the business of another will aid the fact finder in ascertaining the existence of a purely independent contractor. Id. at 143. “A concomitant inquiry to this factor also considers whether the worker’s job performance results in a profit or loss for the worker. Thus, where the worker purchases the product and then sells it at a profit or loss, the worker is more likely to be found an independent contractor.” Id. This factor weighs in favor of characterizing Ramey as an independent contractor. Ramey is in the business of providing migrant labor to farms; this business clearly preexisted, and is independent of, Ramey’s relationship with Martin Farms.
(3) Ramey’s Specialization/Skills
A fact finder is more likely to classify someone as an independent contractor when the work involved requires highly specialized or educated skills. Id. at 143. This factor weighs in favor of characterizing Ramey as Martin Farms’ agent. The process of hiring migrant labor, transporting them from Arizona to
(4)Materials and Place of Work
Where someone is supplied tools, and works over a specific area or a fixed route, an independent contractor relationship is not indicated. Id. at 144. This factor also weighs in favor of classifying Ramey as Martin Farms’ agent. Martin provided all the tools and equipment necessary for harvesting the squash and cabbage. Furthermore, it dictated the migrant workеrs’ work area.
(5)Duration of Ramey’s Employment
Whether someone seeks another’s services as a one-time, discrete job or as part of a continuous working relationship may indicate that an independent contractor relationship exists, although the duration of employment does not control whether an agency relationship exists. “The shorter in time the relationship, the less likely the worker will subject himself to control over job details.” Id. While the contract between Martin Farms аnd Ra-mey is a one-time agreement, spanning the course of six months, the record indicates that Ramey had provided services to Martin Farms once before (for Summer 1997 weeding), and that Martin Farms issued specific recruitment instructions to Ramey only when it came time for Ramey to recruit for Martin Farms a second time (for the Fall 1997 harvest). In light of the ongoing relationship between Ramey and Martin, this factor, at the very least, weighs in favor of classifying Ramey as an independеnt contractor acting as Martin’s agent.
(6)Method of Payment
When payment occurs on a per hour basis, an independent contractor relationship is not indicated. Id. We conclude that this factor is neutral and does not weigh in favor of either finding. Although Ramey’s “commission” was calculated on an hourly basis, it was based on the hours worked by Appellants, and not by Ramey.
(7)Relationship of Work to the Regular Business of Martin
A court is not likely to classify someone as an independent contractor when the work is part of another’s rеgular business. Id. Because Ramey did not limit its “attempt to contract to a particularly ‘well-defined incidental activity ... ancillary to the central concerns of [the] business ... but rather [had contractually involved itself in] the ongoing basic employment activity’ itself,” id. at 145 (quoting Anton v. Indus. Comm’n,
“ ‘It is not determinative that the parties believe or disbelieve that the relation of [independent contractor or] master and servant exists, except insofar as such belief indicates an assumption of control by the one and submission of control by the other.’” Id. (quoting Restatement (Seoond) Of Agency § 220 cmt. m (1957)). There is little direct evidence in the record of the parties’ belief or intent; thus this factor is unhelpful in illuminating the status of their relationship.
To summarize, Martin Fаrms issued instructions to Ramey and expected those instructions to be followed; Martin Farms controlled the work, to be done and provided the tools, equipment, and housing; Ra-mey lacked highly specialized skills; the relationship between Ramey and Martin Farms was ongoing; and Ramey’s recruiting and management tasks were not ancillary to the central concerns of Martin Farms’ business. In light of these factors, the Santiago analysis instructs that Ra-mey, as an independent contractor, acted as Martin Farms’ agent when recruiting and managing Appellant farm-workers.
B. Reasonableness
Due process also demands that the district court’s assertion of jurisdiction over Martin Farms be reasonable. Brainerd,
Martin Farms is a relatively small, family-owned operation that will bear added cost if this case is litigated in Arizona. The burden on the defendant, however, should be considered in light оf the burden on the plaintiff. World-Wide Volkswagen,
Furthermore, while the court sitting in a district where an injury occurred, and where witnesses are located, ordinarily is the most efficient forum, Caruth v. Int’l Psychoanalytical Ass’n,
Finally, although New York does have an interest in what New York employers do, the bulk of the claims are based on the AWPA, and Arizona unquestionably has a strong interest in protecting its residents from injury and in furnishing a forum where their injuries may be remedied. See Gates Learjet Corp. v. Jensen,
In sum, the purposeful interjection of Martin Farms’ agent into Arizona, the relative disparity in burdens between Appellants and Martin Farms, and the strong Arizona interest in protecting its citizens and residents from manipulation by out-of-state employers lead this court to conclude that it is reasonable for the district court to exеrcise jurisdiction over Martin Farms.
IV. CONCLUSION
For the foregoing reasons, we conclude that the district court erred in dismissing this action for lack of personal jurisdiction over Martin Farms. The judgment of the district court is therefore,
REVERSED and REMANDED for further proceedings.
Notes
. Other courts, however, have confronted this issue. Typically, personal jurisdiction over the foreign farm owner has been exercised. See Villalobos v. N. Car. Growers Ass’n,
. Although Ninth Circuit law formerly required a plaintiff to demonstrate each of these three factors to establish specific jurisdiction, see Data Disc, Inc. v. Sys. Tech. Assoc.,
. Our inquiry is whether Ramey acted as Martin Farms' agent, not whether a master-servant relationship existed between the two. Specifically, the question here is not whether Ramey acted as either an independent contractor or Martin Farms' employee, but rather whether Ramey acted as both an independent contractor and an agent of Martin Farms. Thus, Santiago does not directly control the analysis here. Its framework, however, is nonetheless instructive. Whilе Wiggs established that an independent contractor can also be an agent, it did not illuminate the circumstances under which that can be so. See
. The provision in the Ramey/Martin Farms contract that precluded Martin Farms from independently hiring the labor provided by Ramey strengthens this conclusion. This provision would not make any sense unless Ramey envisioned its business as being independent of Martin Farms and in need of protection.
. In Santiago, the court concluded that the home delivery process is central to a newspaper's survival, thus classifying the newspaper's delivery staff as employees, not independent contractors. See
. Only 10% of farmworkers nationwide are provided рaid vacation benefits, and more-than 60% of farmworkers nationwide have incomes below the poverty level. Nat’l Agricultural Workers Survey 1997-1998, A Demographic And Employment Profile Of United States Farmworkers' Research Rep. No. 8, U.S. Dep’t of Labor, Office of the Asst. Sec. for Pol., Office of Program Economics, March 2000, 36, 39. While these statistics only speak to nationwide trends, they bolster Appellants’ assertions that socioeconomic considerations prevent them from being able to litigate this case in New York.
