ACN Opportunity, LLC v. Employment Dept.

Under ORS 657.087(2) petitioners must establish to what extent the IBOs received compensation for in-person solicitations “in the home.” Under ORS 670.600(3) petitioners must establish that its IBOs maintained a business location that was separate from petitioner’s or was in a portion of the IBOs residence that was used primarily for business.

Petitioners challenged the Administrative Law Judge’s order that found Petitioners were required to pay unemployment insurance tax on earnings paid to Petitioners' independent business owners (IBOs). ORS 657.087(2) did not apply to the IBOs because the Petitioners did not meet the criteria. The Petitioners failed to establish to what extent the IBOs received compensation for “consumer goods.” Petitioners also failed to establish to what extent the IBOs received compensation for in-person solicitations “in the home.” Under ORS 670.600(3) the IBOs were not independent contractors. ORS 670.600(3) required Petitioners to establish that its IBOs maintained a business location that was separate from Petitioners' or was in a portion of the IBOs residence that was used primarily for business. Petitioners failed to establish either criteria. Affirmed.