California Labor Commissioner Julie A. Su announced Dec. 29 that Santa Rosa taxi company A-C Transportation Services, Inc., has agreed to settle its $522,300 citation for refusing to provide its 30 drivers with workers’ compensation insurance coverage and for misclassifying them as independent contractors.
The owners, Kevin and Jennifer Kroh, who also do business as Healdsburg Cab Company, agreed to pay a fine of $200,000 in installments, with their final payment in June 2021. If they default on the payments the agreement is void and the full $522,300 judgment will be due. As part of the settlement, the company will cease all operations as of Dec. 31, 2016.
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Rosalie Donlon
Rosalie Donlon is the editor in chief of ALM's insurance and tax publications, including NU Property & Casualty magazine and NU PropertyCasualty360.com. You can contact her at [email protected].
