State ABC tests
Each state's A, B, and C prongs are checked independently — control, business independence, and customary engagement — with state-specific case law interpretations applied.
The most rigorous worker-classification audit a mid-market company can run.
StatusClear audits every job role against every applicable state ABC test, the federal economic-realities test, and the IRS twenty-factor framework — then produces a litigation-ready evidence file and a signed attorney opinion letter, before a state labor agency, the DOL, the IRS, or the plaintiffs' bar gets there first.
Every applicable state ABC testFederal economic-realities test (DOL)IRS twenty-factor frameworkLitigation-ready evidence fileSigned attorney opinion letter
Why audits fail
A single misclassified worker can trigger six-figure liability.
Worker classification is not one test — it is dozens. A company with contractors in California, New Jersey, Massachusetts, and Illinois must satisfy four different ABC tests simultaneously, while also complying with the federal economic-realities test (now being rewritten by the DOL in 2026) and the IRS twenty-factor framework. Miss one factor in one state, and the entire classification decision can be challenged.
The cost of getting this wrong is not hypothetical. FedEx Ground settled a nationwide driver-misclassification case for $228 million. Grubhub settled a California driver class action for $24.75 million. California's Labor Code imposes a standalone civil penalty of $5,000 to $15,000 per violation for willful misclassification, on top of back-wages, back-taxes, unemployment insurance, and workers' compensation premium liability.
Most mid-market companies run this by hand, from memory, once or twice a year. The legal tests have not been read end-to-end since the last time it mattered. That is exactly where exposure gaps hide.
StatusClear exists to close that gap with a single, exhaustive standard applied identically to every role.
$228M
FedEx Ground settlement — the ceiling this niche exists to help buyers avoid
The benchmark
Measured against every applicable test — state by state, factor by factor.
We do not summarize the law and hope. Every audit is scored against a versioned rule pack tied to the exact text of each state's ABC test, the DOL's economic-realities test, and the IRS twenty-factor framework. These are the provisions each audit is held to.
Federal economic-realities test
The DOL's multi-factor test, including the 2024 rule and the 2026 proposed rule, is applied to determine whether a worker is economically dependent on the employer.
IRS twenty-factor framework
Behavioral control, financial control, and relationship factors are scored against IRS guidance, with a composite risk rating.
Willful misclassification penalty
California's standalone civil penalty of $5,000–$15,000 per violation is flagged if indicators of willfulness are present.
Multi-state exposure scoring
Each role is scored against every state where the company has contractors, producing a consolidated exposure dollar figure.
Evidence file & opinion letter
All audit findings, supporting documents, and a signed attorney opinion letter are compiled into a single deliverable ready for agency review or litigation defense.
How an audit is built
Intake to attorney-signed opinion, with deterministic gates the AI cannot overrule.
AI extracts and drafts. Deterministic rules — running as code, outside the model — decide what is complete. A licensed employment attorney signs every opinion letter. That order is never reversed.
01
Free Exposure Scan
Upload a single job role description and contractor count. We return a free exposure read: which tests apply, which factors are at risk, and an estimated liability range.
02
Role & jurisdiction intake
As your authorized clerical agent, we collect role descriptions, contractor agreements, and state-by-state contractor locations. We build the jurisdiction matrix.
03
Grounded drafting
Each role is scored against every applicable test using the versioned rule pack — no legal opinions, no invented facts. Scores are deterministic.
04
Deterministic completeness gates
All factors are checked; missing data is flagged; exposure is calculated to the dollar. Any failure blocks release.
05
Attorney review & signature
A licensed employment attorney from our contracted panel reviews the audit, signs the opinion letter, and releases the file.
06
Delivery
You receive the audit: role-by-role scores, exposure dollar figures, litigation-ready evidence file, and signed attorney opinion letter — ready for your records or to show an agency.
The bar we hold
Rigor you can measure.
100%
Attorney-signed
No opinion letter ships without a licensed employment attorney's signature.
10 days
Standard SLA
From complete intake to released audit.
<1%
Critical-defect target
Tracked against a gold-standard audit library.
50+
State tests covered
Every state with an ABC test or equivalent, plus federal and IRS frameworks.
Why StatusClear
Built to be the most thorough option a mid-market company has.
Documentation-complete, by design
The deliverable is completeness itself — every test and factor accounted for or explicitly exception-coded. Nothing is left implicit.
Deterministic, not vibes
The gates that decide completeness are code, not a model's opinion. A scoring error cannot slip past a statutory requirement.
In its lane, on purpose
We prepare documentation and run audits as your clerical agent. We never give legal advice, contact your contractors, or represent you in any legal matter.
Engagement
Flat fee, per role audited and per month monitored. No contingency, ever.
Simple, predictable, and aligned with an audit standard — not a cut of any recovery.
- A free Exposure Scan before you commit — see exactly what is at risk.
- One flat fee per role audited; disclosed pass-through costs for any third-party data.
- Optional monthly monitoring add-on for ongoing compliance tracking.
- Optional attorney review for high-exposure roles or multi-state audits.
FAQ
Questions, answered precisely.
Is StatusClear a law firm?
No. StatusClear, a service of Your Deputy, Obuke LLC, provides documentation-completeness services. It is not a law firm, does not provide legal advice, and does not represent you in any legal matter. Attorney review is available and recommended for high-exposure audits.
Do you contact my contractors or collect any debt?
Never. StatusClear is not a debt collector and does not contact your contractors or workers. You remain the employer responsible for all classification decisions and communications.
What makes an audit 'complete'?
Completeness is defined by the applicable tests: every state ABC prong, every DOL factor, every IRS factor scored, exposure calculated, and a signed attorney opinion letter. Deterministic gates enforce each one before release.
How fast is it?
The standard SLA is ten business days from complete intake to a released audit. The free Exposure Scan is returned much sooner and tells you exactly what is at risk.
How are you priced?
A flat fee per role audited, plus disclosed pass-through costs. No contingency and no percentage of any recovered amount or sale proceeds.
See what's at risk before it costs you a settlement.
Start with a free Exposure Scan. Send a single job role description and contractor count, and we'll return an exposure read against every applicable test.
Documentation-completeness service · not legal advice · you make all classification decisions.