Wenatchee World Business World
Author: Lindsey Weidenbach

On March 3, the Washington Supreme Court issued a decision that significantly impacts agricultural employers and farm and orchard managers who provide certain farm labor contracting services. Essentially, the court’s decision eliminates the ability of agricultural employers to provide custom farming services without obtaining a license as a farm labor contractor.

In the case of Saucedo v. John Hancock Life & Health Insurance, the court held that a management company subleasing an orchard and managing its operations, for a fee, was a “farm labor contractor” under the Washington Farm Labor Contractor Act (“FLCA”), and its failure to register as such was a violation of Washington law, subjecting the company to substantial fees and penalties.

The court also found the property owners and other involved parties jointly liable for using the unlicensed management company. A property owner must now take affirmative steps to ensure that all operators are licensed as farm labor contractors, by either inspecting the license or relying on written confirmation of licensing from the Washington Department of Labor & Industries.

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