Freelance Worker Rights Under SB 988: A Los Angeles Employee’s Guide
California has taken another step toward protecting labor rights with the introduction of the Freelance Worker Protection Act. Senate Bill 988, signed into law in 2024, is designed to ensure that freelance workers receive fair treatment, timely payment, and legal protection against retaliation. Starting January 1, 2025, hiring parties across California must comply with new requirements when working with freelancers.
At Fraigun Law Group, we represent individuals throughout Los Angeles County, including Sherman Oaks, Van Nuys, Encino, and Studio City, who face workplace issues such as wrongful termination, wage theft, retaliation, and now, unfair treatment under freelance contracts. This newish law helps close the gap in legal protections for workers who are often misclassified and underpaid.
Let’s break down what the Freelance Worker Protection Act means, what freelance workers are entitled to, and how you can protect your rights if a hiring party violates the law.
What Is the Freelance Worker Protection Act?
The Freelance Worker Protection Act, enacted through Senate Bill 988, is California’s response to growing concerns about the treatment of independent contractors and gig economy workers. While freelancers are technically not employees, they still deserve protections against wage theft, coercion, and contract abuse.
This law applies to contracts entered into or renewed on or after January 1, 2025.
The legislation aims to provide clear rules for how freelance work should be documented and compensated in California. Its primary purpose is to ensure transparency in contracts and fair compensation practices.
The full bill can be reviewed on the California Legislative Information website under Senate Bill 988.
Who Is Considered a Freelance Worker Under SB 988?
Under the law, a freelance worker is defined as:
- A person or business made up of no more than one individual
- That individual may or may not operate under a business name or entity
- The person is hired as a bona fide independent contractor
- The person is paid at least two hundred fifty dollars for services
The law only applies to freelance services covered under California Labor Code Section 2778(b)(2). This includes a wide range of professional services like graphic design, writing, photography, marketing, consulting, and more.
The goal is to protect workers who may not be part of a formal company or union but still perform skilled labor in exchange for payment. These workers are not employees under traditional definitions, but they often face the same payment delays, unfair treatment, and lack of legal support as misclassified workers.
Written Contract Requirements Under SB 988
One of the most important elements of the Freelance Worker Protection Act is the requirement for a written contract between the hiring party and the freelance worker. This contract must be in place before work begins and must include the following details:
- Full names and mailing addresses of both the freelance worker and the hiring party
- An itemized list of all services to be provided
- The agreed value of each service
- The method of compensation, whether hourly, per project, or per milestone
- The payment due date or a clearly defined process for determining when payment is due
- Dates or timeframes for when the freelance worker must submit completed work for payment processing
By mandating written agreements, the law helps prevent misunderstandings and sets clear expectations on both sides.
If a hiring party fails to provide a written contract as outlined by law, they may face penalties and be required to pay damages to the freelance worker. You can learn more about contract law requirements for independent contractors by reviewing California Labor Code Section 2750.
Prohibited Conduct by Hiring Parties
California law already prohibits retaliation against employees for asserting their labor rights, and SB 988 extends similar protections to freelancers. Hiring parties are now legally prohibited from the following actions:
- Pressuring the freelance worker to accept a lower payment than was agreed
- Requiring the worker to complete additional work beyond the terms of the contract
- Delaying or withholding payment as a means of coercion
- Retaliating against the worker for filing a complaint under the Act
- Retaliating for participating in investigations or enforcement actions
- Retaliating for reporting violations of the law or asserting legal rights
This is a significant development in labor law, particularly for workers in Los Angeles County where industries such as entertainment, tech, and marketing heavily rely on freelance professionals.
Retaliation is already prohibited under California Labor Code Section 98.6. Now freelancers have added protection when asserting their contractual rights under SB 988.
Legal Remedies for Freelancers in Los Angeles County
If you are a freelance worker in Los Angeles or anywhere in California and a hiring party violates SB 988, you may be entitled to several forms of relief. Remedies can include:
- Full payment of all compensation owed
- Statutory damages
- Liquidated damages
- Reimbursement of legal costs
- Court orders enforcing the terms of your contract
- Protection from further retaliation
If your contract was violated or you experienced retaliation after seeking payment, you can file a complaint with the California Labor Commissioner’s Office. The Division of Labor Standards Enforcement provides information on how to file a claim. Visit the DLSE website to learn more.
How This New Law Connects to Wrongful Termination and Retaliation
Although freelance workers are not employees in the traditional sense, the logic behind this law mirrors many of the protections that apply to employees who face wrongful termination or retaliation.
For example:
- Just as employees cannot be fired for engaging in labor union activity, freelancers and independent contractors cannot be punished for demanding fair pay
- Employees who file complaints about workplace conditions are protected under California Labor Code Section 1102.5. Similarly, freelancers are now protected when reporting violations of SB 988
- The burden of proof in retaliation cases often hinges on documentation and timing. This is true for both employees and freelance workers
At Fraigun Law Group, we regularly represent workers who have been wrongfully terminated or retaliated against for standing up for their rights. If you believe a hiring party has failed to comply with SB 988 or has attempted to punish you for asserting your legal rights, we can help you understand your options.
Why This Law Matters for Los Angeles Workers
Los Angeles County is home to a large number of freelance workers and independent contractors. From creative professionals in Studio City and Sherman Oaks to tech consultants in Encino and Van Nuys, freelancers form a vital part of the local economy. Yet until now, many of these workers have had little recourse when a client fails to pay or violates contract terms.
The Freelance Worker Protection Act brings much-needed legal backing to a growing segment of California’s workforce. By creating clear contract rules and introducing anti-retaliation protections, SB 988 gives freelance professionals the ability to assert their rights without fear of losing income or future work.
How Fraigun Law Group Supports Workers Across Los Angeles County
At Fraigun Law Group, we are focused on representing workers only, not employers. Whether you are an employee dealing with wrongful termination or a freelancer navigating a dispute over unpaid wages, we are here to help you understand your rights under California law.
We assist clients in areas including:
- Los Angeles
- Sherman Oaks
- Studio City
- Van Nuys
- Encino
- Orange County
- Ventura County
- San Fernando Valley
- And across all of Southern California
If you have been mistreated, underpaid, or retaliated against for asserting your rights as a freelance worker or employee, you do not have to face it alone.
Contact Fraigun Law Group
Are you a freelance worker in Los Angeles County who has experienced payment delays or retaliation after asserting your legal rights? Has a hiring party violated the terms of your contract?
Reach out to Fraigun Law Group today for a consultation. Let us help you hold violators accountable and secure the compensation you have earned.
