In 2004, SGB filed a class action lawsuit against FedEx in King County Superior Court, Washington alleging that FedEx misclassified 320 pick-up and delivery drivers as independent contractors. These drivers worked for the FedEx Home Delivery and FedEx Ground divisions between December 2001 and December 2004.

After a four week trial in March, 2009, the jury returned a verdict for FedEx, finding that the drivers were independent contractors. SGB appealed, and on December 20, 2010, the Court of Appeals issued a 40-page decision reversing the judgment against the drivers and remanding the case back to the trial court for further proceedings. The Appeals Court found that several of the key jury instructions were legally wrong. It is expected that FedEx will seek review of this decision by the Washington Supreme Court.

A copy of the Court of Appeals decision is attached here.