In re Paragon Process Service, Inc.
Paragon Process Service, Inc. appealed a decision by the Unemployment Insurance Appeal Board, which held the company responsible for unemployment insurance contributions for its process servers from 1978 to 1980. Paragon contended that these process servers were independent contractors, not employees, over whom it exercised no control beyond legal requirements. The court, referencing precedents like *Matter of 12 Cornelia St. (Ross)*, determined that the Board lacked a rational basis for classifying the process servers as employees. Consequently, the court reversed the Board's decision. The matter was then remitted to the Unemployment Insurance Appeal Board for further proceedings consistent with this new finding.