If a hair stylist rents a booth, whatis their right to to have their own credit card machine for its own sales?

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If a hair stylist rents a booth, whatis their right to to have their own credit card machine for its own sales?

They provide 1 machine and they total up the individuals’ credit card charges and then disperse them in a check every 2 weeks. As booth renters don’t we have aright to supply our own credit card service if we choose to accept credit cards from our clients?

Asked on January 11, 2011 under Business Law, Illinois

Answers:

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

It is my understanding that the IRS classifies a stylist that rents a booth in a salon as an Independent Contractor.  To me that means that you bring with you all the tools of the trade but you have rental rights to use certain equipement  - such as hair washing stations and water - that are included in the price of the rental agreement.  You need to see if the rental agreement addressed the issue of the machine and if you agreed to what was going on. If you did not agree then you may be able to have your own terminal for sales.   It really looks like they are treating you as an employee rather than an independent renter.  Good luck.


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