Which of the following factors is most likely to distinguish employees from independent contractors?

A) Whether or not consideration is given by the principal for the agent's performance
B) The principal's right to control the manner and means of the agent's performance
C) Whether the agent has authority to bind the principal by his actions
D) The agent's personal liability for illegal actions taken on behalf of the principal

Independent Contractors

Individuals or entities hired to perform specific tasks or services for a company under a contract, without being considered employees of the company.

Principal's Right

This term involves the legal entitlements that a principal (the person for whom an agent acts) holds, especially in matters of agency law, such as the right to direct the agent and be accountable for the agent's acts.

Agent's Performance

Refers to the manner in which an agent conducts their duties on behalf of a principal, typically in a business or legal context.