NASFA Legal Pages
Welcome to the Legal Pages of the NASFA website. What you will find here are reported court decisions effecting Insurance agents. Many of the cases involve State Farm agents. Some of the cases are with regard to the Agent’s Contract. Some are with regard to tax issues that arose over the contract. The nature of the Agent-Company relationship has been contested over the years, and these decisions may be important to you.
There are also cases reported here that involve the long fought battle regarding Federal Self Employment Taxation of Termination and Extended Termination Benefits for AA3/4 agents. Here you will find the original decisions on the issue, as well as the applicable section of the Federal Tax Code which was the end result of NASFA’s efforts.
There are several decisions in this section that are with regard to other captive agents and their attempts to be declared employees. Those cases we believe are important for your complete understanding of the Agent-Principal relationship at State Farm.
We try to keep this section of the website updated. We appreciate any information you can share with regard to any pending case you think is important to Agency.
Robert O'Connor has over 40 years of experience representing individuals, groups, corporations, trade associations, and other business entities of all sizes. He has served as NASFA's Legal Counsel for over 18 years. He is available to NASFA members to answer questions on insurance regulatory issues and independent contractor concerns.
2014 State Farm Annual Report: Nebraska DOI