ORS 657.506¹
Reports and taxes for musicians under contract
  • applicability

(1) The person or organization engaging the services of a musician or musicians shall be considered the employer for the purposes of this chapter, except when the services are performed pursuant to a written contract that expressly designates one or more musicians who sign the contract as responsible for the filing of any reports and the payment of any taxes based upon wages or earnings of a musician or musicians performing services under the contract. A written contract that so designates a musician or musicians as responsible shall be conclusive evidence that the person or organization engaging the services is not the employer of a musician or musicians performing services under the contract. The musician or musicians who sign a written contract designating them as responsible shall, for purposes of this chapter, be considered the employer of any musician performing services under the contract who did not sign the contract.

(2) The provisions of subsection (1) of this section do not apply to services performed for:

(a) A nonprofit employing unit;

(b) This state;

(c) A political subdivision of this state; or

(d) An Indian tribe. [1965 c.392 §2; 1977 c.538 §9; 1983 c.545 §1; 2001 c.572 §13; 2005 c.218 §17]

Notes of Decisions

Under version of this sec­tion in effect in 1980 and 1981, contracts which provide only that leader of group of musicians agrees to assume all payroll taxes and liabilities do not meet require­ments for shifting employ­ment tax liability from hirer of group to leader. The Flame, Inc. v. Employ­ment Division, 69 Or App 701, 687 P2d 1118 (1984)

Because contract between nonprofit employing unit and musician is not conclusive evidence that musician is independent contractor, nonprofit is employer unless musician qualifies as independent contractor under ORS 657.040 (Employment). Oregon Festival of American Music v. Employ­ment Depart­ment, 204 Or App 478, 130 P3d 795 (2006)

Atty. Gen. Opinions

Validity of this sec­tion, determining employer of musicians' group, (1972) Vol 35, p 1306

Chapter 657

Notes of Decisions

An individual who performs services for remunera­tion is an employee, and per­son or organiza­tion for whom services are performed is an employer under terms of Employ­ment Division Law even if remunera­tion is paid indirectly rather than directly unless employer shows that some statutory exclusion applies. Lectro Lift, Inc. v. Morgan, 14 Or App 316, 513 P2d 526 (1973)

Mere act of incorporating as professional corpora­tion does not, by itself, create employer-employee rela­tionship for purposes of this chapter. Peterson v. Employ­ment Division, 82 Or App 371, 728 P2d 95 (1986)

Atty. Gen. Opinions

Determining employer of musicians' group, (1972) Vol 35, p 1306

1 Legislative Counsel Committee, CHAPTER 657—Unemployment Insurance, https://­www.­oregonlegislature.­gov/­bills_laws/­Archive/­2007ors657.­pdf (2007) (last ac­cessed Feb. 12, 2009).
2 Legislative Counsel Committee, Annotations to the Oregon Revised Stat­utes, Cumulative Supplement - 2007, Chapter 657, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­657ano.­htm (2007) (last ac­cessed Feb. 12, 2009).
3 OregonLaws.org assembles these lists by analyzing references between Sections. Each listed item refers back to the current Section in its own text. The result reveals relationships in the code that may not have otherwise been apparent. Currency Information