Can an employer refuse to pay an "independant contractor" wages for start up business?

I have a question regarding wages owed. My father worked for someone who was trying to start up a business. There was no contract established, but according to the employer he was an "independant contractor." He set up the base operations for the business and did numerous hours of adminstrative work, averaging 40 hours a week, in addition to attempting to promote the business. After 2 years in 2003, he was paid $5,000, but now the employer is saying that that money is owed to them. NO other wages were paid during that time. The employer is arguing that lots of people worked on the business with the hopes it would succeed, but it didn't, and no wages were owed to those who were working in the business, thus, the money paid was a loan that needs to be paid back. How can this be disputed?

0 answers  |  asked Apr 14, 2010 3:53 PM [EST]  |  applies to Colorado

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