Remember Homejoy, the on-demand cleaning company? Offered in major cities such as San Francisco, New York, Chicago, and more. Homejoy allowed users to book professional home cleaners by booking appointments online.

Homejoy also  offered professional services such as plumbing repairs, furniture assembly, and general handyman work.

In a recent article by Daniel D’Addario (@DPD_) on Time.com, D’Addario discusses a class-action lawsuit against the home services company. This led to the announcement of Homejoy’s official close, which will occur on July 31st, 2015.

The reasoning behind the lawsuit is attributed to Homejoy classifying their cleaners as independent contractors as opposed to full-time employees, thus creating the deciding factor in shutting them down indefinitely.

In some cases, full-time employees receive paid leave, vacation time off, sick leave, retirement plans, and are guaranteed to make at least minimum wage. While an independent contractor is not eligible for workers' compensation, overtime, minimum wage, meal periods, or social security; essentially -- fewer benefits.

We’ve seen major on-demand companies such as Airbnb and Uber run into legal troubles  through the use of independent contractors. Many cities, states, and federal taxing authorities are strongly opposed to companies which hire solely independent contractors. Cities such as New York, Barcelona, and Las Vegas are seeing heated disputes over Uber and Airbnb with issues surrounding tax and rentals. One problem Uber faces in cities is mayors and state officials wanting the drivers to follow requirements that are similar to those for cab companies and the fact that Uber doesn’t operate by the transportation rules in various states. 

In today’s booming sharing economy, many on-demand services such as TaskRabbit, UrbanSitter, and Lyft have seen success over time. While some have receive backlash from lawsuits such as the one experienced by Homejoy (and Postmates and TryCaviar).

What does this mean for the sharing economy and the numerous on-demand services that exist within it? Only time will tell, but one thing is for sure; where there is demand, there is supply. Although Uber and Airbnb have run into legal issues, consumers crave the services they provide. Not only are on-demand services convenient and affordable, but they create jobs for people who aren’t looking for full-time work. For those who are retired, or aren’t fit for the regular 9-5 job, the sharing economy on-demand services may be the perfect fit.

My question to you: shouldn’t we be able to choose?