You are still eligible for unemployment, but your benefit may be reduced due to your other job.
You should file for unemployment but fully disclose your other job.
Your weekly benefit entitlement will be subtracted by your weekly earnings from the contract job (which you must report). If you earn more than your benefit entitlement in a given week, you will not receive UI benefits for that week.
This answer is a general interpretation of the law and is not fact specific to your case. Likewise it does not create an attorney-client relationship. You should seek an attorney for a review of your specific facts and documents. http://www.johnphillipslaw.com
Any income you earn while receiving unemployment benefits must be reported to the EDD, and your payment will be deducted due to your received income.
The information presented here is general in nature and is not intended, nor should be construed, as legal advice. This posting does not create any attorney-client relationship with the author (who is only admitted to practice law in the State of California). For specific advice about your particular situation, consult your own attorney.