If our condo association is paying a resident to cut the lawn, does it have any liability by employing an unlicensed non-bonded and uninsured individual?

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If our condo association is paying a resident to cut the lawn, does it have any liability by employing an unlicensed non-bonded and uninsured individual?

An association resident is cutting the commons areas lawn and being paid $500 by the association for the season. If there is an accident (stone thrown at car or injury) is the association responsible since he was hired and paid? What is its exposure?

Asked on May 27, 2015 under Employment Labor Law, Michigan

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 5 years ago | Contributor

If someone the association hires (i.e. an employee) causes injury to another or property damage either intentionally or negligently (that is to say, through unreasonable carelessness), then the association could be liable, or financial responsible, for the damage or injury he causes. If he does not have his own insurance to pay such damages, the association or its insurer would have to pay. (The association should review its insurance policy to make sure it would be covered in this circumstance--it's possible that if you hire an unlicensed, unbonded person, you would be forfeiting insurance coverage.)


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