Statuatory employees – Worker Comp

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Statuatory employees – Worker Comp

It is my understanding that a company does not have to provide workers comp on statuatory employees. They are contracted and sign a waiver stating they are not covered. Is that correct?

Asked on June 3, 2009 under Insurance Law, Tennessee

Answers:

MD, Member, California Bar / FreeAdvice Contributing Attorney

Answered 12 years ago | Contributor

I don't understand.  Let me see if this will help:

Lindsey v. Trinity Communs., Inc., :  Worker got hurt and tried to recover under Tennessee Workers' Compensation Act.  Defendant argued worker couldn't recover because he was an independent contractor and not an employee.  This was a case involving a sub-contractor and intermediate sub-contractor and cable company.  Trial court said worker was employee of sub-contractor and statutory employee of intermediate sub-contractor and cable company and so plaintiff worker was entitled to  temporary total disability benefits, permanent partial disability benefits, and medical benefits.

The state supreme court, however, held that the trial court did not have personal jurisdiction over the Texas insurance carrier BUT plaintiff worker was entitled to recover benefits as an employee of the subcontractor and as a statutory employee of the intermediate subcontractor.  Here sufficient control was exercised over plaintiff by the intermediate subcontractor.  It also retained the right to terminate plaintiff. 

So, in essence, your understanding is incorrect.  If you need to sit down with a lawyer and go over your issues, try www.attorneypages.com and check his or her record at the Tennessee State Bar.


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