Contractor Accident - Florida

[sandy71]

State: Florida

A guy that works for me (listed as an independent contractor, and has filled out an independent contractor contract) was hit on the interstate and his car was totaled. He suffered no major injuries except a sore back and kneck. The accident was not his fault, he was rear ended. At the time of the accident he was on his way delivering a package for the company. He was in his own personal vehicle. Does my company have any liability here? Should I be concerned here?

[sandy71]

information to add if this helps -

3 other cars were involved in this accident, and the guy who caused the accident only had $10,000.00 in liability insurance. so my guy is in the process of putting a claim in with his insurance company.

[Lynx 36]

Originally Posted by sandy71

State: Florida

A guy that works for me (listed as an independent contractor, and has filled out an independent contractor contract) was hit on the interstate and his car was totaled. He suffered no major injuries except a sore back and kneck. The accident was not his fault, he was rear ended. At the time of the accident he was on his way delivering a package for the company. He was in his own personal vehicle. Does my company have any liability here? Should I be concerned here?

It would come off his insurance policy. I hope he had a commercial policy or his claim will be denied. Delivering items f/ a business purpose is considered business use and will not fall under a personal policy. As far as your liability is concerned it depends on how the contract is worded. He will more than likely be responsible f/ the liability and not you since he is the owner of the car.

Even pizza delivery driver's should have commercial insurance. I've denied a few of these.

[sandy71]

thank you for the imput Lynx! In the interm I spoke with my lawyer and he pretty much said the same thing. You obviously know you biz. Thx again.

[sandy71]

The sub-contractor is being denied compensation for lost work time, as I hear his injury claims are in jeopardy too. Since then his lawyer and Insurence company have tried to get me to sign an employee lost wage form, but I told them both he was not an employee as he wasn't. Are the odds that his lawyer and or insurance is going to aim at me or does the contract keep me clear? The main thing I am worried about is one line that does state an hourly rate for the first 15 hours, and then another line in the contact that says he goes to a different rate after the 15 hrs per/week have been met Can a contract be voided would other parts be upheld?

Is there anything I should know or a lawyer / insurance trick I should be ready for?

I do not have workers comp as I am a contractor and self employed that sub contracts work out.

[longneck]

you might have a problem if the other guy's lawyer can convince a judge that your contractor should have actually been classed as an employee. try posting that question in one of the employement law forums. someone there can help you make sure you a$$ is covered there.

[LSCAP]

Lynx36 is it also possible they might go after him for the insurance coverage?

In NC they nailed a few companies for avoiding workman's comp by claiming the employer was a subcontractor,

And I've read that the IRS is big on; If you were paying an hourly wage, and were his principle employer, you have to pay matching SS and collect tax, etc.