December 26, 2013

Workers' Comp.

Practice point:  Workers' Compensation Law §§ 11 and 29(6), which protects employers against lawsuits brought by injured workers, extends to entities which are alter egos of the entity which employs the plaintiff.  A defendant moving for summary judgment under this theory may establish itself, prima facie, as the employer's alter ego by demonstrating that one of the entities controls the other or that the two operate as a single integrated entity.

Student note:  A parent corporation may be deemed to be an employer of an employee of a subsidiary corporation for Workers' Compensation purposes if the subsidiary functions as the alter ego of the parent. However, a mere showing that the entities are related is insufficient where a defendant cannot demonstrate that one of the entities controls the day-to-day operations of the other.

Case:  Batts v. IBEX Constr., LLC, NY Slip Op 08394 (2d Dept. 2013).

Here is the decision.

Tomorrow's issue: A common-law tort action against a municipality.