§ 176.215 — Subcontractor's Failure to Comply With Chapter
Plain-Language Summary
If a subcontractor fails to carry workers' compensation insurance, the general contractor who hired them is liable for benefits to the subcontractor's injured employees. The general contractor can then recover the cost from the subcontractor.
176.215 SUBCONTRACTOR’S FAILURE TO COMPLY WITH CHAPTER.
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Subdivision 1.Liability for payment of compensation.
Where a subcontractor fails to comply with this chapter, the general contractor, or intermediate contractor, or subcontractor is liable for payment of all compensation due an employee of a subsequent subcontractor who is engaged in work upon the subject matter of the contract. §
Subd. 1a.Enforcement of order.
If the compensation judge orders the general contractor, intermediate contractor, or subcontractor to pay compensation benefits, the award issued against the general contractor, intermediate contractor, or subcontractor constitutes a lien for government services under section 514.67 on all property of the general contractor, intermediate contractor, or subcontractor and is subject to the provisions of the Revenue Recapture Act under chapter 270A. The special compensation fund may enforce the terms of the award in the same manner as a district court judgment. §
Subd. 2.Subrogation.
A person who has paid compensation under this section is subrogated to the rights of the injured employee against the employee’s immediate employer, or any person whose liability for compensation payment to the employee is prior to the liability of the person who paid it. §
Subd. 3.Determination of respective liabilities.
The Workers’ Compensation Division may determine the respective liabilities of persons under this section.
History:
1953 c 755 s 29; Ex1967 c 1 s 6; 1973 c 388 s 57; 1975 c 359 s 23; 1986 c 444; 1995 c 231 art 2 s 81
History: History: 1953 c 755 s 29; Ex1967 c 1 s 6; 1973 c 388 s 57; 1975 c 359 s 23; 1986 c 444; 1995 c 231 art 2 s 81