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Case No. ADJ9813999

Regular

Jan 31, 2018

JOSEPH MORGAN vs. SYSTEMS OPERATIONS SERVICES, STATE COMPENSATION INSURANCE FUND

The Workers' Compensation Appeals Board (WCAB) rescinded a previous finding that applicant Joseph Morgan was an independent contractor. The WCAB found that Morgan was an employee of Systems Operations Services (SOS) because SOS exercised pervasive control over his work. Factors supporting this decision include SOS providing tools, housing, and a vehicle, dictating work hours and locations, and Morgan's work being an integral part of SOS's core business. The WCAB determined that SOS failed to prove Morgan was an independent contractor excluded from workers' compensation coverage.

WCABPetition for ReconsiderationIndependent ContractorEmployeeRight to ControlBorello factorsWastewater Treatment Plant OperatorSOSState Compensation Insurance FundAOE/COE

References

Case No. 2017 NY Slip Op 08926 [156 AD3d 1192]

Regular Panel Decision

Dec 21, 2017

Cromer v. Rosenzweig Insurance Agency Inc.

Plaintiff, Bradley E. Cromer, as assignee, sued Rosenzweig Insurance Agency Inc. and other defendants for negligence, breach of contract, and fraud, alleging failure to procure appropriate insurance coverage for his assignors, Allen Skriloff and SOS 1031 Properties 112, LLC. The lawsuit stemmed from a workplace injury where the assignors' insurance carrier disclaimed coverage due to an employee exclusion. The Supreme Court granted summary judgment to the insurance agency, finding the assignors were presumed to know their policy's contents. The Appellate Division affirmed this decision, concluding that plaintiff failed to demonstrate a specific request for the excluded coverage or establish a 'special relationship' with the broker that would impose a higher duty of advisement beyond the written notice provided.

Insurance Broker LiabilityNegligenceBreach of ContractFraudMaterial MisrepresentationSummary JudgmentAppellate ReviewSpecial RelationshipDuty to AdviseCommercial General Liability

References

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JOSEPH MORGAN vs. SYSTEMS OPERATIONS SERVICES, STATE COMPENSATION INSURANCE FUND

WCABPetition for ReconsiderationIndependent ContractorEmployeeRight to ControlBorello factorsWastewater Treatment Plant OperatorSOSState Compensation Insurance FundAOE/COE

Cromer v. Rosenzweig Insurance Agency Inc.

Insurance Broker LiabilityNegligenceBreach of ContractFraudMaterial MisrepresentationSummary JudgmentAppellate ReviewSpecial RelationshipDuty to AdviseCommercial General Liability