SB 303: "An Act relating to a subcontractor's, contractor's, and project owner's liability for workers' compensation, to sole proprietors and partnerships without employees, and to managers or managing members of limited liability companies, and excluding certain persons from liability for securing the payment of workers' compensation benefits to employees; and providing for an effective date."
00 SENATE BILL NO. 303 01 "An Act relating to a subcontractor's, contractor's, and project owner's liability for 02 workers' compensation, to sole proprietors and partnerships without employees, and to 03 managers or managing members of limited liability companies, and excluding certain 04 persons from liability for securing the payment of workers' compensation benefits to 05 employees; and providing for an effective date." 06 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 07 * Section 1. AS 23.30.045(a) is amended to read: 08 (a) An employer is liable for and shall secure the payment to employees of the 09 compensation payable under AS 23.30.041, 23.30.050, 23.30.095, 23.30.145, and 10 23.30.180 - 23.30.215. If the employer is a subcontractor [AND FAILS TO SECURE 11 THE PAYMENT OF COMPENSATION TO ITS EMPLOYEES], the contractor is 12 liable for and shall secure the payment of the compensation to employees of the 13 subcontractor unless the subcontractor secures the payment [. IF THE
01 EMPLOYER IS A CONTRACTOR AND FAILS TO SECURE THE PAYMENT OF 02 COMPENSATION TO ITS EMPLOYEES OR THE EMPLOYEES OF A 03 SUBCONTRACTOR, THE PROJECT OWNER IS LIABLE FOR AND SHALL 04 SECURE THE PAYMENT OF THE COMPENSATION TO EMPLOYEES OF THE 05 CONTRACTOR AND EMPLOYEES OF A SUBCONTRACTOR, AS 06 APPLICABLE]. 07 * Sec. 2. AS 23.30.045(f)(1) is amended to read: 08 (1) "contractor" means a person who undertakes by contract 09 performance of certain work for another [BUT DOES NOT INCLUDE A VENDOR 10 WHOSE PRIMARY BUSINESS IS THE SALE OR LEASING OF TOOLS, 11 EQUIPMENT, OTHER GOODS, OR PROPERTY]; 12 * Sec. 3. AS 23.30.055 is amended to read: 13 Sec. 23.30.055. Exclusiveness of liability. The liability of an employer 14 prescribed in AS 23.30.045 is exclusive and in place of all other liability of the 15 employer and any fellow employee to the employee, the employee's legal 16 representative, husband or wife, parents, dependents, next of kin, and anyone 17 otherwise entitled to recover damages from the employer or fellow employee at law or 18 in admiralty on account of the injury or death. The liability of the employer is 19 exclusive even if the employee's claim is barred under AS 23.30.022. However, if an 20 employer fails to secure payment of compensation as required by this chapter, an 21 injured employee or the employee's legal representative in case death results from the 22 injury may elect to claim compensation under this chapter, or to maintain an action 23 against the employer at law or in admiralty for damages on account of the injury or 24 death. In that action, the defendant may not plead as a defense that the injury was 25 caused by the negligence of a fellow servant, or that the employee assumed the risk of 26 the employment, or that the injury was due to the contributory negligence of the 27 employee. [IN THIS SECTION, "EMPLOYER" INCLUDES, IN ADDITION TO 28 THE MEANING GIVEN IN AS 23.30.395, A PERSON WHO, UNDER 29 AS 23.30.045(a), IS LIABLE FOR OR POTENTIALLY LIABLE FOR SECURING 30 PAYMENT OF COMPENSATION.] 31 * Sec. 4. AS 23.30.045(f)(2) is repealed.