Pub. 3 2014 Issue 2

Fall 2014 21 summary, safety of contract workers on premises is the dealers’ liability. Wow! Also, any act of negligence on the part of the dealership is not protected under theWC regime as is the protection available fromdealers own employees under theWC statutes. The bill expressly provides that it does not limit any other theories of liability or requirements established by other statutes or common law. LEGAL MORASS : All in all, this bill creates tremendous liability in the Labor Code arena for the dealerships. Dealers should contact their labor lawyer ASAP, to understand and minimize liability created under this bill and its many provisions. MI SCELLANEOUS EXEMPT I ONS : There are certain exemptions in the code when fewer than 5 employees are supplied by the labor contractor at any one time or if the total number of employees at the site is below 25. Certain apprentice and non-profit community-based organizations may be exempt from the provisions of this law. WAIVERS: Any waiver of statute by labor contractor or their employ- ees is contrary to public policy and is unenforceable. PROTECTED SPEC I ES : Once the subcontractors’employee files a claim or provides notification to the dealership or employer of intent to file for violations, the employee is protected from any adverse action. E XHAUS T R EMEDY AGA I NS T SUB CONT R AC TOR : The subcontractor employee may not exhaust his remedy for payroll or other violations and resulting damages from those violations against his primary employer prior to seeking remedy from the dealerships. Lawsuits somehow follow deep pockets. USUAL COURSE OF BUSINESS: The subcontractors’employees are deemed to be the ones provided for regular and customary work of a business, performedwithin the premises or worksite of the client employer. EFFECT I VE JANUARY 1, 2015: You have very little time to determine the legal pathway for minimizing the liability created by this bill. Trial lawyers have probably read the bill and have determined the legal theories, both novel and time-tested, to go after employers under this new bill. You cannot wait, but must act fast and decisively. DISCLAIMER: This is aNewsletter andnothing in thisNewsletter constitutes legal advice. Employersmust consult their lawyer for legal matters and safety consultants for matters related to safety. The article was authored by Sam Celly of Celly Services, Inc. who has been helping automobile dealers comply with EPA & OSHA regulations since 1987. Sam received his BE (1984) and MS (1986) in Chemical Engineering followed by a J.D. from Southwestern University School of Law (1997). Our newsletters can be accessed at www. epaoshablog.com. Your comments/questions are always welcome. Please send them to sam@cellyservices.com .