TIC Energy & Chem., Inc. v. Martin (Opinion)
Annotate this CaseUnion Carbide employed Martin at its Seadrift facility. Martin lost his leg in a workplace accident and recovered workers’ compensation benefits through an owner-controlled insurance program (OCIP) administered by Union Carbide’s parent company, Dow. Martin subsequently sued TIC, a subcontractor providing maintenance services at Seadrift, alleging TIC’s employees negligently caused his injury. TIC cited Labor Code section 406.123, which deems a general contractor the statutory employer of a subcontractor and its employees when the general contractor agrees in writing to provide workers’ compensation insurance to the subcontractor. TIC had a written agreement with Union Carbide that extended workers’ compensation insurance coverage under the OCIP to TIC and its employees. Martin argued, under section 406.122(b), that the exclusive-remedy provision did not apply because TIC was an independent contractor and had a written contract with Union Carbide under which TIC “assume[d] the responsibilities of an employer for the performance of work.” The court denied TIC’s summary-judgment motion; the court of appeals affirmed. The Supreme Court of Texas entered judgment for TIC, reasoning that the independent contractor provision (406.122(b)) is a general rule, and 406.123, which confers statutory-employer status on general contractors who provide workers’ compensation insurance to their subcontractors, is a permissive exception. The record established that, under section 406.123, TIC is Carbide’s deemed employee for purposes of the exclusive-remedy defense.
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