Uninsured Employers' Fund v. Stanford
Annotate this CaseMatthew Stanford volunteered with the US Army Cadet Corp. (USACC). Stanford also participated in a program administered by Bluegrass Area Development District (Bluegrass). While accompanying the USACC cadets on a field trip, Stanford fell from a zip line and suffered a permanent injury that rendered him a quadriplegic. An ALJ granted Stanford benefits, finding Stanford was primarily an employee of USACC, who served as a subcontractor for Bluegrass, and accordingly, Bluegrass would be responsible for the payments because USACC did not carry workers' compensation insurance. The Workers' Compensation Board concluded (1) Bluegrass could not be held responsible for paying Stanford's benefits, and instead, USACC was liable, and (2) Stanford was working as a USACC employee at the time of the accident. The court of appeals affirmed and ordered the Uninsured Employers' Fund to reimburse Bluegrass for the medical expenses Bluegrass paid on behalf of Stanford. The Supreme Court reversed, holding that Bluegrass shared responsibility with USACC as Stanford's employer and may be held responsible to pay his workers' compensation benefits. Remanded for a recalculation of which employer - Bluegrass or USACC - was liable for what proportion of Stanford's benefits.
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