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Garza v. Exel Logistics4/8/2005
ion - Statutory Limits
(iv) Employer's Liability - $1,000,000
(v) Employer Practices - $1,000,000
(vi) Directors/Officers - $1,000,000
(vii) Commercial Blanket Bond - $1,000,000
(viii) Depositor's Forgery - $100,000
(ix) Umbrella Liability - $20,000
[Interim] will add Exel Logistics as an additional insured to coverage (i), (ii), and (vii).
Additionally, the contract provided that none of the temporary employees would be eligible for Exel's employee benefits, which would seem to include workers' compensation benefits, if any:
[Interim] hereby acknowledges and agrees that neither [Interim], the Employees, nor any of [Interim's] employees, associates, contractors, agents, representatives, assignees or successors in interest will be eligible for any Exel Logistics employee benefits.
The term "the 'Employees'" is defined in the contract: "[Interim] shall, as approved and supervised by Exel Logistics, furnish and assign necessary personnel (collectively the 'Employees') and equipment, except such as are furnished by Exel Logistics, to complete various tasks as required to perform the Services."
But even if Interim were contractually obligated to obtain workers' compensation insurance that named Exel as an insured, or it gratuitously chose to do so, no such policy has been identified or made part of this record. Accordingly, Exel has not established that it is "covered by workers' compensation insurance coverage" for a "work-related injury sustained by the employee," in this case, Garza, which is a prerequisite to the application of the exclusive remedy provision in section 408.001(a).
In this case, we are construing only the Labor Code, specifically the Workers' Compensation Act; we are not applying general common-law principles regarding vicarious liability for injuries to third parties. We reiterate what we said in Wingfoot: "The common-law principles that define when there will be vicarious liability are designed to assign liability for injury to third parties to the party who was directing the details of the negligent actor's conduct when that negligence occurred." The Workers' Compensation Act was not. Nor are we called upon to consider today the rights of two workers' compensation carriers who have insured against injuries to the same individual, or whether an injured employee who is insured under more than one workers' compensation policy may retain benefits under both.
* * * We reverse the court of appeals' judgment in Exel's favor and remand the case to the trial court for further proceedings. Because Garza concedes that Interim is his employer and that he has received workers' compensation insurance under its policy, we affirm the court of appeals' judgment as to Interim.
Priscilla R. Owen, Justice
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