Oil Prophets

Spring 2015

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26 Oil Prophets LEGAL CORNER As I am quick to say in these articles, time and space limitations do not allow significant analysis of any issue, but it is always my hope that enough information is provided to cause you to have questions and that will encourage you to seek answers. In this article I wanted to touch briefly on some recurring employment issues within your retail convenience stores. Those issues will include some limited workers' compensation questions as well as other employment questions that are often raised. Workers' Compensation: As you should know, if you have five (5) or more employees, you are required by law to have workers' compensation insurance. It doesn't matter if these "employees" are family members, part-time or even minors (if otherwise legally permitted to work in Alabama). It is certainly appropriate for me to tell you that your trade association has long endorsed AlaCOMP as its preferred and recommended provider of workers' compensation insurance. AlaCOMP was formed by this trade association in 1992 and continues to provide a quality product at a competitive price. I hear people complain about HAVING to purchase workers' compensation insurance. If you have a lot of employees, then yes, it can be a significant expense. However, if you have employees staffing one, two or three convenience stores, then it is very inexpensive in the grand scheme of the benefits and protections it affords you. Not only is it required by law as noted, there are numerous benefits. The Alabama workers' compensation laws govern the administration of any claim by an injured employee. You know that your risks and, therefore, your exposure is known and "capped" by the workers' compensation laws. When you are sued as an employer by an injured employee, such lawsuit is presented only to a judge without a jury. There are no claims of mental anguish and punitive damages, two areas of damages that often get out of control with some jury verdicts. It can be frustrating in that workers' compensation essentially insures your employees' carelessness and negligence. Their conduct that may have directly caused their injuries has to rise to a level termed "willful" by the law to give an employer any opportunity to avoid paying benefits. Even then, such circumstances are rare. The example I often use to describe this is a claim I had years ago in North Alabama where a C-store clerk was refilling the ice in a fountain drink machine by lifting a bucket of ice overhead to pour it into the machine. She poured the ice in the machine, overfilled it and spilled some on the floor. She turned to walk away and slipped on the very ice she had just spilled, tearing up her knee requiring surgery and some $30,000 of medical bills. Outside of workers' compensation, one could argue that she was contributorily negligent and thereby have a defense to deny such a claim. Workers' compensation doesn't allow you to take that position. The trade-off, however, with the limitations on your damage exposure far outweighs the frustrations of having to insure even an employee's idiocy sometimes. Certainly your goal as an employer is to provide a safe working environment for your employees. Eliminating or minimizing employees' injuries benefits everyone, not only the employee but certainly you as the employer by keeping your workers' compensation insurance premiums to a minimum. Don't assume you know how to provide that environment. Take advantage of the services provided by your workers' compensation insurer along these lines. AlaCOMP, for example, has an excellent Loss Control Department that will come to your place of Employment Issues in Your Convenience Store H. Dean Mooty, Jr. Mooty & Associates, P.C.

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