Is your Super/Handyman unknowingly putting your building at risk?
Here’s what can (and does) happen.
A Super/Handyman in a building was hired to work on a kitchen cabinet for a residential unit owner. As the wooden cabinet was being cut, the wood splintered and a piece went into the worker’s eye. He was not wearing any appropriate eye protection or safety glasses and, although he had a green card and could legally perform the work, he had no insurance or risk transfer in place. The building’s association was sued under NY’s Labor Law and the case was settled for over $700,000 which was paid out to the plaintiff for the injury by the insurance carrier under the building’s liability policy.
So the worker with the green card may have gained some more green, but the building had to shell out a lot more green to another insurance carrier for a replacement policy.
A Super/Handyman should not be hired by an owner to do work that is not on the Association’s behalf. Once an owner pays them to do work directly, not only would the Super/Handyman NOT be covered under Worker’s Compensation (as they would not be considered an employee at the time of the injury), but they would also be considered an uninsured contractor. That means any property damage or injuries they cause would go against the Association’s policy as the insurance carrier for the association would not be able to transfer the risk to the “contractor”.
If the Super/Handyman is going to do work in the building, then the Association should require them to maintain their own General Liability and Workers’ Compensation insurance.
As much as the Super/Handyman is everyone’s “go-to” person, he or she should NOT be permitted to hire anyone on behalf of the building. It could put your building and the Association at risk!!
Always bear in mind that the Managing Agent or Board of Directors should be the only ones to hire workers under their Corporate Attorney’s review of the Contract by a licensed and insured Contractor with the appropriate risk transfer in place. The same can apply for vendors (for example, moving or delivery companies) who may enter in and out of the building to perform their work.
