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Workers' Compensation Defense Applies to Alter Egos

October 13, 2008

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The defense afforded to employers by the exclusivity provision of the Workers' Compensation Law may also extend to suits brought against an entity that is found to be the alter ego of the corporation that employs the plaintiff. In <i></i><i>Cappella v. Suresky at Hatfield Lane, LLC</i>,<i></i> the plaintiff was employed by R.I. Suresky &amp; Son, Inc., a car dealership. The plaintiff claimed that he was injured when he fell in the dealership lot. Since he could not bring suit against his employer, the plaintiff sued Suresky at Hatfield Lane, the owner of the lot. Suresky at Hatfield Lane argued that it was an alter ego of the plaintiff's employer and submitted proof that the plaintiff's employer exercised managerial and financial control over it. The court ruled that this proof sufficiently established a prima facie defense under the Workers' Compensation Law.

<a href="http://www.courts.state.ny.us/reporter/3dseries/2008/2008_07603.htm">http://www.courts.state.ny.us/reporter/3dseries/2008/2008_07603.htm</a>

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