44-503. Subcontracting.
44-503
44-503. Subcontracting.(a) Where any person (in this section referred to as principal)undertakes to execute any work which is a part of the principal'strade or business orwhich the principal has contracted to perform and contracts with anyother person (inthis section referred to as the contractor) for the execution by or underthe contractor of the whole or any part of the work undertaken by theprincipal, the principal shall be liable to pay to any workeremployed inthe execution of the work any compensation under the workerscompensationact which the principal would have been liable to pay if that worker had beenimmediately employed by the principal; and where compensation isclaimed from orproceedings are taken against the principal, then in the application of theworkers compensation act, references to the principal shallbesubstituted for references to the employer, except that the amount ofcompensation shall be calculated with reference to the earnings of the workerunder the employer by whom the worker isimmediately employed. For the purposes of this subsection, a worker shallnot include an individual who is a self-employed subcontractor.
(b) Where the principal is liable to pay compensation under thissection, the principal shall be entitled to indemnity from anyperson who would havebeen liable to pay compensation to the worker independently ofthissection, and shall have a cause of actionunder the workers compensation act for indemnification.
(c) Nothing in this section shall be construed as preventing aworker from recovering compensation under the workerscompensation act from thecontractor instead of the principal.
(d) This section shall not apply to any case where the accident occurredelsewhere than on, in or about the premises on which the principal hasundertaken to execute work or which are otherwise under theprincipal's control ormanagement, or on, in or about the execution of such work under theprincipal's controlor management.
(e) A principal contractor, when sued by a worker of asubcontractor,shall have the right to implead the subcontractor.
(f) The principal contractor who pays compensation to aworker of asubcontractor shall have the right to recover over against thesubcontractor in the action under the workers compensation act if thesubcontractor has been impleaded.
(g) Notwithstanding any other provision of this section, in any casewhere the contractor (1) is an employer who employs employees in anemployment to which the act is applicable, or has filed a writtenstatement of election with the director to accept the provisions of theworkers compensation act pursuant to subsection (b) of K.S.A. 44-505, andamendments thereto, to the extent of such election, and (2) has securedthe payment of compensation as required by K.S.A. 44-532, andamendments thereto, for all persons for whom the contractor is requiredto or elects to secure such compensation, as evidenced by acurrent certificate of workers compensation insurance, by a certificationfrom the director that the contractor is currently qualified as a self-insurerunder that statute, or by a certification from the commissioner ofinsurance that the contractor is maintaining a membership in a qualifiedgroup-funded workers compensation pool, then,the principal shall not be liable for any compensation under this or anyother section of the workers compensation act for any person for whichthe contractor has secured the payment of compensation which the principalwould otherwise be liable for under this section and such person shall have noright to file a claim against orotherwise proceed against the principal for compensation under this orany other section of the workers compensation act. In the event that thepayment of compensation is not secured or is otherwise unavailable or ineffect, then the principal shall be liable for the payment of compensation. No insurance company shall charge a principal a premium for workerscompensation insurance for any liability for which the contractor hassecured the payment of compensation.
History: L. 1927, ch. 232, § 3; L. 1974, ch. 203, §2;L. 1993, ch. 286, § 25;L. 1994, ch. 288, § 1;L. 1996, ch. 1, § 1;L. 1998, ch. 75, § 1;L. 1999, ch. 149, § 4; July 1.