Estate of Myroslava Kotsovska v. Saul Liebman (073861)

116 A.3d 1, 221 N.J. 568, 2015 N.J. LEXIS 568
CourtSupreme Court of New Jersey
DecidedJune 11, 2015
DocketA-89-13
StatusPublished
Cited by78 cases

This text of 116 A.3d 1 (Estate of Myroslava Kotsovska v. Saul Liebman (073861)) is published on Counsel Stack Legal Research, covering Supreme Court of New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Estate of Myroslava Kotsovska v. Saul Liebman (073861), 116 A.3d 1, 221 N.J. 568, 2015 N.J. LEXIS 568 (N.J. 2015).

Opinion

Justice SOLOMON

delivered the opinion of the Court.

This case arises from the tragic death of Myroslava Kotsovska (decedent), who was fatally injured when defendant Saul Liebman, for whom decedent worked as a caretaker, inadvertently struck her with his car. Petitioner Olena Kotsovska, as administratrix of decedent’s estate, filed a wrongful death action against Liebman.

Liebman did not dispute that decedent’s injuries were the result of Liebman’s negligence. Instead, Liebman argued that, because decedent was his employee, petitioner could recover only under the Workers’ Compensation Act (Compensation Act), N.J.S.A. 34:15-1 to -142. If, as Liebman asserts, decedent was his employee, under the Compensation Act petitioner is required to file a workers’ compensation petition with the Division of Workers’ Compensation (Division) and may not recover for decedent’s work-related injuries in tort. Conversely, if decedent was an independent contractor, as petitioner asserts, the Compensation Act does *576 not apply and petitioner properly filed a claim against Liebman in the Superior Court.

In this appeal, we are called upon to determine whether the Compensation Act divests the Superior Court of jurisdiction to adjudicate the issue of a worker’s employment status once a defendant raises as an affirmative defense the exclusive remedy provision of the Compensation Act, N.J.S.A. 34:15-8. Although the Superior Court determined that it had jurisdiction to adjudicate the issue of decedent’s employment status, the Appellate Division found that the doctrine of primary jurisdiction required the trial judge to transfer the matter to the Division as soon as the workers’ compensation defense was raised. We conclude that when, as here, there is a genuine dispute regarding the worker’s employment status, and the plaintiff elects to file a complaint only in the Law Division of the Superior Court, the Superior Court has concurrent jurisdiction to resolve the dispute.

We must also determine whether, as the Appellate Division found, the jury charge given was so deficient that reversal was required. This Court in D’Annunzio v. Prudential Insurance Co. of America, 192 N.J. 110, 122-24, 927 A.2d 113 (2007), adopted a framework for assessing a worker’s employment status in the context of social legislation. We now endorse that framework for use in ascertaining a worker’s employment status for purposes of determining whether the Compensation Act’s exclusive remedy provision applies. Although the jury charge given here did not fully reflect the considerations set forth in D’Annunzio, the factors omitted either inured to the benefit of petitioner or were irrelevant under the facts of this case. Thus, we cannot conclude that the jury instruction had the capacity to confuse or mislead the jury.

Consequently, we reverse the judgment of the Appellate Division and reinstate the jury’s verdict.

I.

The undisputed facts of this case are briefly summarized as follows. In September 2008, Liebman’s daughter Robin Ross *577 decided that Liebman, then eighty-nine years old and living alone, was in need of a live-in assistant. Ross inquired among her friends for a suitable candidate, and was introduced to decedent through a mutual acquaintance.

Decedent met with Ross and Liebman. Because decedent was not proficient in English, her son-in-law Oleh Baran accompanied decedent and served as a translator. Decedent agreed to move in with Liebman and work seven days a week in exchange for $100 per day, to be paid in cash. The parties agreed to pay decedent in cash because decedent did not have a social security number or a bank account, and therefore could not cash a check. Decedent’s duties included preparing three meals a day for Liebman, doing Liebman’s laundry, performing “light housekeeping” duties “as needed,” accompanying Liebman on errands, and assisting Lieb-man generally in “getting around.”

No documentation regarding the work agreement was prepared, exchanged, or requested. The parties did not discuss the duration of the arrangement; nor did they discuss decedent’s immigration status or whether she was authorized to work in the United States. 1 The parties agreed that decedent would have some vacation time around the holidays, but did not discuss how long the vacation time would be or if the vacation time would be paid. Ross asked if decedent had health insurance, to which Baran replied that he and Olena would take care of decedent’s medical bills “personally” if the need arose.

Decedent started work immediately. Ross testified that she “checked in” on decedent “occasionally,” and that it was her understanding that decedent had “a lot of independence” in how she chose to perform her duties and when to take time off. According to Ross, either party was free to terminate the arrangement at any time.

*578 Little more than one month after decedent began working for Liebman, Liebman asked decedent to accompany him to a diner because he needed help with errands. As they arrived at the diner, Liebman pulled over and let decedent out of his car. While attempting to park, Liebman accidentally drove over the curb onto the sidewalk where decedent was standing and pinned decedent against the wall of the diner, severing her leg below the knee. Decedent died shortly thereafter from her injuries.

Petitioner filed a wrongful death action against Liebman, alleging that decedent’s death was the result of Liebman’s negligence. Liebman conceded negligence, but asserted that decedent was his employee and that, therefore, petitioner was entitled to recovery only under the Compensation Act.

Liebman filed a motion to dismiss the complaint and to transfer the matter to the Division, arguing that the Superior Court lacked jurisdiction to resolve employment status disputes for purposes of determining whether the Compensation Act’s exclusive remedy provision, N.J.S.A. 34:15-8, applies. The trial court denied the motion. After discovery concluded, Liebman filed a motion for summary judgment raising the same argument. Noting that plaintiff had not filed a workers’ compensation petition and that therefore “there’s nothing pending there for [the Division] to make a decision,” the court rejected defendant’s argument and denied the motion and subsequent motion for reconsideration. Because Liebman conceded negligence, the sole contention at trial was the nature of decedent’s economic relationship with Liebman.

After five days of trial, the judge instructed the jury that it would need to decide by a preponderance of the evidence whether decedent was an employee or an independent contractor. The judge defined “employee” as “a person engaged to perform services for another, the employer, and who is subject to the employer’s control or right to control the physical conduct required to perform such services.” The judge then defined “independent contractor” as

*579 a person who in carrying on an independent business contracts, independent from the employer, ...

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Bluebook (online)
116 A.3d 1, 221 N.J. 568, 2015 N.J. LEXIS 568, Counsel Stack Legal Research, https://law.counselstack.com/opinion/estate-of-myroslava-kotsovska-v-saul-liebman-073861-nj-2015.