Thompsen, Jason v. Concrete Solutions

2016 TN WC 168
CourtTennessee Court of Workers' Compensation Claims
DecidedJuly 25, 2016
Docket2014-04-0012
StatusPublished

This text of 2016 TN WC 168 (Thompsen, Jason v. Concrete Solutions) is published on Counsel Stack Legal Research, covering Tennessee Court of Workers' Compensation Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Thompsen, Jason v. Concrete Solutions, 2016 TN WC 168 (Tenn. Super. Ct. 2016).

Opinion

FILED July 25, 2016

TN COURT OF WORKIRS' CO!\IPENSATION CLAIMS

Time l:49 Pl\1

TENNESSEE BUREAU OF WORKERS' COMPENSATION IN THE COURT OF WORKERS' COMPENSATION CLAIMS AT COOKEVILLE

Jason Thompsen, ) Docket No.: 2014-04-0012 Employee, ) v. ) State File No.: 77580-2014 ) Concrete Solutions, ) Employer, ) And ) Judge Robert Durham ) Argos Insurance Company, ) Insurance Carrier. )

COMPENSATION HEARING ORDER GRANTING BENEFITS

This case came before the undersigned Workers' Compensation Judge on July 6, 2016, for a compensation hearing. The Employee, Jason Thompsen filed a Petition for Benefit Determination to determine if the Employer, Concrete Solutions, is obligated to provide workers' compensation benefits for a work-related injury to his left ankle sustained on July 10, 2014. The primary issue is whether Mr. Thompsen was an independent contractor or an employee of Concrete Solutions at the time of the injury. Secondary issues include reimbursement for Mr. Thompsen's out-of-pocket medical expenses and the extent of his temporary disability.

The Court holds the evidence submitted by Mr. Thompsen is sufficient to establish he was an employee of Concrete Solutions at the time of his injury, thus entitling him to workers' compensation benefits. The Court further holds Mr. Thompsen proved his out- of-pocket medical expenses were incurred for reasonable and necessary medical treatment of his work injury and the injury rendered him temporarily disabled for 17.3 weeks.

1 Stipulations

• Mr. Thompsen sustained an injury to his left ankle on July 10, 2014, that arose out of and in the course of employment. • Mr. Thompsen sustained a two-percent impairment rating to the body due to his work injury on July 10. • Concrete Solutions paid $3,850.00 in medical expenses with Dr. Gregory Roberts as the treating physician for Mr. Thompsen's injury. • Medical expenses not paid by Concrete Solutions total $684.00. • Mr. Thompsen's average weekly wage with Concrete Solutions was $482.50, resulting in a compensation rate of$321.66. • Mr. Thompsen did not return to work at a wage equal to or greater than his average weekly wage at Concrete Solutions during the nine-week compensation period following maximum medical improvement. • Mr. Thompsen was over the age of forty at the time of the injury. • Mr. Thompsen has a high school education and worked in Putnam County, Tennessee at the time of the injury.

History of Claim

After working for a large construction company for several years, Eric Tumey formed his own concrete forming company, Concrete Solutions, a few years ago. Upon starting his business, Mr. Tumey obtained workers' compensation insurance, primarily because others advised him to do so and general contractors usually required it. However, he intended the insurance to cover those working for Concrete Solutions should they suffer a work-related injury.

Upon starting his company, Mr. Tumey paid those working for Concrete Solutions on a weekly basis at an hourly wage. However, he did not withhold deductions from their checks; instead, he required them to complete a "1099" federal tax form, which designated those workers as "independent contractors" for tax purposes. At the compensation hearing, Mr. Tumey admitted he did so primarily because of his difficulty and inexperience with the bookkeeping necessary to make payroll withholdings.

In early 2014, Concrete Solutions obtained a job that involved building a house out of concrete, which required pouring concrete vertically in order to form the walls of the home. Mr. Tumey had limited experience with vertical concrete, and the supervisor he hired to perform the work proved unsatisfactory. Mr. Tumey used to work with Mr. Thompsen and was aware of his expertise in vertical concrete. Although they had casually spoken several times at chance meetings about Mr. Thompsen coming to work for Concrete Solutions, Mr. Tumey now approached Mr. Thompsen in earnest and asked him to consider working for Concrete Solutions as a supervisor over construction of the

2 concrete home. Mr. Thompsen agreed to quit his full-time job with another construction company and begin working for Concrete Solutions.

Mr. Turney and Mr. Thompsen met at Mr. Turney's home, where they agreed Mr. Thompsen would work for Concrete Solutions at a wage of $16.00 per hour for approximately forty hours per week. At that time, Mr. Turney informed Mr. Thompson that he would not make any withholdings from his paycheck, but would instead require him to sign a 1099. Mr. Thompsen testified he had never worked anywhere where he had been compelled to sign a 1099 and voiced concern about it. He further testified Mr. Turney assured him the arrangement was only until he had sufficient time to solidifY the business. Mr. Turney testified he could not remember the details of their conversation, but, given Mr. Thompsen's history of working for large construction companies, he did not dispute it. In any event, Mr. Thompsen signed the 1099 and began supervising the concrete house project the following Monday.

Mr. Turney met Mr. Thompsen at that job site and introduced him to the workers as their new supervisor. At that time, he informed the former supervisor of the new hierarchy. Mr. Turney gave Mr. Thompsen the authority to terminate the demoted supervisor should it prove necessary. Following that visit, Mr. Turney made only occasional visits to the job site and allowed Mr. Thompsen to supervise the day-to-day activities in constructing the home, although they did frequently discuss the steps and procedures necessary to build it. Mr. Turney acknowledged he retained ultimate authority on how to proceed with building the home.

Mr. Thompsen hired two additional workers, and Concrete Solutions paid them at an hourly rate through a weekly paycheck, although they were also required to sign a 1099. Approximately two weeks after Mr. Thompsen started work, he terminated the former supervisor. At that point, Mr. Turney offered to pay Mr. Thompsen an additional dollar per hour.

At the job site, Concrete Solutions provided all of the heavy equipment necessary to perform the job, including a forklift that Concrete Solutions rented. It also provided concrete saws, hammer drills, skill-saws, concrete rakes and other tools, as well as a storage box to contain all the tools when the workers were off-site. The only tools provided by Mr. Thompsen were those on his personal toolbelt, as is customary in construction, as well as a couple of stepladders. In addition to tools, Concrete Solutions also provided all of the supplies necessary to complete the job.

Mr. Turney and Mr. Thompsen agreed that the goal was to work at least forty hours each week on completing the concrete house, although weather often kept them from doing so. Mr. Turney testified Mr. Thompsen was free to offer his services elsewhere while working on the house; however, Mr. Thompsen testified that was never his understanding and the hours required to work on the project prohibited him from

3 working elsewhere.

The parties offered conflicting versions of the proposed duration of the working relationship. Mr. Thompsen testified that when he quit his job and began working for Concrete Solutions, it was with the intention and understanding that Concrete Solutions would continue to employ him after they completed the concrete home. Mr. Tumey testified he retained Mr. Thompsen only for the concrete home project because of his expertise with vertical concrete, and that while he hoped additional work would be available, he did not guarantee Mr. Thompsen further employment once they finished the concrete home.

On July 10, 2014, Mr.

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2016 TN WC 168, Counsel Stack Legal Research, https://law.counselstack.com/opinion/thompsen-jason-v-concrete-solutions-tennworkcompcl-2016.