Louisiana 2014 2014 Regular Session

Louisiana Senate Bill SB627 Introduced / Bill

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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2014
SENATE BILL NO. 627
BY SENATOR MURRAY 
WORKERS' COMPENSATION.  Exempts certain home improvement contractors who have
no employees from the requirements of workers' compensation. (8/1/14)
AN ACT1
To amend and reenact R.S. 37:2175.2(C) and to enact R.S. 23:1064, relative to workers'2
compensation; to provide for certain home improvement contractors; to provide for3
certain exemptions from the requirements of workers' compensation coverage; to4
provide for remedies in tort; to provide reservation of certain rights; to provide for5
forms; to provide for affidavits; to provide for permitting; and to provide for related6
matters.7
Be it enacted by the Legislature of Louisiana:8
Section 1.  R.S. 23:1064 is hereby enacted to read as follows:9
§1064. Home improvement contractors with no employees; exemption from10
coverage11
A.(1)  The provisions of this Chapter shall not apply to any home12
improvement contractor who is licensed pursuant to the provisions of R.S.13
37:2175.2 and who meets all of the following criteria:14
(a) Has no employees, no independent contractors, and no15
subcontractors.16
(b) Is not an officer or principal of any corporation, or a member or17 SB NO. 627
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Coding: Words which are struck through are deletions from existing law;
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manager of any limited liability company, or a partner of any partnership or a1
principal of any firm engaged in the principal business of contracting2
operations who has employees, independent contractors, or subcontractors.3
(c) The licensed home improvement contractor has chosen to be exempt4
from coverage pursuant to this Chapter.5
(2)(a)  Any home improvement contractor who avails himself of the6
provisions of this Section, who would otherwise be immune from a tort liability7
claim based upon the exclusive remedies provided for in this Chapter, thereby8
waives any defense or immunity against any claim in tort which would9
otherwise be subject to the provisions of this Chapter.10
(b) Any person who would otherwise be covered under the provisions11
of this Chapter is hereby authorized to pursue any and all claims against the12
licensed home improvement contractor in tort where such claims would13
otherwise be subject to the exclusive remedies provided pursuant to the14
provisions of this Chapter.15
B.(1) The provisions of Subsection A of this Section shall not exempt or16
in any way apply to subcontractors or employees of any person, firm,17
partnership, or corporation engaged within a project under a principal18
contractor.19
(2) The provisions of this Section shall require a Home Improvement20
Contractors' Coverage Exemption form to be completed and submitted to the21
Louisiana State Licensing Board for Contractors upon application for licensing.22
(3) An affidavit reflecting the exemption from coverage shall be23
completed upon the application for any building permit and submitted to the24
local permits office, with a copy submitted to the Louisiana State Licensing25
Board for Contractors, before receiving a local building permit.26
Section 2. R.S. 37:2175.2(C) is hereby amended and reenacted to read as follows:27
§2175.2.  Home improvement contracting; registration required28
*          *          *29 SB NO. 627
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words in boldface type and underscored are additions.
C. The applicant shall furnish the board proof of general liability insurance1
in a minimum amount of one hundred thousand dollars, proof of workers'2
compensation insurance coverage in compliance with Title 23 of the Louisiana3
Revised Statutes of 1950, and proof of registration with the Department of Revenue4
by providing a certificate of resident/nonresident status.5
*          *          *6
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Carla S. Roberts.
DIGEST
Murray (SB 627)
Proposed law provides that a home improvement contractor who is licensed pursuant to the
provisions of R.S. 37:2175.2 and who meets all of the following criteria shall be exempt
from the requirements of workers' compensation coverage:
(1)Have no employees, no independent contractors, and no subcontractors.
(2)Is not an officer or principal of any corporation, or a member or manager of any
limited liability company, or a partner of any partnership or a principal of any firm
engaged in the principal business of contracting operations who has employees,
independent contractors, or subcontractors.
(3)The licensed home improvement contractor has chosen to be exempt from workers'
compensation coverage.
Proposed law provides that any home improvement contractor who avails himself of
proposed law, who would otherwise be immune from a tort liability claim based upon the
exclusive remedies provided for in workers' compensation, thereby waives any defense or
immunity against any claim in tort which would otherwise be subject to the provisions of
exclusive remedy in workers' compensation.
Proposed law provides that any person, who would otherwise be limited to the provisions
of workers' compensation coverage, is authorized to pursue any and all claims against the
licensed home improvement contractor in tort where such claims would otherwise be subject
to the exclusive remedies of workers' compensation.
Proposed law provides that the provisions of proposed law shall not exempt or in any way
apply to subcontractors or employees of any person, firm, partnership, or corporations
engaged within a project under a principal contractor.
Proposed law provides that the provisions of proposed law shall require a Home
Improvement Contractors' Coverage Exemption form to be completed, and submitted to the
Louisiana State Licensing Board for Contractors upon application for licensing.
Proposed law provides that an affidavit reflecting the exemption from coverage shall be
completed upon the application for any building permit and submitted to the local permits
office, with a copy submitted to the Louisiana State Licensing Board for Contractors, before
receiving a local building permit. SB NO. 627
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words in boldface type and underscored are additions.
Effective August 1, 2014.
(Amends R.S. 37:2175.2(C); adds R.S. 23:1064)