Daily capital journal. (Salem, Oregon) 1903-1919, 1915-04-22
EMPLOYER CANNOT
Be INSURED UNDER
COMPENSATION ACT.
Courts Decision Upsets Work
of Accident Commission
For Past Year
EVEN SUB-CONTRACTOR
CANNOT GET BENEFIT
Ruling Casts New Complexion
Upon Operation Of Work.
mems Compensation Act

An important decision has been made
by Judge G. F. Skipwortb, OF the circuit
court for Douglas county, In which the
ruling of former Attorney General
Crawford of year ago has been com.
pletely reversed and will invalidate all
of the acts of the industrial accident
commission of the past year, performed
under the advice and instruction Of At.
torney General Crawford, involving cas-
ualty insurance for employers under the
provisions of the state workmen 's com.
pensation act. Under the Skipworth
decision, a copy of which has Just been
received by the industrial accident com
mission, no employer can receive protec-
tion under the compensation act.
Judge Skipworth g decision will have
the effect of multiplying scores of in
stances wherein the industrial accident
commission, acting under the advice Of
Attorney General Crawford and in the
belief that they were within the law,
granted protection to such employers or
members and officers of corporation,
who worked with the men and regarded
themselves as employees and charged
their business up with wages not less
than the average of ordinary workmen
and pair the required per cent for the
employe for themselves on the payroll
account, II also has the effect, in the
opinion Of the commission, of exempt.
ing all employers in subcontract work,
even though they work along with their
men, from the benefits of thecompensa
toin act
When the industrial accident commits.
sion organized for business last July
among the first things they did was to
ask Attorney General Crawford for an
/ opinion upon the point Of whether or
not insurance could be extended an en-.
! ployer under the provisions Of the act.
Under date Of July l6, 1914 in reply to
the inquiry, Attorney General Crawford
gave them a written opinion in which
he held that although he could find
nothing in the act covering the point,
it was his opinion that the commission
could, Gin its discretion, permit EN-
| ployers TO take advantage Of the act
providing they pay the fees provided
for both employer and employe There
is only one difficulty that suggests it.
| self to my mind, and that is that they
are probably not receiving fixed wage
out Of his business and the amount to
be paid as fees would have to be ad.
iusted on the basis Of the usual wage
received for that class Of work "
Acting under this advice the commits.
sion granted certain employers in.
suronce and now it finds that, under
/ the Skipworth decision, these policies
or contracts are abrogated and settle.
mcnt will have TO be made with such
employers as have taken advantage Of
] the act by way Of a refund Of employees
fees paid in by them. The case in point
Of Judge Skipworth y decision was that
Of +. f. Lang, Of Roscburg, against the
accident commission in which the plain.
tiff sued for compensation for injuries
received prior TO his having come under
the provisions Of the act. In this case
Judge Shpworth decided against the
plaintiff and set forth his conclusions.
in substance. as follows;
"The appellant is not entitled 20
compensation for his injury The com
peusaton act does not intend 20 per
nit an employer 20 receive compensa.
tion in case Of injury The accident com.
mission had authority TO accept the
application Of November .. 1914, of the
appellant for workmcn's = benefit under
the compensation act. in cac Of injury
subsequent 10 an acceptance Of the ap.
picotion the appellant would not be
entitled TO compensation under this
act.
The commission hns under consider
alton az present o case which involves
this particular point Of legal interpreta.
tion Of the compensation act which
Judge Skpworth 3 decision operates 10
dispose Of automatically and retroact.
lively against the interests OF the ia.
iured employer The commission, how.
ever, regard themselves az fortunate
that they have not been called upon 30
adiudicate a fatality claim under the
ruling Of Attorney General Crawford.
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