Opinion ID: 380347
Heading Depth: 2
Heading Rank: 2

Heading: The Employment Relationship with Oilfield Services

Text: 20 The ALJ and the Board found that Hansen was an employee of Oilfield Services. These findings of fact may be reversed only if they are not supported by substantial evidence. Banks v. Chicago Grain Trimmers Association, 390 U.S. 459, 88 S.Ct. 1140, 20 L.Ed.2d 30 (1968). In reviewing administrative findings, this Court must not substitute its judgment for that of the agency. Watson v. Gulf Stevedore Corp., 400 F.2d 649 (5th Cir. 1968), cert. denied, 394 U.S. 976, 89 S.Ct. 1471, 22 L.Ed.2d 755 (1969). Where substantial evidence supports the factual findings and the findings are not arbitrary, this Court must affirm the judgment of the ALJ or Benefits Review Board. Tampa Ship Repair and Dry Dock Co. v. Director, 535 F.2d 936 (5th Cir. 1976). 21 The evidence offered at the hearing before the ALJ established that Hansen was a one-half owner of Oilfield Services. His job entailed obtaining contracts and performing safety inspections on behalf of Oilfield Safety. On October 30, 1976, Hansen went offshore to an Amoco Production oilfield complex to conduct safety inspections. On that trip he wore coveralls bearing the Oilfield Safety emblem. The helicopter pilot responsible for transporting Hansen to the offshore rigs logged him in as an employee of Oilfield Safety. On November 2, the date of the accident, Michael Brien, the other half-owner of Oilfield Safety, went to the hospital and admitted Hansen as an employee of Oilfield Safety. On December 6, 1976, over one month after the injury, Oilfield Safety paid Hansen $550 for salary. Finally, and perhaps most importantly, Hansen testified at the hearing that, on the date of his injury, he was doing safety inspection work for Oilfield Safety. 22 Oilfield Safety introduced evidence at the hearing to show that Hansen was not an employee. Oilfield Safety established that it did not control the details of Hansen's work nor could it order Hansen off the Amoco platform. Oilfield Safety pointed out that there was not a written employment contract with Hansen and that Hansen did not undergo a physical examination prior to starting work with Oilfield Safety. Finally, Michael Brien testified that, prior to the accident, he and Hansen agreed to and terminated Hansen's ties with Oilfield Safety. Oilfield Safety argues forcefully that Harman Unlimited was Hansen's employer. Oilfield Safety points out that Hansen admitted he began trying the obtain business for Harman Unlimited in early October 1976. The company also points to the fact that the meal and bunk registers for Amoco Production's oil rig list Hansen as an employee of Harman Unlimited. 23 There is undoubtedly conflicting evidence about the existence of an employee-employer relationship between Oilfield Safety and Clarence Hansen. This Court, however, is unable to say that the finding that an employment relationship existed in unreasonable. See Abilene Sheet Metal, Inc. v. National Labor Relations Board, 619 F.2d 332 (5th Cir. 1980). Since substantial evidence supports this finding of the ALJ and the Board, their holding is affirmed. 24