Question

legal liability for an independent contractor vs. an employee.

Answer 1

Dear Student,

Please find below answer to your question

Introduction

In law, liable means "responsible or answerable in law; legally obligated." Legal liability concerns both civil law and criminal law and can arise from various areas of law, such as contracts, torts, taxes, or fines given by government agencies. The claimant is the one who seeks to establish, or prove, liability

legal liability for an independent contractor vs. an employee.

As an independent contractor, you'll usually make more money than if you were an employee. Companies are willing to pay more for independent contractors because they don't have the enter into expensive, long-term commitments or pay health benefits, unemployment compensation, Social Security taxes, and Medicare taxes

• Identifying a party as employee or independent contractor is extremely important to an employer when it comes to the concept of vicarious liability.
• Vicarious liability is a legal theory wherein one is deemed responsible for the acts of a third party.
• Employers are vicariously liable for the negligent acts or omissions committed by their employees in the course and scope of their employment.
• An injured party can then seek to recover for their damages and losses from the employer based on an employee’s act.

Employee Liability

The clause specifies that punitive damages coverage will be regulated by the state law that favors insuring against punitive damages. For example, take a company that has business operations in many states and a claim arises in the state where punitive damages coverage is excluded. If the company was established in a state that supports punitive damages coverage, then the company can get coverage under its employers' liability insurance policy

If you like the answer, Kindly up vote

Thank You !!