SAIF Corporation v. Matt Jenkins Contracting

When a temporary service provider leases a worker to an employer, the temporary service provider becomes a worker leasing company responsible for providing workers' compensation coverage under ORS 656.850.

SAIF Corporation sought judicial review of an administrative law judge (ALJ) finding that SAIF's insured, Employment Services Incorporated (ESI), a temporary service provider, was responsible for covering an injury incurred by a worker while he was employed by Matt Jenkins Contracting (Jenkins). Jenkins also cross-petitioned arguing that the ALJ erred in assessing attorney fees. The ALJ found that ESI was responsible for coverage of the injury because, before the worker was injured, ESI provided Jenkins with a leased worker, making ESI a worker leasing company rather than a temporary service provider, and therefore responsible for providing workers' compensation coverage for all of Jenkins's leased and subject workers. The Court of Appeals agreed with the ALJ that ESI was a worker leasing company responsible for covering the injury. The Court also found that Jenkins was not entitled to attorney fees because Jenkins was unable to demonstrate that it contracted with ESI and SAIF for SAIF to file a guaranty contract with Department of Consumer and Business Services on his behalf. On petition affirmed. On cross-petition, award of attorney fees against Jenkins and on behalf of injured worker reversed; otherwise affirmed.