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Case - Essay Example

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Upon the completion of his studies, he commenced his own business that was involved in providing supplies to Moore Limited and all the payments were made directly…
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Finance and Accounting Case Facts The claimant happens to be the son to William Moore and since when he was young he worked for the family business. Upon the completion of his studies, he commenced his own business that was involved in providing supplies to Moore Limited and all the payments were made directly to the company and not the individual. This was the standard business procedure which was maintained between Moore Tires and Morecedes Tire. For a long time, the two businesses operated independently maintaining business relationships with all transactions getting settled between the businesses and not involving the owners.
Moore Tires offered Jonathan, who was an employee and owner of Morecedes Tires an employment opportunity that he agreed to. While conducting his routine responsibilities within the new job, the claimant was an employee of Moore Tires and not Morecedes tires, where he had previously worked. While undertaking his duties there, the claimant was injured and sustained significant injuries to his body. As Jonathan was unhooking a trailer, a jack handle from the trailer struck him. He suffered from various broken bones on his face as well as a detached retina. Despite having sustained injuries while undertaking his routine activities, Jonathan was not compensated by Moore tires for these injuries.
Issue
To determine the status of employment of the claimant to the organisation (Moore Tires), during the time when he sustained injuries, and whether he was undertaking the job that he was supposed to be doing within the company.
Holding
The claims presented by Jonathan cannot be paid unless it can be clearly ascertained that he was an employee of Moore Tires
Reasoning
The kind of claim that Jonathan is seeking can only be made to individuals who are employees of the company and this can be proved. The form of agreement that the claimant had with Moore Tires has not been clearly defined as a formal agreement or an informal agreement. As the proprietor of Morecedes Tires, the claimant had been undertaking other duties assigned by Moore Tires and was paid through Morecedes, which was an independent company. The activities that he was undertaking when he sustained the injuries could similarly be on the same capacity and this has not been defined. The employment contract must be produced to show evidence that the claimant was actually an employee of Moore Tires and not an independent contractor.
There is also need to determine the employer’s right of control in the work relationship that existed between the claimant and the employer (Miller, 2012). If the control of the employment terms and condition of work lies within the employer, then the claims that are being made by Jonathan must be paid as he worked under the direction of the employer. If this cannot be proved within the context of the case it would mean that the claimant worked under his own control and thus would be considered an independent contractor and not an employee. As such, the contractor would be responsible for his own safety and any injuries sustained cannot be claimed as the responsibility of the employer.
References
Miller, R. (2012). Cengage Advantage Books: Fundamentals of Business Law: Summarized Cases (9th ed.). New York: Cengage Learning.
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