Third-Party Liability in Workers’ Compensation
What Is Third-Party Liability in Workers’ Compensation?
Workplace injuries can have devastating consequences, both physically and financially. Most employees turn to workers’ compensation for immediate support—but this system isn’t always the end of the story. In many cases, another party who is not your employer may share legal Aresponsibility for your injury.
Third-party liability refers to the ability to file a personal injury claim against someone outside your employer who contributed to your accident. This includes negligent subcontractors, reckless drivers, manufacturers of defective machinery, and unsafe property owners. At The Law Office of Miller & Gaudio PC, we help injured workers navigate these complex claims, ensuring they receive the full compensation they deserve.
Workers’ Compensation: What It Covers—and What It Doesn’t
Limited Scope of Benefits
Workers’ compensation provides no-fault benefits, meaning you don’t need to prove your employer did anything wrong. Benefits typically include coverage for medical expenses, partial lost wages, rehabilitation, and permanent disability.
Excluded Damages
However, workers’ comp doesn’t compensate you for pain and suffering, emotional distress, or punitive damages. It also does not provide full wage replacement for long-term loss of earning capacity. If a third party played a role in your injury, a separate claim may help you recover these additional losses.
When Is a Third Party Liable?
Construction Site Hazards
On multi-employer job sites—particularly in construction—it’s common for multiple parties to be working simultaneously. If a subcontractor, equipment provider, or general contractor acts negligently, and their actions lead to your injury, they may be legally liable.
Work-Related Vehicle Accidents
If you’re injured in a motor vehicle crash while performing job-related tasks and the at-fault driver is not your co-worker, you can pursue a third-party lawsuit against that driver or their employer.
Product or Equipment Malfunctions
Defective or poorly maintained equipment often leads to serious injuries. If a product malfunctions due to a design flaw, manufacturing defect, or lack of warning labels, you may have grounds for a product liability claim.
Filing Dual Claims: Workers’ Comp and Personal Injury
The Legal Advantage of Filing Both
Filing both a workers’ compensation claim and a third-party lawsuit allows you to maximize your financial recovery. While your comp claim provides essential support, a personal injury suit enables you to recover for pain and suffering, mental anguish, full wage loss, and other damages workers’ comp cannot cover.
Coordinating Claims Strategically
At The Law Office of Miller & Gaudio PC, we ensure both claims proceed in harmony. We protect your right to workers’ comp benefits while aggressively pursuing the third-party lawsuit, avoiding legal pitfalls and maximizing your net compensation.
The Claims Process: How to Pursue a Third-Party Case
Step One: Immediate Injury Reporting
You should report the injury to your employer and their insurance provider right away. Prompt reporting establishes your workers’ comp claim and builds a foundation for further legal action.
Step Two: Evidence Collection and Investigation
We move quickly to preserve evidence, identify witnesses, and determine whether any third party may be responsible. Early investigation is crucial in construction site accidents, auto collisions, and cases involving faulty machinery.
Step Three: Legal Filing and Case Development
We file the third-party personal injury claim within the statute of limitations, typically two years from the date of injury. We build your case using expert witnesses, medical records, vocational analysis, and financial projections.
Subrogation: When Employers Seek Reimbursement
What Is Subrogation?
Subrogation occurs when your employer or their workers’ comp insurer seeks reimbursement from your third-party settlement. They may claim back what they paid in medical expenses or disability benefits.
How We Minimize Its Impact
This reimbursement can dramatically reduce your final payout unless it’s carefully managed. At The Law Office of Miller & Gaudio PC, we actively negotiate these liens, often reducing or eliminating them. We argue for lien reductions based on legal complexity, shared fault, or fairness considerations—ensuring more of your settlement stays in your hands.
Our Legal Strategy: Getting You Full Compensation
Comprehensive Case Building
We take a full-spectrum approach to your injury case. We assess physical harm, psychological trauma, financial hardship, and future medical needs. Our team works with accident reconstruction specialists, engineers, and medical professionals to prove liability and damages.
Negotiation and Trial Readiness
We prepare every case as if it will go to trial. This gives us leverage in settlement negotiations and positions your case strongly in front of a jury if needed. Insurance companies know our reputation—and often prefer to settle favorably rather than risk court.
How The Law Office of Miller & Gaudio PC Helps You
Personalized Case Evaluation
Every client starts with a free, confidential consultation. We assess whether your case qualifies for third-party litigation and workers’ comp coordination. If we believe you have a strong claim, we explain your options and develop a tailored legal strategy.
Full-Service Representation
We handle everything—filing paperwork, negotiating with insurers, dealing with subrogation claims, coordinating medical care, and preparing your case for trial. You stay informed every step of the way, with direct access to your attorney.
Contingency-Based Fees
You never pay upfront legal fees. We only get paid if we recover compensation for you. This ensures your interests are fully aligned with ours—and gives you the confidence that we’re fighting hard on your behalf.
Frequently Asked Questions (FAQ)
Can I file a lawsuit against someone other than my employer if I’m already receiving workers’ compensation?
Yes, you can. If a third party—such as a contractor, driver, property owner, or product manufacturer—contributed to your injury, you can pursue a personal injury lawsuit against them. This claim is entirely separate from your workers’ compensation benefits and can provide additional compensation for damages that workers’ comp does not cover.
What kind of compensation can I receive from a third-party lawsuit that I can’t get through workers’ comp?
Workers’ compensation is limited to covering medical expenses, a portion of lost wages, and specific disability benefits. It does not pay for pain and suffering, emotional distress, full lost income, or loss of enjoyment of life. A third-party lawsuit can help you recover those non-economic and long-term damages, as well as punitive damages in extreme cases of negligence.
How do I know if someone other than my employer is responsible for my injury?
Determining third-party liability requires a thorough investigation. If your injury occurred on a job site with multiple contractors, or involved machinery, a vehicle accident, or unsafe premises, there’s a good chance someone outside your employer may have been involved. At The Law Office of Miller & Gaudio PC, we investigate the circumstances of your injury to identify all potentially liable parties.
Can I still get workers’ compensation if I file a third-party lawsuit?
Yes. Filing a third-party claim does not disqualify you from receiving workers’ compensation benefits. In fact, you are encouraged to file both types of claims if applicable. They serve different legal purposes and can be pursued at the same time.
Will I have to repay workers’ compensation out of my third-party settlement?
Possibly. Your employer or their insurance carrier may assert a right to reimbursement through a legal principle known as subrogation. However, this is negotiable. At The Law Office of Miller & Gaudio PC, we work to reduce the amount you must repay, arguing for fairness and equity so you keep as much of your settlement as possible.
Contact The Law Office of Miller & Gaudio PC Today
If your workplace injury was caused by someone other than your employer, you may be eligible for far more than what workers’ comp provides. At The Law Office of Miller & Gaudio PC, we pursue every possible avenue to secure your financial future. Our team understands the legal nuances of third-party liability, and we’re committed to helping injured workers rebuild their lives with dignity and security.
Contact us today for a free consultation. Let us explain your rights, evaluate your case, and fight for the justice and compensation you deserve.
