Thomas v. Hawaii

In this factually complex workers compensation case, claimant-appellant Mark Crompton appeals the decision and order of the Labor and Industrial Relations Appeals Board (LIRAB) granting summary judgment in favor of employer-appellee Tern Corporation (Tern) and its insurance carrier, appellee First Insurance Company of Hawaii, Ltd. (First Insurance). On appeal, Crompton argues that the LIRAB erred in concluding that: (1) employer-appellee delinquent Rib-Roof Industries, Inc. (Rib-Roof), a subcontractor of Tern, was Cromptons "statutory employer" under Hawaiis workers compensation scheme and was, therefore, secondarily liable to pay Cromptons workers compensation benefits after employer-appellee delinquent K.A. Construction Company (KAC), Cromptons direct employer, defaulted on payment of Cromptons workers compensation benefits for lack of insurance; and (2) the settlement and release agreement in a tort action between Crompton and Rib-Roof did not release Tern and First Insurance from liability for Hawaii workers compensation benefits. For the following reasons, we affirm.