Statutory bar on civil suits (workers’ compensation)

A buyer meets the term when asking whether a past workplace injury can become a lawsuit against the business. Ontario’s Act, s. 26(2), says entitlement to benefits under the insurance plan is in lieu of all rights of action that a worker, a worker’s survivor or a worker’s spouse, child or dependant has or may have against the worker’s employer or an executive officer of the employer for an accident or occupational disease while in the employment of the employer. Claims on a sale are covered in What happens to existing WSIB claims when a business is sold?.

Ontario

Under s. 28(1), a worker employed by a Schedule 1 employer, the worker’s survivors and a Schedule 1 employer are not entitled to sue any Schedule 1 employer, or a director, executive officer or worker of one, over the injury or disease; s. 28(2) bars a Schedule 2 employer’s worker from suing that employer or its directors, executive officers or workers. Where workers of one or more employers were involved, s. 28(3) applies the s. 28(1) bar only if those workers were acting in the course of their employment, and under s. 28(4), ss. 28(1) and (2) do not apply if an employer other than the worker’s employer supplied a motor vehicle, machinery or equipment on a purchase or rental basis without also supplying workers to operate it.

British Columbia

Under s. 127(1) of the Workers Compensation Act, subject to s. 127(2), the compensation provisions are in place of rights of action of a worker, or a dependant or family member, against the worker’s employer, an employer within the scope of the compensation provisions or any other worker, for an injury, disablement or death arising out of and in the course of employment, and no action lies. Section 127(2) applies this only if the conduct arose out of and in the course of employment within the scope of the compensation provisions. Under s. 128(1), a worker or dependant may claim compensation or sue where an action lies against a person other than an employer or worker within the scope. See workers’ compensation assessment.