Suing Over a Work Injury in North Carolina
When North Carolina law lets an injured worker sue the employer, suing a third party such as a driver or equipment maker, and what to do if the employer has no workers' comp.
Short answer: Generally no. If the employee and employer are subject to and have complied with the Workers' Compensation Act, the compensation it provides excludes all other rights and remedies of the employee and the employee's family against the employer for the injury or death. N.C. Gen. Stat. §§ 97-10.1, 97-94
| Suing your employer | Generally no. If the employee and employer are subject to and have complied with the Workers' Compensation Act, the compensation it provides excludes all other rights and remedies of the employee and the employee's family against the employer for the injury or death. Exception: an employer that fails to secure required coverage is liable to the injured employee, at the employee's election, either for compensation under the Act or in a lawsuit at law. |
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| Suing someone other than your employer | Yes. A worker's right to compensation is not affected when a third party is liable for the injury. The employee has the exclusive right to sue the third party if proceedings are started within 12 months after the injury; after that, if the employer has admitted liability in writing, either the employee or the employer may proceed, with rights reverting to the employee 60 days before the limitations period ends. The recovery is paid out in order: court costs and litigation expenses, the attorney fee (up to one third), reimbursement of the employer's compensation and medical payments, then the rest to the employee; a superior court judge may adjust the amount of the employer's lien. Source: N.C. Gen. Stat. § 97-10.2 |
| If your employer has no workers' comp | An employer that refuses or neglects to secure workers' compensation is liable to the injured employee, at the employee's choice, for compensation under the Act or for damages in a lawsuit. The Industrial Commission can assess a penalty of $1 per employee per day (minimum $20, maximum $100 per day) or an alternative penalty based on the cost of coverage plus 10%, and the employee's compensation is paid before penalties. Willful failure to insure is a Class H felony and neglect is a Class 1 misdemeanor, and any person with authority to bring the employer into compliance can face those charges and a civil penalty of up to 100% of the compensation due. A state uninsured-employer benefit fund was not identified in the section read. Source: N.C. Gen. Stat. § 97-94 |
Where to get help in North Carolina
More North Carolina workers' compensation
- Filing a Workers' Comp Claim in North Carolina
- How Much Workers' Comp Pays in North Carolina
- Workers' Comp Settlements in North Carolina
- Retaliation for Filing Workers' Comp in North Carolina
- Appealing a Denied Workers' Comp Claim in North Carolina
- All North Carolina workers' compensation rules
FAQ
Can you sue your employer for a work injury in North Carolina?
Generally no. If the employee and employer are subject to and have complied with the Workers' Compensation Act, the compensation it provides excludes all other rights and remedies of the employee and the employee's family against the employer for the injury or death. Exception: an employer that fails to secure required coverage is liable to the injured employee, at the employee's election, either for compensation under the Act or in a lawsuit at law.
Can you sue a third party for a work injury in North Carolina?
Yes. A worker's right to compensation is not affected when a third party is liable for the injury. The employee has the exclusive right to sue the third party if proceedings are started within 12 months after the injury; after that, if the employer has admitted liability in writing, either the employee or the employer may proceed, with rights reverting to the employee 60 days before the limitations period ends. The recovery is paid out in order: court costs and litigation expenses, the attorney fee (up to one third), reimbursement of the employer's compensation and medical payments, then the rest to the employee; a superior court judge may adjust the amount of the employer's lien.
What if my employer doesn't have workers' comp insurance in North Carolina?
An employer that refuses or neglects to secure workers' compensation is liable to the injured employee, at the employee's choice, for compensation under the Act or for damages in a lawsuit. The Industrial Commission can assess a penalty of $1 per employee per day (minimum $20, maximum $100 per day) or an alternative penalty based on the cost of coverage plus 10%, and the employee's compensation is paid before penalties. Willful failure to insure is a Class H felony and neglect is a Class 1 misdemeanor, and any person with authority to bring the employer into compliance can face those charges and a civil penalty of up to 100% of the compensation due.
General legal information, not legal advice. Laws change and local rules can differ; check the linked official source or talk to a lawyer about your situation.