33 U.S.C. § 935 — Substitution of carrier for employer

Page 309 TITLE 33—NAVIGATION AND NAVIGABLE WATERS § 935 Subsec. (g). Pub. L. 98–426, § 21(d), designated existing provisions as par. (1), substituted ‘‘If the person enti- tled to compensation (or the person’s representative) enters into a settlement with a third person referred to in subsection (a) for an amount less than the compensa- tion to which the person (or the person’s representa- tive) would be entitled under this chapter, the em- ployer shall be liable for compensation as determined under subsection (f) only if written approval of the set- tlement is obtained from the employer and the employ- er’s carrier, before the settlement is executed, and by the person entitled to compensation (or the person’s representative)’’ for ‘‘If compromise with such third person is made by the person entitled to compensation or such representative of an amount less than the com- pensation to which such person or representative would be entitled to under this chapter the employer shall be liable for compensation as determined in subsection (f) only if the written approval of such compromise is ob- tained from the employer and its insurance carrier by the person entitled to compensation or such represent- ative at the time of or prior to such compromise on a form provided by the Secretary and filed in the office of the deputy commissioner having jurisdiction of such injury or death within thirty days after such com- promise is made’’, inserted at end ‘‘The approval shall be made on a form provided by the Secretary and shall be filed in the office of the deputy commissioner within thirty days after the settlement is entered into.’’, and added pars. (2) to (4). 1972—Subsecs. (b), (e)(1)(A). Pub. L. 92–576, § 15(f), (g), inserted ‘‘or Board’’ after ‘‘deputy commissioner’’. Subsec. (g). Pub. L. 92–576, § 15(h), substituted ‘‘if the written approval of such compromise is obtained from the employer and its insurance carrier by the person entitled to compensation or such representative at the time of or prior to such compromise on a form provided by the Secretary and filed in the office of the deputy commissioner having jurisdiction of such injury or death within thirty days after such compromise is made’’ for ‘‘if such compromise is made with his writ- ten approval’’. 1959—Subsec. (a). Pub. L. 86–171 inserted ‘‘or a person or persons in his employ’’ after ‘‘employer’’ and sub- stituted ‘‘he need not elect whether’’ for ‘‘he may elect, by giving notice to the deputy commissioner in such manner as the Secretary may provide,’’. Subsec. (b). Pub. L. 86–171 inserted ‘‘unless such per- son shall commence an action against such third per- son within six months after such award’’. Subsec. (c). Pub. L. 86–171 struck out ‘‘, whether or not the representative has notified the deputy commis- sioner of his election’’ after ‘‘third person’’. Subsec. (d). Pub. L. 86–171 reenacted subsec. (d) with- out change. Subsec. (e). Pub. L. 86–171 substituted ‘‘Secretary’’ for ‘‘Commission’’ in par. (1)(D) and inserted in par. (2) ‘‘less one-fifth of such excess which shall belong to the employer’’. Subsec. (f). Pub. L. 86–171 struck out ‘‘or the rep- resentative elects to recover damages against such third person and notifies the Secretary of his election and’’ before ‘‘institutes’’ and substituted ‘‘subsection (b)’’ for ‘‘section 913 of this title’’ and ‘‘Secretary’’ for ‘‘Commission’’. Subsec. (g). Pub. L. 86–171 corrected reference to ‘‘subsection (e)’’ to read ‘‘subsection (f)’’. Subsecs. (h), (i). Pub. L. 86–171 redesignated subsec. (i) as (h) and struck out former subsec. (h) that permitted the deputy commissioner to make an election for a minor or to authorize the parent or guardian to make the election. 1938—Subsec. (b). Act June 25, 1938, § 12, inserted ‘‘under an award in a compensation order filed by the deputy commissioner’’ and struck out ‘‘, whether or not the person entitled to compensation has notified the deputy commissioner of his election’’ at end of sen- tence. Subsec. (e). Act June 25, 1938, § 12, redesignated par. (1)(C) as par. (1)(C) and (D) and included in said par. (1)(D) the present value of the cost of benefits fur- nished. Subsec. (i). Act June 25, 1938, § 13, added subsec. (i). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98–426 effective Sept. 28, 1984, and applicable both with respect to claims filed after such date and to claims pending on such date, see sec- tion 28(a) of Pub. L. 98–426, set out as a note under sec- tion 901 of this title. EFFECTIVE DATE OF 1972 AMENDMENT Amendment by Pub. L. 92–576 effective 30 days after Oct. 27, 1972, see section 22 of Pub. L. 92–576, set out as a note under section 902 of this title. § 934. Compensation notice Every employer who has secured compensa- tion under the provisions of this chapter shall keep posted in a conspicuous place or places in and about his place or places of business type- written or printed notices, in accordance with a form prescribed by the Secretary, stating that such employer has secured the payment of com- pensation in accordance with the provisions of this chapter. Such notices shall contain the name and address of the carrier, if any, with whom the employer has secured payment of compensation and the date of the expiration of the policy. (Mar. 4, 1927, ch. 509, § 34, 44 Stat. 1441; Pub. L. 98–426, § 27(a)(2), Sept. 28, 1984, 98 Stat. 1654.) Editorial Notes AMENDMENTS 1984—Pub. L. 98–426 substituted ‘‘Secretary’’ for ‘‘commission’’. See Transfer of Functions note set out under section 902 of this title. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98–426 effective Sept. 28, 1984, see section 28(e)(1) of Pub. L. 98–426, set out as a note under section 901 of this title. § 935. Substitution of carrier for employer In any case where the employer is not a self- insurer, in order that the liability for compensa- tion imposed by this chapter may be most effec- tively discharged by the employer, and in order that the administration of this chapter in re- spect of such liability may be facilitated, the Secretary shall by regulation provide for the discharge, by the carrier for such employer, of such obligations and duties of the employer in respect to such liability, imposed by this chap- ter upon the employer, as it considers proper in order to effectuate the provisions of this chap- ter. For such purposes (1) notice to or knowledge of an employer of the occurrence of the injury shall be notice to or knowledge of the carrier, (2) jurisdiction of the employer by a deputy com- missioner, the Board, or the Secretary, or any court under this chapter shall be jurisdiction of the carrier, and (3) any requirement by a deputy commissioner, the Board, or the Secretary, or any court under any compensation order, find- ing, or decision shall be binding upon the carrier Page 310 TITLE 33—NAVIGATION AND NAVIGABLE WATERS § 936 in the same manner and to the same extent as upon the employer. (Mar. 4, 1927, ch. 509, § 35, 44 Stat. 1441; Pub. L. 92–576, § 15(i), Oct. 27, 1972, 86 Stat. 1262; Pub. L. 98–426, § 27(a)(2), Sept. 28, 1984, 98 Stat. 1654.) Editorial Notes AMENDMENTS 1984—Pub. L. 98–426 substituted ‘‘Secretary’’ for ‘‘commission’’. See Transfer of Functions note set out under section 902 of this title. 1972—Pub. L. 92–576 inserted reference to the Board in cls. (2) and (3). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98–426 effective Sept. 28, 1984, see section 28(e)(1) of Pub. L. 98–426, set out as a note under section 901 of this title. EFFECTIVE DATE OF 1972 AMENDMENT Amendment by Pub. L. 92–576 effective 30 days after Oct. 27, 1972, see section 22 of Pub. L. 92–576, set out as a note under section 902 of this title. § 936. Insurance policies (a) Every policy or contract of insurance issued under authority of this chapter shall con- tain (1) a provision to carry out the provisions of section 935 of this title, and (2) a provision that insolvency or bankruptcy of the employer and/or discharge therein shall not relieve the carrier from payment of compensation for disability or death sustained by an employee during the life of such policy or contract. (b) No contract or policy of insurance issued by a carrier under this chapter shall be canceled prior to the date specified in such contract or policy for its expiration until at least thirty days have elapsed after a notice of cancellation has been sent to the deputy commissioner and to the employer in accordance with the provisions of subsection (c) of section 912 of this title. (Mar. 4, 1927, ch. 509, § 36, 44 Stat. 1441.) § 937. Certificate of compliance with chapter No stevedoring firm shall be employed in any compensation district by a vessel or by hull owners until it presents to such vessel or hull owners a certificate issued by a deputy commis- sioner assigned to such district that it has com- plied with the provisions of this chapter requir- ing the securing of compensation to its employ- ees. Any person violating the provisions of this section shall be punished by a fine of not more than $1,000, or by imprisonment for not more than one year, or by both such fine and impris- onment. (Mar. 4, 1927, ch. 509, § 37, 44 Stat. 1442.) § 938. Penalties (a) Failure to secure payment of compensation Any employer required to secure the payment of compensation under this chapter who fails to secure such compensation shall be guilty of a misdemeanor and, upon conviction thereof, shall be punished by a fine of not more than $10,000, or by imprisonment for not more than one year, or by both such fine and imprisonment; and in any case where such employer is a corporation, the president, secretary, and treasurer thereof shall be also severally liable to such fine or imprison- ment as herein provided for the failure of such corporation to secure the payment of compensa- tion; and such president, secretary, and treas- urer shall be severally personally liable, jointly with such corporation, for any compensation or other benefit which may accrue under the said chapter in respect to any injury which may occur to any employee of such corporation while it shall so fail to secure the payment of com- pensation as required by section 932 of this title. (b) Avoiding payment of compensation Any employer who knowingly transfers, sells, encumbers, assigns, or in any manner disposes of, conceals, secretes, or destroys any property belonging to such employer, after one of his em- ployees has been injured within the purview of this chapter, and with intent to avoid the pay- ment of compensation under this chapter to such employee or his dependents, shall be guilty of a misdemeanor and, upon conviction thereof, shall be punished by a fine of not more than $10,000, or by imprisonment for not more than one year, or by both such fine and imprison- ment; and in any case where such employer is a corporation, the president, secretary, and treas- urer thereof shall be also severally liable to such penalty of imprisonment as well as jointly liable with such corporation for such fine. (c) Effect on other liability of employer This section shall not affect any other liabil- ity of the employer under this chapter. (Mar. 4, 1927, ch. 509, § 38, 44 Stat. 1442; June 25, 1938, ch. 685, § 14, 52 Stat. 1168; Pub. L. 98–426, § 22, Sept. 28, 1984, 98 Stat. 1653.) Editorial Notes AMENDMENTS 1984—Subsecs. (a), (b). Pub. L. 98–426 substituted ‘‘$10,000’’ for ‘‘$1,000’’ wherever appearing. 1938—Act June 25, 1938, amended section generally, designating first sentence as subsec. (a) and inserting provisions respecting liability of corporate officers, adding subsec. (b), and designating second sentence as subsec. (c). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98–426 effective Sept. 28, 1984, see section 28(e)(1) of Pub. L. 98–426, set out as a note under section 901 of this title. § 939. Administration by Secretary (a) Prescribing rules and regulations; appointing and fixing compensation of employees; mak- ing expenditures Except as otherwise specifically provided, the Secretary shall administer the provisions of this chapter, and for such purpose the Secretary is authorized (1) to make such rules and regula- tions; (2) to appoint and fix the compensation of such temporary technical assistants and med- ical advisers, and, subject to the provisions of the civil service laws, to appoint, and, in accord- ance with chapter 51 and subchapter III of chap-