Homeowner’s Association & Property Manager Gets Sued Because of Unlicensed Contractor

From May it Please the Court: 

What happens when you hire an unlicensed contractor who gets hurt on the job?  You get to pay for injuries to the contractor’s employees.  Essentially, you become the insurance company.

Take the case of Freddy Aguilera, who was hired at $65.00 per day to install rain gutters.  Unfortunately, one of the gutters held by Mr. Aguilera came in contact with a high voltage line while he was on a ladder.  Not surprising, Mr. Aguilera fell from the ladder to the ground and was injured.

Here’s where it gets a bit tricky.

Mr. Aguilera was employed by Mark Hruby doing business as Rube’s Rain Gutter Service.  Rube’s was in turn hired by Pegasus Properties, a condominium manager for Montana Villas Homeowners Association.  The HOA elected to install the much-needed rain gutters recommended by Pegasus, and instructed Pegasus to get the job done.

Unfortunately for Pegasus and the HOA, Rube’s did not carry worker’s compensation insurance, and was not licensed by the California State Contractor’s License Board.  So, when Mr. Aguilera sued Rube’s for his injuries, he also sued Pegasus and the HOA.

In this court opinion, the court reasoned that Mr. Aguilera was employed not only by Rube’s, but for the purposes of the lacking worker’s compensation insurance, also by Pegasus and the Montana Villas Homeowners Association because Rube’s (the employer) was illegally uninsured.

Although the case doesn’t identify the cost of Mr. Aguilera’s injuries, it does note that the rain gutter contract was a mere $1050.00.



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