(a)(1) This section applies to an individual who is an owner operator of:
(i) a Class F (tractor) vehicle, as described in § 13-923 of the Transportation Article; or
(ii) except as provided in paragraph (2) of this subsection, a Class E (truck) vehicle, as described in § 13-916 of the Transportation Article, including a Class E (truck) vehicle described in § 13-919 of the Transportation Article.
(2) This section does not apply to the owner operator of a vehicle registered as a Class T vehicle under § 13-920 of the Transportation Article.
Permanent or trip leasing agreements
(b) An individual who is an owner operator is not a covered employee if:
(1) the individual and motor carrier make a written agreement for permanent or trip leasing;
(2) under the agreement:
(i) there is no intent to create an employer-employee relationship; and
(ii) the individual is paid rental compensation; and
(3) for federal tax purposes, the individual qualifies as an independent contractor.
Principal contractor; subcontractor
(c)(1) A motor carrier who enters into an agreement under subsection (b) of this section is considered a principal contractor under § 9-508 of this title.
(2) An individual who is an owner operator and enters into an agreement under subsection (b) of this section is:
(i) considered a subcontractor under § 9-508 of this title;
(ii) for purposes of being a subcontractor, not considered a covered employee of the entity that the individual operator owns; and
(iii) not entitled to compensation from a principal contractor under § 9-508 of this title.
Proof of insurance
(d) An individual who is an owner operator and enters into a written agreement under subsection (b) of this section shall provide proof of insurance for any covered employee of the individual as may be required by this title.
Credits
Added by Acts 1991, c. 8, § 2, eff. Oct. 1, 1991. Amended by Acts 1995, c. 390, § 1, eff. Oct. 1, 1995; Acts 1996, c. 113, § 1, eff. Oct. 1, 1996.
Current through legislation effective through May 9, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
