Dempsey v. Bagley, 2016 ABQB 124 - Lessors Of Vehicles Still Vulnerable Under Workers Compensation Act

Dempsey v. Bagley 2016 ABQB 124 -
Lessors of Vehicles Still Vulnerable Under Workers Compensation Act

There were two motor vehicle accidents in the summer of 2006. The plaintiffs and the defendants involved in the accidents were employees of Brinks Canada Limited ("Brinks"). The vehicles in question were owned by PHH Management Service ("PHH") and leased to Brinks for economic/tax advantages. The lease agreement between PHH and Brinks contained an indemnity provision where Brinks indemnified PHH from any claims arising out of the use or operation of the vehicles covered under the lease (the "Indemnity").

Brinks and PHH were both owners of the vehicles as defined by the Traffic Safety Act and employers as defined by the Workers Compensation Act (the "WCA"). Brinks and PHH both paid premiums to the WCB. The defendants and plaintiffs were employed by Brinks at the time of the accidents and were therefore workers under the WCA. The plaintiffs received benefits from