714 ruling costs roofer œ100,000

The Court of Appeal has ruled that a roofing contractor is liable to pay damages of œ102,500 for personal injuries sustained by an operative taken on as a self-employed subcontractor.

Lord Justice Henry said the case related to whether Shire Roofing Co (Oxford) owed Paul William Lane the common law or statutory duty due from an employer to his employees or whether Lane was acting as an independent contractor responsible for his own safety.

Lane had worked as a sole trader. He was described as a builder, roofer and carpenter and held a tax exemption certificate. He was engaged by Shire on a major roofing contract at Marlow, where he was paid an all-in fee and provided his own tools but no materials.

While working, he fell off a ladder and sustained serious brain damage.

Overturning an earlier High Court decision, the Appeal Court decided that two key issues in this case related to the element of control over the work exercised by the parties and where the financial risk lay. Lord Justice Henry remarked that there were perceived advantages for both Shire and Lane in their relationship being that of an independent contractor. At the same time there was a real public interest in recognising the employer-employee relationship where it existed. In this case, the ruling was that the plaintiff was an employee and that the contractor was consequently responsible for his safety.

Ben Norton, deputy director-general of the Federation of Civil Engineering Contractors, commented: 'This underlines the advice that we offer our members - that is, a 714 certificate in itself is no guarantee that the operative is self-employed.'