HD , ^1 78/G UC-NRLF 9-- DOGUN , OF- GIFT OF OOCUMEWTS DEPT. orrr jAW 14 1514 NEW YORK STATE DEPARTMENT OF LABOR Bureau of statistics and Information THE Workmen's Compensation Law OF NEW YORK STATE 1913 PRINTED IN ADVANCE FROM THE THIRTEENTH ANNUAL REPORT OF THE COMMISSIONER OF LABOR JAMES M. LYNCH COMMISSIONER ALBANY J. B. LYON COMPANY. PRINTERS 1913 NEW YORK STATE DEPARTMENT OF LABOR Bureau of statistics and Information THE Workmen's C^ompensation Law OF NEW YORK STATE 1913 PRINTED IN ADVANCE FROM THE THIRTEENTH ANNUAL REPORT OF THE COMMISSIONER OF LABOR JAMES M. LYNCH COMMISSIONER ALBANY J. B. LYON COMPANY. PRINTERS 191 3 \b The Workmen's Compensation Law printed herewith was passed at the extraordinary session in December after the Department's general compilation of labor laws was printed. The Compensation Law was signed by the Governor on December IG. It takes effect for administrative purposes on January 1, 1914, but payment of compensation under it goes into effect on July 1, 1914. This Compensation Law repeals Article 14-a of the Labor Law which was the compensation act of 1910 afterwards held unconstitutional by the Court of Appeals (see p. 110* of the general compilation of labor laws). [238] Workmen's Compensatton L^w. * 239 THE WORKMEN'S COMPENSATION LAW. Chapter 816 of the Laws of 1913, Constituting Chapter Sixty-Seven OF THE Consolidated Laws. WORKMEN'S COMPENSATION LAW. Article 1. Short title, application, definitions (§§ 1-3). 2. Compensation t§§ 10-34). :>. Security for compensation (§§ 50-54). 4. State workmen's compensation commission (§§ 60—76). 5. State insurance fund (§§ 00-105). 6. Miscellaneous provisions (§§ 110-119). 7. Laws repealed; when to take effect (§§ 130-131). ARTICLE 1. Sliort Title; Application; Definitions. Section 1. Short title. 2. Application. 3. Definitions. § 1. Short title. — This chapter shall be known as the "Workmen's Compen- sation Law."' § 2. Application. — Compensation provided for in this chapter shall be payable for injuries sustained or death incurred by employees engaged in the following hazardous employments: Group 1. The operation, including construction and repair, of railways operated by steam, electric or other motive power, street railways, and incline railways, but not their construction when constructed by any person other than the company which owns or operates the railway, including work of express, sleeping, parlor and dining car employees on railway trains. Group 2. Construction and operation of raihvajs not included in group one. Group 3. The operation, including construction and repair, of car shops, machine shops, steam and power plants, and other works for the purposes of any such railway, or used or to be used in connection with it when operated, constructed or repaired by the company which owns or operates the railway. Group 4. The operation, including construction and repair, of car shops, machine shops, steam and power plants, not included in group three. Group 5. The operation, including construction and repair, of telephone lines and wires for the purposes of the business of a telephone company, or used or to be used in connection with its business, when constructed or operated by the company. Group 6. The operation, including construction and repair, of telegraph lines and wires for the purposes of the business of a telegrapii company, or used or to be used in connection with its business, when constructed or operated by the company. Group 7. Construction of telegrapii and telephone lines not included in groups five and six. *^f\l^4 Cki^ 240 * Eepobt of ttie Commiss.ioxer of Labor, 1913. Group S. The operation, within or without the state, including repair, of vessels other than vessels of other states or countries used in interstate or foreign commerce, when operated or repaired hy the company. Group 9. Shipbuilding, including construction and repair in a ship-yard or elsewhere, not included in group eight. Group 10. Longshore work, including the loading or unloading of cargoes or parts of cargoes of grain, coal, ore, freight, general merchandise, lumber or other products or materials, or moving or handling the same on any dock, platform or place, or in any warehouse or other place of storage. Group 11. Dredging, subaqueous or caisson construction, and pile driving. Group 12. Construction, installation or operation of electric light and elec- tric power lines, dynamos, or appliances, and power transmission lines. Group 1.3. Paving; sewer and subway construction, work under compressed air, excavation, tunneling and shaft sinking, well digging, laying and repair of underground pipes, cable and wires, not included in other groups. Group 14. Lumbering; logging, river-driving, rafting, booming, saw mills, shingle mills, lath mills; manufacture of veneer and of excelsior; manufacture of staves, spokes, or headings. Group 15. Pulp and paper mills. Group 16. Manufacture of furniture, interior woodwork, organs, pianos, piano actions, canoes, small boats, coffins, wicker and rattan ware; upholster- ing; manufacture of mattresses or bed springs. Group 17. Planing mills, sash and door factories, manufacture of wooden and corrugated paper boxes, cheese boxes, mouldings, window and door screens, ■window shades, carpet sweepers, wooden toys, articles and wares or baskets. Group 18. Mining; reduction of ores and smelting; preparation of metals or minerals. Group 19. Quarries; sand, shale, clay or gravel pits, lime kilns; manu- facture of brick, tile, terra-cotta, fire-proofing, or paving blocks, manufacture of calcium carbide, cement, asphalt or paving material. Group 20. Manufacture of glass, glass products, glassware, porcelain or pottery. Group 21. Iron, steel or metal foundries; rolling mills; manufacture of castings, forgings, heavy engines, locomotives, machinery, safes, anchors, cables, rails, shafting, wires, tubing, pipes, sheet metal, boilers, furnaces, stoves, structural steel, iron or metal. Group 22. Operation and repair of stationary engines and boilers, not included in other groups. Group 23. Manufacture of small castings or forgings, metal wares, instru- ments, utensils and articles, hardware, nails, wire goods, screens, bolts, metal beds, sanitary, Avater, gas or electric fixtures, light machines, typewriters, cash registers, adding machines, carriage mountings, bicycles, metal toys, tools, cutlery, instruments, photogr^iphic cameras and supplies, sheet metal products, buttons. Group 24. Manufacture of agricultural implements, threshing machines, traction engines, wagons, carriages, sleighs, vehicles, automobiles, motor trucks, toy wagons, sleighs or baby carriages. Group 25. Manufacture of explosives and dangerous chemicals, corrosive acids or salts, ammonia, gasoline, petroleum, petroleum products, celluloid, gas, charcoal, artificial ice, gun powder or ammunition. Workmen's Compensation Law. * 241 Group 26. Manufacture of paint, color, varnish, oil, japans, turpentine, printing ink, printers' rollers, tar, tarred, pitched or asphalted paper. Group 27. Distilleries, breweries; manufacture of spirituous or malt liquors, alcohol, wine, mineral water or soda waters. Group 28. Manufacture of drugs and chemicals, not specified in group twenty-five, medicines, dyes, extracts, pharmaceutical or toilet preparations, soaps, candles, perfumes, non-corrosive acids or chemical preparations, fer- tilizers, including garbage disposal plants; shoe blacking or polish. Group 29. Milling; manufacture of cereals or cattle foods, warehousing; storage ; operation of grain elevators. Group 30. Packing bouses, abattoirs, manufacture or preparation of meats or meat products or glue. Group 31. Tanneries. Group 32. Manufacture of leather goods and products, belting, saddlery, harness, trunks, valises, boots, shoes, gloves, umbrellas, rubber goods, rubber shoes, tubing, tires or hose. Group 33. Canning or preparation of fruit, vegetables, fish or food stuflfs; pickle factories and sugar refineries. Group 34. Bakeries, including manufacture of crackers and biscuits, manu- facture of confectionery, spices or condiments. Group 35. Manufacture of tobacco, cigars, cigarettes or tobacco products. Group 36. Manufacture of cordage, ropes, fibre, brooms or brushes; manilla or hemp products. Group 37. Flax mills; manufacture of textiles or fabrics, spinning, weaving and knitting manufactories; manufacture of yarn, thread, hosiery, cloth, blankets, carpets, canvas, bags, shoddy or felt. Group 38. Manufacture of men's or women's clothing, white wear, shirts, collars, corsets, hats, caps, furs or robes. Group 39. Power laundries; dyeing, cleaning or bleaching. Group 40. Printing, photo-engraving, stereotyping, electrotyping, lithograph- ing, embossing; manufacture of stationery, paper, cardboard boxes, bags, or wall-paper; and book -binding. Group 41. The operation, otherwise than on tracks, on streets, highways, or elsewhere of cars, trucks, wagons or other vehicles, and rollers and engines, propelled by steam, gas, gasoline, electric, mechanical or other power or drawn by horses or mules. Group 42. Stone cutting or dressing; marble works; manufacture of arti- ficial stone; steel building and bridge construction; installation of elevators, fire escapes, boilers, engines or heavy machinery; brick-laying, tile-laying, mason work, stone-setting, concrete v/ork, plastering; and manufacture of concrete blocks; structural carpentry; painting, decorating or renovating; sheet metal work; roofing; construction, repair and demolition of buildings and bridges; plumbing, sanitary or heating engineering; installation and covering of pipes or boilers. § 3. Definitions. — As used in this chapter, 1. " Plazardous employment" means a work or occupation described in section two of this chapter. 2. " Commission " means the state workmen's comjiensation commission, as constituted by this chapter. 3. " Employer," except when otherwise expressly stated, means a person, partnership, association, corporation, and the legal representatives of a 242 * Eepoet of the Commissionee of Labok, 1913. deceased employer, or the receiver or trustee of a person, partnership, asso- ciation or cori)oration, employing workmen in hazardous employments; but does not include the state or a municipal corporation or other political sub- division thereof. 4. " limployee " means a person w ho is engaged in a hazardous employment in the service of an employer carrying on or conducting the same upon the premises or at the plant, or in the course of his employment away from the plant of his employer; and shall not include farm laborers or domestic servants. 5. " Employment " includes employment only in a trade, business or occupa- tion carried on by the employer for pecuniary gain. 6. " Compensation " means the money allowance payable to an employee or to his dependents as provided for in this chapter, and includes funeral benefits provided therein. 7. "Injury" and "personal injury" mean only accidental injuries arising out of and in the course of employment and such disease or infection as may naturally and unavoidably result therefrom. 8. " Death " wlien mentioned as a basis for the right to compensation means only death resulting from such injury. 9. "Wages" means the money rate at which the service rendered is recom- pensed under the contract of hiring in force at the time of the accident, including the reasonable value of board, rent, housing, lodging or similar advantage received from the employer. 10. "State fund" means the state insurance fund provided for in article five of this chapter. 11. "Child" shall include a posthumous child and a child legally adopted prior to the injury of the employee. 12. "Insurance carrier" shall include the state fund, stock corporations or mutual associations with which employers have insured, and employers per- mitted to pay compensation directly under the provisions of subdivision three of section fifty. ARTICLE 2. Compensation. Section 10. Liability for compensation. 11. Alternative remedy. 12. Compensation not allowed for first two weeks. 1?.. Treatment and care of injured emplojees. 14. Weekly wages basis of compensation, 15. Schedule in case of disability. 16. Death benefits. 17. Aliens. IS. Notice of injury. 19. Medical examination. 20. Determination of claims for compensation. 21. Presumptions. 22. Modification of award. 23. Appeals from tlie commission. 24. Costs and foes. 23. Compensation, how payable. 26. Enforcement of payment in default. 27. Depositing future payments. 28. Limitation of riglit to compensation. Workmen's Compensation Law. * 243 Section 29, Subrogation to remedies of employee. 30. Revenues or benefits from other sources not to affect compensation. 31. Agreement for contribution by employee void. 32. Waiver agreements void. 33. .\ssignments ; exemptions. 34. Preferences. § 10. Liability for compensation. — Every employer subject to the provisions of this chapter shall pay or provide as required by this chapter compensation according to the schedules of this article for the disability or death of his employee resulting from an accidental personal injury sustained by the employee arising out of and in the course of his employment, without regard to fault as a cause of such injury, except where the injury is occasioned by the Avillful intention of the injured employee to bring about the injury or death of himself or of another, or where the injury results solely from the intoxication of the injured employee while on duty. Where the injury is occasioned by the willful intention of the injured employee to bring about the injury or death of himself or of another, or where the injury results solely from the intoxication of the injured employee while on duty, neitlier the injured employee nor any dependent of such employee shall receive compensa- tion under this chapter. § 11. Alternative remedy. — The liability prescribed by the last preceding section shall be exclusive, except that if an employer fail to secure the paj^- ment of compensation for his injured employees and their dependents as provided in section fifty of this chapter, an injured employee, or his legal representative in case death results from the injury, may, at his option, elect to claim compensation under this chapter, or to maintain an action in the courts for damages on account of such injury; and in such an action the defendant may not plead as a defense that the injury was caused by the negligence of a fellow servant or that the employee assumed the risk of his employment, or that the injury was due to the contributory negligence of the employee. § 12. Compensation not allowed for first two weeks. — No compensation shall be allowed for the first fourteen days of disability, except the benefits provided for in section thirteen of this chapter. § 13. Treatment and care of injured employees. — The employer shall promptly provide for an injured employee such medical, surgical or other attendance or treatment, nurse and hospital service, medicines, crutches and apparatus as may be required or be requested by the employee, during sixty days after the injury. If the employer fail to provide the same, the injured employee may do so at the expense of the employer. The employee shall not be entitled to recover any amount expended by him for such treatment or services unless he shall have requested the employer to furnish the same and the employer shall have refused or neglected to do so. All fees and other charges for such treatment and services shall be subject to regulation by the commission as provided in section twenty -four of this chapter, and shall bo limited to such charges as prevail in the same community for similar treatmonrf; of injured persons of a like standard of living. § 14. Weekly wages basis of compensation. — Except as otherwise provided in this chapter, the average weekly wages of the injured employee at the time 244* Report of the Commissioner of Lvbor, 1913. of tho injury shall be taken as tlie basis tipon which to compute compensation or death benefits, and shall be determined as follows: 1. If the injured employee shall have worked in the employment in which he was working at the time of the accident, whether for the same employer or not, during substantially the whole of the year immediately preceding his injury, his average annual earnings shall consist of three hundred times the average daily wage or salary which he shall have earned in such employment during the days when so employed ; 2. If the injured employee shall not have worked in such employment during substantially the whole of such year, his average annual earnings shall consist of three hundred times the average daily wage or salary which an employee of the same class working substantially the whole of such immediately preceding year in the same or in a similar employment in the same or a neighboring place shall have earned in such employment during the days when so employed; 3. If either of the foregoing methods of arriving at the annual average earn- ings of an injured employee cannot reasonably and fairly be applied, such annual earnings shall be such sum as, having regard to the previous earnings of the injured employee and of other employees of the same or most similar class, working in the same or most similar employment in the same or neighbor- ing locality, shall reasonably represent the annual earning capacity of the injured employee in the employment in which he was working at the time of the accident; 4. The average weekly wages of an employee shall be one-fifty-second part of bis average annual earnings ; 5. If it be established that the injured employee was a minor when injured, and that under normal conditions his wages w^ould be expected to increase, the fact may be considered in arriving at his average weekly wages. % 15. Schedule in case of disability. — The following schedule of compensa- tion is hereby established: 1. Total permanent disability. In case of total disability adjudged to be permanent sixty-six and two-thirds per centum of the average weekly wages shall be paid to the employee during the continuance of such total disability. Loss of both hands, or both arms, or both feet, or both legs, or both eyes, or of any two thereof shall, in the absence of conclusive proof to the contrary, constitute permanent total disability. In all other cases permanent total dis- ability shall be determined in accordance with the facts. 2. Temporary total disability. In case of temporary total disability, sixty- six and two-thirds per centum of the average weekly wages shall be paid to the employee during the continuance thereof, but not in excess of three thou- sand five hundred dollars, except as otherwise provided in this chapter. 3. Permanent partial disability. In case of disability partial in character but permanent in quality the compensation shall be sixty-six and two-thirds per centum of the average weekly wages and shall bo paid to the employee for the period named in the schedule as follows: Thumb. For the loss of a thumb, sixty weeks. First finger. For the loss of a first finger, commonly called index finger, forty-six weeks. Second finger. For the loss of a second finger, thirty weeks. Third finger. For the loss of a third finger, tw^enty-five weeks. Woiikmen's Compensation Law. * 245 Fourth finger. For the loss of a fourth finger, commonly called the little finger, fifteen weeks. Phalange of thumb or finger. The loss of the first phalange of the thumb or finger shall be considered to be equal to the loss of one-half of such thumb or finger, and compensation shall be one-half of the amount above specified. The loss of more than one phalange shall be considered as the loss of the entire thumb or finger; provided, however, that in no case shall the amount received for more than one finger exceed the amount provided in this schedule for the loss of a hand. Great toe. For the loss of a great toe, thirty-eight weeks. Other toes. For the loss of one of the toes other than the great toe, sixteen weeks. Phalange of toe. The loss of the first phalange of any toe shall be con- sidered to be equal to the loss of one-half of said toe, and the compensation shall be one-half of the amount specified. The loss of more than one phalange shall be considered as the loss of the entire toe. Hand. The loss of a hand, two hundred and forty-four weeks. Arm. For the loss of an arm, three hundred and twelve weeks. Foot. For the loss of a foot, two hundred and five weeks. Leg. For the loss of a leg, two hundred and eighty-eight weeks. Eye. For the loss of an eye, one hundred and twenty-eight weeks. Loss of use. Permanent loss of the use of a hand, arm, foot, leg or eye shall be considered as the equivalent of the loss of such hand, arm, foot, leg or eye. Amputations. Amputation between the elbow and the wrist shall be con- sidered as the equivalent of the loss of a hand. Amputation between the knee and the ankle shall be considered as the equivalent of the loss of a foot. Amputation at or above the elbow shall be considered as the loss of an arm. Amputation at or above the knee shall be considered as the loss of the leg. The compensation for the foregoing specific injuries shall be in lieu of all other compensation, except the benefits provided in section thirteen of this chapter. Other cases. In all other cases in this class of disability, the compensation shall be sixty-six and two-thirds per centum of the difference between his average weekly wages and his v\'age-earning capacity thereafter in the same employment or otherwise, payable during the continuance of such partial disability, but subject to reconsideration of the degree of such impairment by the commission on its own motion or upon application of any party in interest. 4. Temporary partial disability. In case of temporary partial disability, except the particular cases mentioned in subdivision three of this section, an injured employee shall receive sixty-six and two-thirds per centum of the difference between his average weekly wages and his wage earning capacity thereafter in the same employment or otherwise during the continuance of such partial disability, but not in excess of three thousand five hundred dollars, except as otherwise provided in this chapter. 5. Limitation. The compensation payment under subdivisions onc^wo and four and under subdivision three except in case of tlie loss of a hand, arm, foot, leg or eye, shall not exceed fifteen dollars per week nor be less than 246 * Report of tjie Commissioner of Labor, 1913. five dollars per week; the compensation payment under subdivision three in case of the loss of a hand, arm, foot, leg or eye, shall not exceed twenty dollars per week nor be less than five dollars a week; provided, however, that if tlie employee's wages at the time of injury are less than five dollars per week he shall receive bis full weekly wages. 6. Previous disability. The fact that an employee has suflfered previous disability or received compensation therefor shall not preclude him from compensation for a later injury nor preclude compensation for death resulting therefrom; but in determining compensation for the later injury or death his average weekly wages shall be such sum as will reasonably represent his earning capacity at the time of the later injury. § IG. Death benefits. — If the injury causes death, the compensation shall be known as a death benefit and shall be payable in the amount and to or for the benefit of the persons following: 1. Reasonable funeral expenses, not exceeding one hundred dollars; 2. If there be a surviving wife (or dependent husband) and no child of the deceased under the age of eighteen years, to such wife (or dependent hus- band) thirty per centum of the average wages of the deceased during widow- hood (or dependent widowerhood) with two years' compensation in one sum, upon remarriage; and if there be surviving child or children of the deceased under the age of eighteen years, the additional amount of ten per centum of such wages for each such child until of the age of eighteen years, provided that the total amount payable shall in no case exceed sixty-six and two-thirds per centum of such wages. 3. If there be surviving child or children of the deceased under the age of eighteen years, but no surviving wife (or dependent husband) then for the support of each such child until of the age of eighteen years, fifteen per centum of the wages of the deceased, provided that the aggregate shall in no case exceed sixty-six and two-thirds per centum of such wages. 4. If the amount payable to surviving wife (or dependent husband) and to children under the age of eighteen years shall be less in the aggregate than sixty-six and two-thirds per centum of the average wages of the deceased, then for the support of grandchildren or brothers and sisters under the age of eighteen years, if dependent upon the deceased at the time of the accident, fifteen per centum of such wages for the support of each such person until of the age of eighteen years; and for the support of each parent, or grand- parent, of the deceased if dependent upon him at the time of the accident, fifteen per centum of such wages during such dependency. But in no case shall the aggregate amount payal)le under this subdivision exceed the diff"er- ence between sixty-six and two-thirds per centum of such wages, and the amount payable as hereinbefore provided to surviving wife (or dependent husband) or for the support of surviving child or children. Any excess of wages over one hundred dollars a month shall not be taken into account in computing compensation under this section. All questions of dependency shall be determined as of the time of the accident. § 17. Aliens. — Compensation under this chapter to aliens not residents (or about to become nonresidents) of the United States or Canada, shall be the same in amount as provided for residents, except that the commission may, at its option, or, upon the application of the insurance carrier, shall, com- Workmen's Compensation Law. * 247 mute all future installments of compensation to be paid to such aliens, by paying or causing to be paid to them one-half of the commuted amount of such future installments of compensation as determined by the cominission. § 18. Notice of injury. — Notice of an injury for which compensation is payable under this chapter shall be given to the commission and to the employer within ten days after disability, and also in case of the death of the employee resulting from such injury, within thirty days after such death. Such notice may be given by any person claiming to be entitled to compen- sation, or by some one in his behalf. The notice shall be in writing, and contain the name and address of the employee, and state in ordinary language the time, place, nature and cause of the injury, and be signed by him or by a person on his behalf or, in case of death, by any one or more of his depend- ents, or by a person on their behalf. It shall be given to the commission by sending it by mail, by registered letter, addressed to the commission at its office. It shall be given to the employer by delivering it to him or sending it by mail, by registered letter, addressed to the employer at his or its last known place of residence; provided that, if the employer be a partnership then such notice may be so given to any one of the partners, and if the employer be a corporation, then such notice may be given to any agent or officer thereof ujjon whom legal process may be served, or any agent in charge of the business in the place where the injury occurred. The failure to give such notice, unless excused by the commission either on the ground that notice for some sufficient reason could not have been given, or on the ground that the state fund, insurance company, or employer, as the case may be, Jias not been prejudiced thereby, shall be a bar to any claim tinder this chapter. § 19. Medical examination. — An employee injured claiming or entitled to compensation under this chapter shall, if requested by the commission, sub- mit himself for medical exfimination at a time, and from time to time, at a place reasonably convenient for the employee, and as may be provided by the rules of the commission. If the employee or the insurance carrier requej^t he shall be entitled to have a physician or physicians of his own selection to be paid by him present to participate in such examination. If an employee refuse to submit himself to examination, his right to prosecute any proceeding under this chapter shall be suspended, and no compensation shall be payable, for the period of such refusal, § 20. Determination of claims for compensation.— At any time after the expiration of the first fourteen days of disability on the part of an injured employee, or at any time after his death, a claim for compensation may be presented to the commission. The commission shall have full power and authority to determine all questions in relation to the payment of claims for compensation under the provisions of this chapter. The commission shall make or cause to be made such investigation as it deems necessary, and upon application of either party, shall order a hearing, and within thirty days after a claim for compensation is submitted under this section, or such hearing closed, shall make or deny an award, determining such claim for compensation, and file the same in the office of the commission, together with a statement of its conclusions of fact and rulings of law. The commission may, before making an award, require the claimant to appear before an arbi- tration committee appointed by it and consisting of one representative of emplojees, one representative of employers, and either a member of the 248 * Report of the Commissioner of Labor, 1913. commission or a person specially deputized by tlie commission to act as chairman, before which the evidence in regard to the claim shall be adduced and by which it shall be considered and reported upon. Immediately after such filing the commission shall send to the parties a copy of the decision. Upon a hearing pursuant to this section either party may present evidence and be represented by counsel. The decision of the comniission sliall be final as to all questions of fact, and, except as provided in section twenty-three, as to all questions of law. § 21. Presumptions. — Tn any proceeding for the enforcement of a claim for compensation under this chapter, it shall be presumed in the absence of substantial evidence to the contrary 1. That the claim comes within the provisions of this chapter; 2, That sufficient notice thereof was given; ■ 3. That the injury was not occasioned by the willful intention of the injured employee to bring about the injury or death of himself or of another; 4. That the injury did not result solely from the intoxication of the injured employee while on duty. § 22. Modification of award. — • Upon its own motion or upon the application of any party in interest, on the ground of a change in conditions, the com- mission may at any time review any award, and, on such review, may make an award ending, diminishing or increasing the compensation previously awarded, subject to the maximum or minimum provided in this chapter, and shall state its conclusions of fact and rulings of law, and shall immediately send to the parties a copy of the award. No such review shall affect such- award as regards any moneys already paid. § 23. Appeals from the conimission. — An award or decision of the com- mission shall be final and conclusive upon all questions within its jurisdic- •tion, as against the state fund or between the parties, unless within thirty days after a copy of such award or decision has been sent to the parties, an appeal be taken to the appellate division of the supreme court of the third department. The commission may also, in its discretion, where the claim for compensation was not made against the state fund, on the application of either party, certify to such appellate division of the supreme court, questions of law involved in its decision. Such appeals and the questions so certified shall be heard in a summary manner and shall have precedence over all other civil cases in such court. The commission shall be deemed a party to every such appeal, and the attorney-general, without extra compensation, shall repre- sent the commission thereon. An appeal may also be taken to the court of appeals in all eases where such an appeal would lie from a decision of an appellate division, in the same manner and snbject to the same limitations as is now provided in civil actions, Otherwise such appeals shall be subject to the law and practice applicable to appeals in civil actions. Upon the final determination of such an appeal, thd commission shall make an award or decision in accordance therewith. § 24. Costs and fees. — If the commission or the court before which any proceedings for compensation or concerning an award of compensation have been brought, under this chapter, determines that such proceedings have not been so brought upon reasonable ground, it shall assess the whole cost of the proceeding upon the i)arty who has so brought them. Claims for legal services in connection with any claim arising under this chapter, and claims Workmen's Compensation Law. * 249 for services or treatment rendered or supplies furnished pursuant to section thirteen of this chapter, shall not be enforceable unless approved by the commission. If so approved, such claim or claims shall become a lien upon the compensation awarded, but shall be paid therefrom only in the manner fixed by the commission, g 25. Compensalion, how payable. — Compensation under the provisions of this chapter shall be payable periodically, in accordance with tlie method of payment of the wages of the employee at tlie time of liis injury or death, and shall be so provided for in any award; but tlie commission may determine that all payments or payments as to any particular group may be made monthly or at any other period, as it may deem advisable. The commission, whenever it shall so deem advisable, may commute such periodical payments to one or more lump sum payments, provided the same shall be in the interest of justice. If the award requires payment of compensation otherwise than from the state fund all payments as required by the award shall be made directly to the commission or to a deputy specially authorized to receive the same, and disbursed in accordance with its award to the persons entitled thereto. And employers and insurance companies shall for such purpose be permitted, or when necessary to protect the interest of the beneficiary may be required, to make deposit^ to secure the prompt and convenient payment of such compensation. § 26. Enforcement of payment in default.— If payment of compensation, or an installment thereof, due under the terms of an award, be not made within ten days after the same is due. By the employer or insurance corporation liable therefor, the amount of such payment shall constitute a liquidated claim for damages against such employer or insurance corporation, which with an added penalty of fifty per centum may be recovered in an action to be instituted by the commission in the name of the people of the state. If such default be made in the payment of an installment of compensation and the whole amount of such compensation be not due, the commission may, if the present value of such compensation be computable, declare the whole amount thereof duo, and recover the amount thereof with the added penalty of fifty per centum, as provided by this section. Any such action may be compromised by the commission or may be prosecuted to final judgment as, in the discretion of the commission, may best serve the interests of the persons entitled to receive the compensation or the benefits. Compensation recovered under this section shall be disbursed by the commission to the persons entitled thereto in accordance with the award. A penalty recovered pursuant to this section shall be paid into the state treasury, and be applicable to the expenses of the commission. § 27. Depositing future payments. — If an award under this chapter requires payment of compensation by an employer or an insurance corporation in peri- odical payments, and the nature of the injury makes it possible to compute the present value of all future payments with due regard for life contin- gencies, the commission may, in its discretion, at any time, compute and permit or require to be paid into the state fund an amount equal to the present value of all unpaid compensation for which liability exists, in trust; and thereu])on such employer or insurance corporation siiall be discharged from any further liability under such award and payment of the same shall be assumed by the state fund. 250 * Eepokt of the Commissioxek of Labok, 1913. § 28. Limitation of right to compensation. — The right to claim compensa- tion under this chapter shall be forever barred unless within one year after tlie injury, or if deatli result therefrom, within one year after such death, a claim for compensation tlierciindcr shall be filed with the commission. § 21). Subrogation to remedies of employee. — If a workman entitled to compensation under this chapter be injured or killed by the negligence or wrong of another not in the same employ, such injured workman, or in case of dcatl). liis dependents, sliall, before any suit or claim under this chapter, elect whether to take compensation under this chapter or to pursue his remedy against such other. Such election shall be evidenced in such manner as the commission may by rule or regulation prescribe. If he elect to take compensation under this chapter, the cause of action against such other shall be assigned to the state for the benefit of the state insurance fund, if com- pensation be payable therefrom, and otherwise to the person or association or corporation liable for the payment of such compensation, and if he elect to proceed against such other, the state insurance fund, person or association or corporation, as the case may be, shall contribute only the deficiency, if any, between the amount of the recovery against such other person actually collected, and the compensation provided or estimated by this chapter for such case. Such a cause of action assigned to the state may be prosecuted or compromised by the commission. A compromise of any such cause of action by the workman or his dependents at an amount less than the compensation provided for by this chapter shall be made only with the written approval of the commission, if the deficiency of compensation would be payable from the state insurance fund, and otherwise with the written approval of the person, association or corporation liable to pay the same. § 30. Revenues or benefits from other sources not to affect compensation. — JS'o benefits, savings or insurance of the injured employee, independent of the provisions of this chapter, shall be considered in determining the compensation or benefits to be paid under this chapter. § 31. Agreement for contribution by employee void. — Xo agreement by an employee to pay any portion of the premium paid by his employer to the state insurance fund or to contribute to a benefit fund or department maintained by such employer or to the cost of mutual insurance or other insurance, main- tained for or carried for the purpose of providing compensation as herein required, shall be valid, and any employer who makes a deduction for such purpose from the wages or salary of any employee entitled to the benefits of this chapter shall be guilty of a misdemeanor. § 32. Waiver agreements void. — No agreement by an employee to waive his right to compensation under tliis chapter shall bo valid. § 33. Assignments; exemptions. — Claims for compensation or benefits due under this chapter shall not be assigned, released or commuted except as pro- vided by this chapter, and shall be exempt from all claims of creditors and from levy, execution and attachment or other remedy for recovery or collec- tion of a debt, which exemption may not be waived. Compensation and bene- fits shall be paid only to employees or their dependents. § 34. Preferences. — The right of compensation granted by this chapter shall have the same preference or lien without limit of amount against the assets of the employer as is now or hereafter may be alloAved by law for a claim for unpaid wages for labor. Workmen's Compensation Law. * 251 ARTICLE 3. Security for Comitensatiou. Sectioa 50. Security for payment of compensation. 51. Posting of notice rega«-cling compensation. 52. Effect of failure to secure compensation. 53. Release from all liability. 54. Tt»e insurance lontract. § 50. Security for payment of compensation. — An employer shall secure compensation to his employees in one of the following ways : 1. By insuring and keeping insured the payment of such »x)mpensation in the state fund, or 2. By insuring and keeping insured the payment of sueli compensation with any stock corporation or mutual association authorized to transact the busi- ness of workmen's compensation insurance in this state. If insurance he so effected in such a corporation or mutual association the employer shall forth- with file with the commission, in form prescribed by it, a notice specifying the name of such insurance corporation or mutual association together with a copy of the contract or policy of insurance. 3. By furnishing satisfactory proof to the commission of his financial ability to pay such compensation for himself, in which case the commission may, in its discretion, require the deposit with the commission of securities of the kind prescribed in section thirteen of the insurance law, in an amount to be deter- mined by the commission, to secure his liability to pay the compensation pro- vided in this chapter. If an employer fail to comply with this section, he shall be liable to a penalty for every day during which such failure continues of one dollar for every employee, to be recovered in an action brought by the commission. The commission may, in its discretion, for good cause shown, remit any such penalty, provided the employer in default secure compensation as pro- vided in this section. § 51. Posting of notice regarding compensation. — Every employer who has complied with section fifty of tliis cliapter shall post and maintain in a con- spicuous place or places in and about his place or places of business type- written or printed notices in form prescribed by the commission, stating the fact that he has complied with all the rules and regulations of the commission and that he has secured the payment of compensation to his employees and their dependents in accordance with the provisions of tliis cliapter. § 52. Effect of failure to secure compensation. — Failure to secure the pay- ment of compensation shall have the effect of enabling the injured employee or his dependents to maintain an action for damages in the courts, as prescribed by section eleven of tliis chapter. § 53. Release from all liability. — An employer securing the payment of com- pensation by contributing premiums to the state fund shall thereby become relieved from all liability for personal injuries or death sustained by his em- ployees, and the persons entitled to compensation under this chapter shall have recourse therefor only to the state fund and not to the employer. An em- IJloyer shall not otherwise be relieved from the liability for comi>ensation prescribed by this chapter except by the payment thereof by himself or his insurance carrier. 252 * Report of the Commissioner of Labor, 1913. § 54. The insurance contract. — 1. Eight of recourse to the insurance carrier. Every policy of insurance covering thu liability of the employer for compensa- tion issued by a stock company or by a mutual association authorized to transact workmen's compensation insurance in this state shall contain a pro- vision setting forth the right of the commission to enforce in the name of the people of the state of New York for the benefit of the person entitled to the compensation insured by the policy either by filing a separate application or by making the insurance carrier a party to the original application, the liability of the insurance carrier in whole or in part for the payment of such compensation; provided, however, that payment in whole or in part of such compensation by either tlie employer or the insurance carrier sliall to the extent thereof be a bar to the recovery against the other of the amount so paid. 2. Knowledge and jurisdiction of the employer extended to cover the insur- ance carrier. Every such policy shall contain a provision that, as between the employee and the insurance carrier, the notice to or knowledge of the occurrence of the injury on the part of the employer shall be deemed notice or knowledge, as the case may be, on the part of the insurance carrier; that jurisdiction of the employer shall, for the purpose of this chapter, be juris- diction of the insurance carrier and that the insurance carrier shall in all things be bound by and subject to the orders, findings, decisions or awards rendered against the employer for the payment of compensation under the provisions of this chapter. 3. Insolvency of employer does not release the insurance carrier. Every such policy shall contain a provision to the efiect that the insolvency or bank- ruptcy of the employer shall not relieve the insurance carrier from the pay- ment of compensation for injuries or death sustained by an employee during the life of such policy. 4. Limitation of indemnity agreements. Every contract or agreement of an employer the purpose of which is to indemnify him from loss or damage on account of the injury of an employee by accidental means, or on account of the negligence of such employer or his officer, agent or servant, shall be abso- lutely void unless it shall also cover liability for the payment of the com- pensation provided for by this chapter. 5. Cancellation of insurance contracts. No contract of insurance issued by a stock company or mutual association against liability arising under this chapter shall be cancelled within the time limited in such contract for its expiration until at least ten days after notice of intention to cancel such contract, on a date specified in such notice, shall be filed in the office of the commission and also served on the employer. Such notice shall be served on the employer by delivering it to him or by sending it by mail, by registered letter, addressed to the employer at his or its last known place of residence; provided that, if the employer be a partnership, then such notice may be so given to any one of the partners, and if the employer be a corporation, then the notice may be given to any agent or officer of the corporation upon whom legal process may be served. Workmen's Compensation Law. * 253 ARTICLE 4. State "^V^orkmen's Compensation Commission, Section 60. State workmen's compensation commission. 61. Secretary, deputies and other employees. 62. Salaries and expenses. 63. Office. 64. Sessions of commission. 65. Powers of individual commissioners and deputy commissioners. 66. Powers and duties of secretary. 67. Rules. 68. Technical rules of evidence or procedure not required. 69. Issue of subpoena ; penalty for failure to obey. 70. Recalcitrant witnesses punishable as for contempt. 71. Fees and mileage of witnesses. 72. Depositions. 73. Transcript of stenographer's minutes ; effect as evidence. 74. Jurisdiction of commission to be continuing. 75. Report of commission. 76. Commission to furnish blank forms. § 60. State workmen's compensation commission. — A state workmen's com- pensation commission is hereby created, consisting of five commissioners, to be appointed by the governor, by and with the advice and consent of the senate, one of whom shall be designated by the governor as chairman. The commissioner of labor shall also be an ex officio member of the commission but shall not have a vote on orders, decisions or awards. Appointments may be made during the recess of the senate, but shall be subject to confirmation by the senate at the next ensuing session of the legislature. The term of office of appointive members of the commission shall be five years, except that the first members thereof shall be appointed for such terms that the term of one member shall expire on January first, nineteen hundred and sixteen, and on January first of every succeeding year. Successors shall be appointed in like manner for a full term of five years. Vacancies shall be filled in like manner by appointment for the unexpired term. Each appointive member of the commission shall before entering upon the duties of his office execute an official undertaking in the sum of fifty thousand dollars to be approved by the comptroller and filed in his office. The governor may remove any appointive commissioner for inefficiency, neglect of duty or misconduct in office, giving him a copy of the charges and an opportunity of being publicly heard in person or by counsel, upon not less than ten days' notice. If such a commis- sioner be removed, the governor shall file in the office of the secretary of state a complete statement of all charges made against him and a complete record of his proceedings and his findings thereon. Each appointive commissioner shall devote his entire time to the duties of his office, and shall not hold any position of trust or profit, or engage in any occupation or business interfering or inconsistent with his duties as such commissioner, or serve on or under finy committee of a political party. The commission shall have an official seal which shall be judicially noticed. § 61. Secretary, deputies and other employees. — The commission may ap- point one or more deputy commissioners and a secretary to hold office during its pleasure. It maj' also employ, during its pleasure, an actuary, account- ants, medical doctors, clerks, stenographers, inspectors and other employees 254* Keport of the Commissioxer of Labor, 1913. as may ht' lucdfcl to carry out the provisions of this chapter. Tlic authority, duties and compensation of all suhordinates and employees, except as pro- vided by this chapter, shall be fixed by the commission. § 62. Salaries and expenses. — The chairman of the commission shall receive an annual salary of ten thousand dollars, and each otlur conimissionor, an annual salary of seven thousand dollars. The secretary shall receive an annual salary of five thousand dollars. The commissioners and their sub- ordinates shall be entitled to their actual and nceossary expenses while travel- in<r on the business of the commission. The commission mav also make the necessary expenditure to obtain statistical and other information to establish classifications of employments with respect to hazards and risks. The salaries and compensation of the subordinates and all other expenses of the commis- sion, including the premiums to be paid by the state treasurer for the bond to be furnished by him, shall be paid out of the state treasury upon vouchers signed bv at least two commissioners. § 63. Office. — The commission shall keep and maintain its principal office in the city of Albany, in rooms in the capitol assigned by the trustees of public buildings. The office shall be supplied with necessary office furniture, supplies, books, maps, stationery, telephone connections and other necessary appliances, at the expense of the state, payable in the same manner as other expenses of the commission. § 64. Sessions of commission. — The commission shall be in continuous session and open for the transaction of business during all business hours of every day excepting Sundays and legal holidays. All sessions shall be open to the public and may be adjourned, upon entry thereof in its records, with- out further notice. Whenever convenience of parties will be promoted or delay and expense prevented, the commission may hold sessions in cities other than the city of Albany. A party may appear before such commission and be heard in person or by attorney. Every vote and official act of the commission shall be entered of record, and the records shall contain a record of each case considered, and the award, decision or order made with respect thereto, and all voting shall be by the calling of each commissioner's name by the secretary and each vote shall be recorded as cast. A majority of the commission shall constitute a quorum. A vacancy shall not impair the right of the remaining commissioners to exercise all the powers of the full commission so long as a majority remains. § 65. Powers of individual commissioners and deputy commissioners. — Any investigation, inquiry or hearing which the commission is authorized to hold or undertake may be held or taken by or before any commissioner or deputy commissioner, and the award, decision or order of a commissioner or deputy commissioner, when approved and confirmed, by the commission and ordered filed in its office, shall be deemed to be the award, decision or order of the commission. Each commissioner and deputy shall, for the purposes of this cliapter, have power to administer oatiis, certify to official acts, take deposi- tions, issue subpoenas, compel the attendance of witnesses and the production of books, accounts, papers, records, documents and testimony. The commission may authorize any deputy to conduct any such investigation, inquiry or hear- ing, in which case he shall have the power of a commissioner in respect thereof. Woekmen's Compensation Law. * 255 § 66. Powers and duties of secretary. — The secretary of the commission shall: 1. Maintain a full and true record of all proceedings of the commission, of all documents or papers ordered filed by the commission, of decisions or orders made by a commissioner or deputy commissioner, and of all decisions or orders made by the commission or approved and confirmed by it and ordered filed, and he shall be responsible to the commission for the safe custody and preservation of all such documents at its office; 2. Have povi'er to administer oaths in all parts of the state, so far as the exercise of such power is properly incident to the performance of his duty or that of the commission; 3. Designate, from time to time, with the approval of the commiscion, one of the clerks appointed by the commission to exercise the powers and duties of the secretary during his absence ; 4. Under the direction of the commission, have general charge of its office, superintend its clerical business, and perform such other duties as the com- mission may prescril)e. § 67. Rules. — The commission shall adopt reasonable rules, not inconsistent with this chapter, regulating and providing for 1. The kind and character of notices, and the service thereof, in case of accident and injury to employees; 2. The nature and extent of the proofs and evidence, and the method of taking and furnishing the same, to establish the right to compensation ; 3. The forms of application for those claiming to be entitled to com- pensation ; 4. The method of making investigations, physical examinations and in- spections; 5. The time within which adjudications and awards shall be made; 6. The conduct of hearings, investigations and inquiries; 7. The giving of undertakings by all subordinates who are empowered to receive and disburse moneys, to be approved by the attorney-general as to form and by the comptroller as to sufficiency. 8. Carrying into effect the provisions of this chapter; 9. The collection, maintenance and disbursement of the state insurance fund. § 68. Technical rules of evidence or procedure not required. — The commis- sion or a commissioner or deputy commissioner in making an investiga- tion or inquiry or conducting a hearing shall not be bound by common law or statutory rules of evidence or by technical or formal rules of procedure, except as provided by this chapter; but may make such investigation or inquiry or conduct such hearing in such manner as to ascertain the substan- tial rights of the parties. § 69. Issue of subpoena; penalty for failure to obey. — A subpoena shall be signed and issued by a commissioner, a deputy commissioner or by the secre- tary of the commission and may be served by any person of full age in the same manner as a subpoena issued out of a court of record. If a person fail, without reasonable cause, to attend in obedience to a siibpoena. or to be sworn or examined or answer a question or produce a book or paper, or to subscribe and swear to his deposition after it has been, correctly reduced to writing, he shall be guilty of a misdemeanor. 256 * Eepoet of the Commissioa'ek of Labok, 1913. § 70. Recalcitrant witnesses punishable as for contempt. — If a person in attendance before the coiumisbion or a commissioner or tleputy commissioner refuses, witliout reasonable cause, to be examined, or to answer a legal and pertinent question or to produce a book or paper, when ordered so to do by the commission or a commissioner or deputy commissioner, the commission may apply to a justice of the supreme court upon proof by affidavit of tlie facts for an order returnable in not less than two nor more tlian five days directing such person to show cause before the justice who made the order, or any other justice of tlie supreme court, why lie should not be committed to jail. Upon the return of such order the justice shall examine under oath such person and give him an opportunity to be heard; and if the justice determine that he has refused without reasonable cause or legal excuse to be examined or to answer a legal and pertinent question, or to produce a book or paper which he was ordered to bring, he may fortliwith, by warrant, commit the offender to jail, there to remain until he submits to do the act which he was so required to do or is discharged according to law. § 71. Fees and mileage of witnesses. — Each witness who appears in obedi- ence to a subpoena before the commission or a commissioner or deputy com- missioner, or person employed by the commission to obtain the required information, shall receive for his attendance the fees and mileage provided for witnesses in civil cases in the supreme court, which shall be audited and paid from the state treasury in the same manner as other expenses of the commission. A witness subpoenaed at the instance of a party other than the commission, a commissioner, deputy commissioner or person acting under the authority of the commission shall be entitled to fees or compensation from the state treasury, if the commission certify that his testimony was material to the matter investigated, but not otherwise. § 72. Depositions. — The commission may cause depositions of witnesses residing within or without the state to be taken in the manner prescribed by law for like depositions in civil actions in the supreme court. § 73. Transcript of stenographer's minutes; effect as evidence. — A tran- scribed copy of the testimony, evidence and procedure or of a specific part thereof, or of the testimony of a particular witness or of a specific part thereof, on any investigation, by a stenographer appointed by the commission, being certified by such stenographer to be a true and correct transcript thereof and to have been carefully compared by him with his original notes, may be received in evidence by the commission with the same effect as if such stenographer were present and testified to the facts so certified, and a copy of such transcript shall be furnished on demand to any party upon payment of the fee provided for a transcript of similar minutes in the supreme court. § 74. Jurisdiction of commission to be continuing. — The power and juris* diction of the commission over each case shall be continuing, and it may, from time to time, make such modification or change with respect to former findings or orders relating thereto, as in its opinion may be just. § 75. Report of commission. — Annually on or before the first day of Febru- ary, the commission shall make a report to the legislature, which sliall include a statement of the number of awards made by it and the causes of the acci- dents leading to the injuries for which the awards were made, a detailed statement of the expenses of the commission, the condition of the state WoKKMEx's Compensation Law. * 257 insurance fund, together with any other matter which the commission deems proper to report to the legislature, including any recommendations it may desire to make. § 76. Commission to furnish blank forms. — The commission shall prepare and cause to be distributed so that the same may be readily available blank forms of application for compensation, notice to employers, proofs of injury or death, of medical or other attendance or treatment, of employment and wage earnings, and for such other purposes as may be required. Insured employers shall constantly keep on hand a sufficient supply of such blanks. ARTICLE 5. State Insurance Fund. Section 90. Creation of state fund. 91. State treasurer custodian of fund. 92. Surplus and reserve. 93. Investment of surplus or reserve. 94. Administration expense. 95. Classification of rislvs and adjustment of premiums. 96. Associations for accident prevention. 97. Requirements in classifying employment and fixing and adjusting premium rates. 98. Time of payment of premiums. 99. Action for collection in case of default. 100. Withdrawal from fund. 101. Audit of payrolls. 102. Falsification of payroll. 103. Wilful misrepresentation. 104. Inspections. 105. Disclosures prohibited. § 90. Creation of state fund. — There is hereby created a fund to be known as " The State Insurance Fund," for the purpose of insuring employers against liability under this chapter and of assuring to the persons entitled thereto the compensation provided by this chapter. Such fund shall consist of all pre- miums received and paid into the fund, of property and securities acquired by and through the use of moneys belonging to the fund and of interest earned upon moneys belonging to the fund and deposited or invested as herein pro- vided. Such fund shall be administered by the commission without liability on the part of the state beyond the amount of such fund. Such fund shall be applicable to the payment of losses sustained on account of insurance and to the payment of expenses in the manner provided in tliis chapter. § 91. State treasurer custodian of fund. — The state treasurer shall be the custodian of the state insurance fund ; and all disbursements therefrom shall be paid by him upon vouchers authorized by the commission and signed by any two members thereof. The state treasurer shall give a separate and additional bond in an amount to be fixed by the go\»ernor and with sureties approved by the state comptroller conditioned for the faithful performance of his duty as custodian of the state fund. The state treasurer may deposit any portion of the state fund not needed for immediate use, in the manner and subject to all the provisions of law respecting the deposit of other state funds by him. Interest earned by such portion of tlie state insurance fund deposited by the state treasuuer shall be collected by him and placed to the credit of the fund. 258 * Report of the Commissioxer of Labor, 1913. § 92. Surplus and reserve. — Ten per centum of the premiums collected from employers insured in tlie fund shall be set aside by tlie commission for the creation of a surplus until such surplus shall amount to tlie sum of one hundred thousand dollars, and tliereafter five per centum of such premiums, until such time as in tlie judgment of the commission such surplus shall be sufficiently large to cover tlie catastroplie iiazard. The commission sliall also set up and maintain a reserve adequate to meet anticipated losses and carry all claims and policies to maturity. § 93. Investment of surplus or reserve. — The commission may, pursuant to a resolution of the commission approved by the comptroller, invest any of the surplus or reserve funds belonging to the state insurance fund in the same securities and investments authorized for investment bv savings banks. All such securities or evidences of indebtedness shall be placed in the hands of the state treasurer who shall be the custodian thereof. He shall collect the principal and interest thereof, when due, and pay the same into the state insurance fund. The state treasurer shall pay all vouchers drawn on the state insurance fund for the making of such investments when signed by two members of the commission, upon delivery of such securities or evidences of indebtedness to him, when there is attached to such vouchers a certified copy of the resolution of the commission authorizing the investment. The commission may, upon like resolution approved by the comptroller, sell any of such securities. § 94. Administration expense. — The entire expense of administering the state insurance fund sliall be paid in the first instance by the state, out of moneys appropriated therefor. In the month of January, nineteen hundred and eighteen, and annually thereafter in such month, the commission shall ascertain the just amount incurred by the commission during the preceding calendar year, in the administration of the state insurance fund exclusive of the expense for the examination, determination and payment of claims, and shall refund such amount to the state treasury. If there be employees of the commission other than the commissioners themselves and the secretary whose time is devoted partly to the general work of the commission and partly to the work of the state insurance fund, and in case there is other expense which is incurred jointly on behalf of the general work of the commission and the state insurance fund, an equitable apportionment of the expense shall be made for such purpose and the part thereof which is applicable to the state insurance fund shall be chargeable thereto. As soon as practicable after December thirty-one, nineteen hundred and seventeen, and annually thereafter, the commission shall calculate the total administrative expense incurred during the preceding calendar year in connection with the examina- tion, determination and payment of claims and the percentage which this expense bore to the total compensation payments made during that year. Tlie percentage so calculated and determined shall be assessed against the insurance carriers including the state fund as an addition to the payments required from them in the settlement of claims during the year immediately following, and the amounts so secured shall be transferred to the state treasury to reimburse it for this portion of the expense of administering this chapter. Wokkme:^'s Compensation Law. * 259 § 95. Classification of risks and adjustment of premiums. — Employments coming under tiie provisions of this chapter shall be divided for the purposes of the state fund, into the groups set forth in section two of this chapter. Separate accounts shall be kept of tlie amounts collected and expended in respect to each such group for convenience in determining equitable rates; but for the purpose of paying compensation the state fund shall be deemed one and indivisible. The commission shall have power to rearrange any of the groups set forth in section two by withdrawing any employment embraced in it and transferring it wholly or in part to any other group, and from such employments to set up new groups at its discretion. The commission shall determine the hazards of the different classes composing each group and fix the rates of premiums therefor based upon the total payroll and number of employees in each of such classes of employment at the lowest possible rate consistent with the maintenance of a solvent state insurance fund and the creation of a reasonable surplus and reserve; and for such purpose may adopt a system of schedule rating in such a manner as to take account of the peculiar hazard of each individual risk. § 96. Associations for accident prevention. — The employers in any of the groups described in section two or established by the commission may with the approval of the commission form themselves into an association for accident prevention, and may make rules for that purpose. If the commission is of the opinion that an association so formed sufDciently represents the employers in such group, it may approve such rules, and when so approved and approved by the industrial board of the labor department they shall be binding on all employers in such group. If such an approved association appoint an inspector or expert for the purpose of accident prevention, the commission may at its discretion provide in whole or in part for the payment of the remuneration and expenses of such inspector or expert, such payment to be charged in the accounting to such group. Every such approved associa- tion may make recommendations to the commission concerning the fixing of premiums for classes of hazards, and for individual risks within such group. § 97, Requirements in classifying employment and fixing and adjusting pre- mium rates. — 'The following requirements shall be observed in classifying employments and fixing and adjusting premium rates: 1. The commission shall keep an accurate account of the money paid in premiums by each of the several classes of employments or industries, and the disbursements on account of injuries and deaths of employees thereof, includ- ing the setting up of reserves adequate to meet anticipated losses and to carry the claims to maturity, and also, on account of the money received from each individual employer and the amount disbursed from the state insurance fund on account of injuries and death of the employees of such employer, including the reserves so set up; 2. On January first, nineteen hundred and fifteen, and every fifth year there- after, and at sixch other times as the commission, in its discretion, may determine, a readjustment of the rate shall be made for each of the several groups of employment or industries and of each hazard class therein, which, in the judgment of the commission, shall have developed an average loss ratio, in accordance with the experience of the commission in the administra- tion of the law as shown by the accounts kept as provided herein; 260 * Report of the Commissioner of Labor, 1913. 3. If any such accounting show an aggregate balance (deemed by the com- mission to be safely and properly *devisible) remaining to the credit of any class of employment or industry, after the amount required shall have been credited to the surplus and reserve funds and after the payment of all awarda for injury or death lawfully chargeable against tlie same, the comm-ission may in its discretion credit to each individual member of such group, who shall have been a subscriber to the state insurance fund for a period of six months or more prior to the time of such readjustment, and whose premium or premiums exceed the amount of the disbursements from the fund on account of injuries or death of his employees during such period, on the instalment or instalments of premiums next due from him such proportion of such balance as the amount of his prior paid premiums sustains to the whole amount of such premiums paid by the group to which he belongs since the last readjustment of rates; 4. If the amount of premiums collected from any employer at the beginning of any period of six months is ascertained and calculated by using the estimated expenditure of wages for the period of time covered by such premium payment as a basis, an adjustment of the amount of such premium shall be made at the end of such six months, and the actual amount of such premium shall be determined in accordance with the amount of the actual expenditure of wages for such period; and, if such wage expenditure for such period is less than the amount on which such estimated premium was collected, such employer shall be entitled to receive a refund from the state insurance fund of the difference between the amount so paid by him and the amount so found to be actually due, or to have the amount of such difference credited on succeeding premium payments, at his option; and if such actual premium, when so ascertained, exceeds in amount a premium so paid by such employer at the beginning of such six months, such employer shall immediately upon being advised of the true amount of such premium due, fortliwith pay to the treasurer of the state an amoimt equal to the difference between the amount actually found to be due and the amount paid by him at the beginning of such six months' period. § 98, Time of payment of premiums. — Except as otherwise provided in this chapter, all premiums shall be paid by every employer into the state insurance fund on or before July first, nineteen hundred and fourteen, and semi-annually thereafter, or at such other time or times as may be prescribed by the com- mission. The commission shall mail a receipt for the same to the employer and place the same to the credit of the state insurance fund in the custody of the state treasurer. § 99. Action for collection in case of default. — If an employer shall default in any payment required to be made by him to the state insurance fund, the amount due from him shall be collected by civil action against him in the name of the people of the state of New York, and it shall be the duty of the com-mission on the first Monday of each month after July first, nineteen hundred and fourteen, to certify to the attorney-general of the state the names and residences, or places of businei?s, of all employers known to the commission to be in default for such payment or payments for a longer period than five days and the amount due from such employer, and it shall then be the duty of the attorney-general forthwith to bring or cause to be brought against each such employer a civil action in the proper court for the ♦ So in the original. Workmen's Compensation Law. * 261 collection of such amount so due, and the same when collected, shall be paid into the state insurance fund, and such employer's compliance with the pro- visions of this chapter requiring payments to be made to the state insurance fund shall date from the time of the payment of said money so collected as aforesaid to the state treasurer for credit to the state insurance fund. § 100. Withdrawal from fund. — Any employer may, upon complying with subdivision two or three of section fifty of this chapter, withdraw from the fiind by turning in his insurance contract for cancellation, provided he is not in arrears for premiums due the fund and has given to the commission written notice of his intention to withdraw within thirty days before the expiration of the period for which he has elected to insure in the fund; provided that in case any employer so withdraws, his liability to assessments shall", notwith- standing such withdrawal, continue for one year after the date of such with- drawal as against all liabilities for such compensation accruing prior to such withdrawal. § 101. Audit of payrolls. — Every employer who is insured in the state insurance fvmd shall keep a true and accurate record of the number of his employees and the wages paid by him, and shall furnish to the commission, upon demand, a sworn statement of the same. Such record shall be open to inspection at any time and as often as the commission shall require to verify the number of employees and the amount of the payroll. § 102. Falsification of payroll. — An employer who shall wilfully misrepre- sent the amount of the payroll upon which the premiums chargeable by the state insurance fund is to be based shall be liable to the state in ten times the amount of the difference between the premiums paid and the amount the employer should have paid had his payroll been correctly computed; and the liability to the state under this section shall be enforced in a civil action in the name of the state insurance fund, and any amount so collected shall become a part of such fund. § 103. Wilful misrepresentation. — Any person who wilfully misrepresents any fact in order to obtain insurance in the state insurance fund at less than the proper rate for such insurance, or in order to obtain payment out of such fund, shall be guilty of a misdemeanor. § 104. Inspections. — The commission shall have the right to inspect the plants and establishments of employers insured in the state insurance fund; and the inspectors designated by the commission shall have free access to such premises during regular working hours. § 105. Disclosures prohibited. — Information acquired by the commission or its officers or employees from employers or employees pursuant to this chapter shall not be opened to public inspection, and any officer or employee of the commission who, without authority of the commission or pursuant to its rules or as otherwise required by law shall disclose the same shall be guilty of a misdemeanor. ARTICLE 6. Mlscellaneons Provisions. Section 110. Penalties applicable to expense of commission. 111. Record and report of injuries by emploj-ers. 112. Information to bo furnished by employer. 113. Inspection of records of en>iiloyers. 262 * Report of the Commissioner of Labor, 1913. Section 114. Interstate commerce. 11,"). I'onaltic's for false representations. 110. Limitation of tinu'. 117. I'uties of commissioner of labor. lis. Unconstitutional provisions. 119. Actions or causes of action pending. § 110. Penalties applicable to expenses of commission. — All penalties im- posed In^ this cliapter shall bo applicable to the expenses of the commission. Wlien collected by the commission such penalties shall be paid into the state treasury and be thereafter appropriated by the legislature for the purposes prescribed by this section. § 111. Record and report of injuries by employers. — Every employer shall keep a record of all injuries, fatal or otherwise, received by his employees in the course of their employment. Within ten days after the occurrence of an accident resulting in personal injury a report thereof shall be made in writing by the emijloyer to tlie commission upon blanks to be procured from the commission for that purpose. Such report shall state the name and nature of the business of the employer, the location of his establishment or place of work, the name, address and occupation of the injured employee, the time, nature and cause of the injury and such other information as may be required by the commission. An employer who refuses or neglects to make a report as required by this section shall be guilty of a misdemeanor, punish- able by a fine of not more than five hundred dollars. § 112. Information to be furnished by employer. — Every employer shall furnish the commission, upon request, any information required by it to carry out the provisions of this chapter. The commission, a commissioner, deputy commissioner, or any person deputized by tlie commission for that purpose, may examine under oath any employer, oflTicer, agent or employee. An employer or an employee receiving from the commission a blank with directions to file the same shall cause the same to be properly filled out so as to answer fully and correctly all questions therein, or if vmable to do so, shall give good and sufficient reasons for such failure. Answers to such questions shall be verified under oath and returned to the commission within the period fixed by the commission therefor. § 113. Inspection of records of employers. — All books, records and payrolls of the employers showing or reflecting in any way upon the amount of wage expenditures of such employers shall always be open for inspection by the commission or any of its authorized auditors, accountants or inspectors for the purpose of ascertaining the correctness of the wage expenditure and number of men employed and such other information as may be necessary for the uses and purposes of the commission in the administration of this chapter. § 114. Interstate commerce. — The provisions of this chapter shall apply to employers and employees engaged in intrastate, and also in interstate or foreign commerce, for whom a rule of liability or method of compensation iias been or may be established by the congress of the United States, only to the extent that their mutual connection with intrastate work may and shall be clearly separable and distinguishable from interstate or foreign commerce, except that such employer and his employees working only in this state may, subject to the approval and in the manner provided by the commission • • • ' 1 • • WoKKMEN's COMPEXSAVION 'Law. ' ' ' **2G3 and so far as not forbidden by any act of congress, accept and become bound by the provisions of this chapter in like manner and with the same effect in all respects as provided herein for other employers and their employees. § 115. Penalties for false representation. — If for the purpose of obtaining any benefit or payment under the provisions of this chapter, either for liim- self or any other person, any person wilfully makes a false statement or representation, he shall be guilty of a misdemeanor. § IIG. Limitation of time. — No limitation of time provided in this chapter shall run as against any person who is mentally incompetent or a minor dependent so long as he has no committee, guardian or next friend. § 117. Duties of commissioner of labor. — The commissioner of labor shall render to the commission any proper aid and assistance by the department of labor as in his judgment does not interfere with the proper conduct of such department. § lis. Unconstitutional provisions. — If any section or provision of this chapter be decided by the courts to be unconstitutional or invalid, the same shall not affect the validity of the chapter as a whole or any part thereof other than the part so decided to be unconstitutional or invalid. § 119. Actions or causes of action pending. — This act shall not affect any action pending or cause of action existing or which accrued prior to July first, nineteen hundred and fourteen. ARTICLE 7. Laws Repealed; AVIien to Take E^ffect. Section 130. Laws repealed. 131. When to take effect. § 130. Laws repealed. — Article fourteen-a and sections two hundred and fifteen to. two hundred and nineteen-g, both inclusive, of chapter thirty-six of the laws of nineteen hundred and nine, as amended by chapter six hundred and seventy-four of the laws of nineteen hundred and ten, are hereby repealed. § 131. When to take effect. — This chapter shall take effect January first, nineteen hundred and fourteen, provided that the application of this chapter as between employers and employees and the payment of compensation for injuries to employees or their dependents, in case of death, shall take effect July first, nineteen hundred and fourteen, but payments into the state insurance fimd may be made prior to July first, nineteen hundred and fourteen. Approved December 16, 1913. u.c. BERKELEY LIBRARIES COESMSVbfll 305190 UNIVERSITY OF CALIFORNIA LIBRARY