HD /?/4 1WENTS B 3 ti^ ap^ ■ g^ GIFT OF MICHAEL REESE s^ Workmen's Compensation Law of the STATE OF NEW YORK EFFECTIVE JULY I, 1914 Workmen's (compensation Law of the Otate of INew York Reprinted January, 1914 Copyright, 1 9 14, by F. Robertson Jonks New York .4\ .^ ^o>\ Contents Pages Digest of Workmen's Compensation Law 5 Text of Workmen's Compensation Law 9 284571 DIGEST OF THE NEW YORK WORKMEN'S COMPENSATION LAW* TITLE, ETC. Chapter 816, Laws of New York, 1913, being "Chapter 67 of The Consolidated Laws," and entitled "Workmen's Compensation Law." Approved Dec. 16, 1913. Administrative provisions effective January 1, 191-1; liability provisions effective July 1, 1914 (Sec. 131). Repeals Chapter 674, Laws of 1910 (Sec. 130) ; which was declared unconstitu- tional in Ives vs. South Buffalo Ry. Co., 201 N. Y. 271 (Chapter 352, Laws of 1910, legalizing the adoption of a compensation plan, in a wider range of employments, by agreement, is not repealed). SYSTEM Compensation with Insurance or proof of financial responsibility, com- pulsory (Sees. 10 and 50) . Supervised and to a large extent administered by "State Workmen's Compensation Commission" CArt. 4). All pay- ments to be made through the Commission or an authorized deputy ( Sec. 25), subject to heavy penalties for defaults (Sec. 26). "CONTRACTING OUT" Agreements to waive right to compensation, void (Sec. 32). Agree- ments for contribution by employees void (Sec. 31). EMPLOYMENTS COVERED All employments by a private employer in certain hazardous occupa- tions enumerated (Sec. 2), if carried on by the employer for pecuniary gain (Sec. 3 (5) ; farm labor and domestic service, however, expressly excepted (Sec. 3(4)). (But as to employment in interstate commerce see Sec. 114). INJURIES COVERED Accidental personal injuries arising out of and in the course of the employment, unless due to intent to injure self or another or to intoxica- tion while on duty (Sees. 10 and 3(7)). NOTICE OF INJURY AND CLAIM FOR COMPENSATION Written notice containing 'prescribed particulars must be served on employer and Commission within 10 days after disability or 30 days after ♦The headings of this "Digest" conform in substance and order with those of the "Digest of Workmen's Compensation and Insurance Laws in the United States " (published under the auspices of the Workmen's Compensation Publicity Bureau, 80 Maiden Lane, New York City)— so that the former supplements the latter. death. Failure to do so bars claim, unless excused by Commission (Sec. 18). Claim must be made within one year after injury or death (Sec. 28). But no time limitation runs against one mentally incompetent or a minor so long as he has no guardian, etc. (Sec. 116). ♦'WAITING PERIOD" First 14 days of disability (Sec. 12). MEDICAL AND SURGICAL AID Such medical, surgical and hospital services, including crutches, ap- paratus, etc., as required or requested by employee, must be furnished by employer during 60 days after injury. Charges therefor subject to regulation by commission and limited to those that prevail in the same community for similar treatment of persons of a like standard of living (Sec. 13). COMPENSATION FOR TOTAL DISABILITY 66 2-3% of average weekly wages ; maximum $15, minimum $5 or full wages, per week ; if permanent, for life ; if temporary, during disability bu^ not to exceed in aggregate $3,500. Certain severe injuries presumed to constitute permanent total disability (Sees. 14 and 15 (1) (2) (5) ^^^ ^' COMPENSATION FOR PARTIAL DISABILITY Schedule of special compensation for certain specified injuries; ex- clusive; for loss of a hand, arm, foot, leg or eye, maximum $20, mini- mum $5, per week. In other cases, 66 2-3% of reduction in earning capacity; during disability. Except for injuries specified above, maxi- mum $15, minimum $5 or full wages, per week ; but in case of temporary partial disability not to exceed in aggregate $3,500 (Sees. 14 and 15 (3) (4) (5) (6) ). COMPENSATION FOR DEATH In all cases, reasonable funerable expenses, not to exceed $100. 30% of wages to wife or dependent husband during widowhood or dependency (two years' extra benefits to widow upon remarriage), with 10% addi- tional for each child under 18, until that age is reached. If no widow or dependent widower, 15% to each child. And 15% each to dependent grandchildren, brothers and sisters under 18 and to dependent parents and grandparents, subject, however, to preference of widow or dependent widower and children, if any, for their full benefits. Total benefits lim- ited to 66 2-3% of wages. Excess of wages over $100 per month not to be reckoned in computing death benefits (Sees. 14 and 16). WHO ARE DEPENDENTS Dependency not defined; to be determined in accordance with condi- tions at time of accident. Beneficiaries are limited to widow or depen- dent widower, children, dependent grandchildren, brothers and sisters under 18 years of age and dependent parents and grandparents (Sec. 16). "Child" defined (Sec. 3). NON-RESIDENT ALIENS Non-resident (or about to become non-resident) alien dependents are entitled to full benefits ; but the Commission may, or, upon application of insurer, must commute future installments of their compensation to a lump sum equal to one-half the present value thereof, Canadians are not classed as aliens (Sec. 17). EXAMINATIONS Injured employee must submit to medical examination from time to time when requested by Commission, as may be provided by its rules. Insurer and employee may have their respective physicians present. Re- fusal to submit forfeits right to compensation for period of refusal (Sec. 19). DETERMINATION OF CLAIMS All claims are to be adjusted and determined by Commission ; and its decisions are final on all questions of fact, and on all questions of law except as provided in Sec. 23 (Sec. 21). Appeals, within 30 days to Appellate Division, Third Department. If claim not against State Fund, Commission may also certify questions to the Court (Sec. 23). Claims may not be released nor commuted by agreement between the parties (Sec. 33). MODIFICATION OF AWARDS Upon its own motion or upon the application of any party in interest, at any time, the Commission may review and modify an award (Sec. 22). The Commission's jurisdiction is continuing, and, from time to time, it may modify any former orders or findings as it may deem just (Sec. 74). COMMUTATIONS The Commission may commute periodical payments to one or more lump sum payments whenever, in the interest of justice, it shall so deem advisable (Sec. 25). Whenever possible to compute the present value of all future payments, the Commission may permit or require the payment of the amount thereof into the State Fund, whereby that fund assumes the liability and the party originally liable is discharged (Sec. 27). PREFERENCE A claim for compensation has the same preference or lien without limit of amount as a claim for unpaid wages of labor (Sec. 34). ASSIGNMENTS— EXEMPTIONS Claims for compensation may not be assigned, released or commuted, except as provided in the Act. Compensation is exempt from all claims of creditors and from levy, execution, attachment, etc, (Sec. 33). FEES AND LIENS Claims for legal services and for services of physicians or hospitals are not enforceable, unless approved by Commission. If so approved, a claim becomes a lien upon the award, but is payable only in manner fixed by the Commission (Sec. 24). SUBBROGATION If employee is injured by negligence of a third party not in same employ, he has option either to take compensation or to sue such third party for damages. If first alternative is elected, he must assign claim for damages to party liable for compensation. If second alternative is elected, the party liable for compensation need pay only the deficiency, if any, between amount of damages recovered and total amount of com- pensation (Sec. 29). guiTS FOR DAMAGES If the employer has not secured the payment of compensation as re- quired by Article 3, the injured employee has option either to recover compensation of the employer or to sue him for full damages; and in such suit for damages the employer's common law defenses are abro- gated (Sees. 11 and 52). INSURANCE Insurance in the State Fund or in some authorized company or mu- tual association is copiDulsory, with alternative to employer to carry his own risks upon proof of responsibility satisfactory to Commission, etc. (Sec. 50). Employer must post notices of compliance (Sec. 51). "The State Insurance Fund," to be managed by the Commission, is created, exempt from the common requirements as to reports, reserves, etc., and from supervision by Insurance Department, but subject to special provisions as to reports, reserves, assessments, etc. For three years its administration expenses are to be paid by State. Employers insuring therein may withdraw at any time, but remain liable for assessments for one year thereafter (Art. 5). And employers insur- ing therein are relieved from all liabilitj^ to employees (Sec. 53). ^c^iBvery policy of insurance by a company or association must provide that the Commission may enforce it, that notice to employer shall be deemed notice to insurer, etc., and that insolvency of employer shall not discharge insurer, etc.; and must cover the liability for the pay- ment of the compensation prescribed in the Act. Such policies may be cancelled only upon notice to Commission, etc. (Sec. 54). Various duties and penalties are imposed upon employers generally (Sees. 11, 2G, 52, 76 and 111-113), and upon those insuring in the State Fund in particular (Sees. 99 and 101-104). ASSOCIATIONS FOR ACCIDENT PREVENTION Upon an indefinite condition, power is conferred upon the Commis- sion, in conjunction with the Department of Labor, to prescribe rules for accident prevention (Sec. 96). 8 TEXT OF THE LAW CHAPTER 816, LAWS OF 1913 CHAPTER 67 OF THE CONSOLIDATED LAWS AN ACT In relation to assuring compensation for injuries or death of certain employees in the course of their employment and repealing certain sections of the labor law relating thereto, constituting chapter sixty- seven of the consolidated laws. TJie People of the State of 'New York, represented in Senate and Assembly, do enact as follows : CHAPTER 67 OF THE CONSOLIDATED LAWS Workmen's Compensation Law Article 1. Short title, application, definitions. (Sees. 1-3). 2. Compensation. (Sees. 10-34). 3. Security for compensation. (Sees. 50-54). 4. State workmen's compensation commission. (Sees. 60-76). 5. State insurance fund. (Sees. 90-105). 6. Miscellaneous provisions. (Sees. 110-119). 7. Laws repealed; when to take effect. (Sees. 130-131). ARTICLE 1 Short Title ; Application ; Definitions Section 1. Short title. 2. Application. 3. Definitions. Section 1. Short title. This chapter shall be known as the "work- men's compensation law." Section 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 rail- ways 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 o'utis or operates the railway, including work of express, sleeping, parlor and dining car employees on railway trains. Group 2. Construction and operation of railways 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 tele- phone 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 tele- graph lines and wires for the purposes of the business of a telegraph company, or used or to be used in connection with its business, when constructed or operated by the company. Group 7. Construction of telegraph and telephone lines not included in groups five and six. Group 8. The operation, within or without the state, including re- pair, of vessels other than vessels of other states or countries used in interstate or foreign commerce, when operated or repaired by the com- pany. 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 merchan- dise, 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 electric power lines, dynamos, or appliances, and power transmis- sion lines. Group 13. Paving ; sewer and subway construction, work under com- pressed air, excavation, tunneling and shaft sinking, well digging, laying and repair of underground pipes, cables and wires, not included in other groups. 10 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; upholstering; 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 ; manufacture 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, porce- lain 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, instruments, utensils and articles, hardware, nails, wire goods, screens, bolts, metal beds, sanitary, water, gas or electric fixtures, light machines, typewriters, cash registers, adding machines, carriage mountings, bicycles, metal toys, tools, cutlery, instruments, photographic cameras and supplies, sheet metal products, buttons. Group 24. Manufacture of agricultural implements, threshing ma- chines, traction engines, wagons, carriages, sleighs, vehicles, automobiles, motor trucks, toy wagons, sleighs or baby carriages. Group 25. Manufacture of explosives and dangerous chemicals, cor- rosive acids or salts, ammonia, gasoline, petroleum, petroleum products, celluloid, gas, charcoal, artificial ice, gun powder or ammunition. Group 26. Manufacture of paint, color, varnish, oil, japans, turpen- tine, printing ink, printers' rollers, tar, tarred, pitched or asphalted paper, 11 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 toliet preparations, soaps, candles, perfumes, non-corrosive acids or chemical preparations, fertilizers, including garbage disposal plants; shoe black- ing or polish. Group 29. Milling; manufacture of cereals or cattle foods, ware- housing; storage; operation of grain elevators. Group 30. Packing houses, abattoirs, manufacture or preparation of meats or meat products or glue. Group 31. Tanneries, Group 32. Manufacture of leather goods and products, belting, sad- dlery, harness, trunks, valises, boots, shoes, gloves, umbrellas, rubber goods, rubber shoes, tubing, tires or hose. Group 83. Canning or preparation of fruit, vegetables, fish or food stuffs ; pickle factories and sugar refineries. Group 34. Bakeries, including manufacture of crackers and biscuits, manufacture 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, hos- iery, 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. lithographing, embossing; manufacture of stationery, paper, cardboard boxes, bags, or wall-paper ; and book-binding. Group 41. The operation, otherwise than on tracks, on streets, high- ways, or elsewhere of cars, trucks, wagons or other vehicles, and rollers and engines, propelled by steam, gas, gasoline, electric, me- chanical or other power or drawn by horses or mules. 12 Group 42. Stone cutting or dressing; marble works; manufacture of artificial 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. Sec. 3. Definitions. As used in this chapter, 1. "Hazardous employ- ment" means a work or occupation described in section two of this chapter. 2. "Commission" means the state workmen's compensation com- mission, as constituted by this chapter. 3. "Employer," except when otherwise expressly stated, means a person, partnership, association, corporation, and the legal representa- tives of a deceased employer, or the receiver or trustee of a person, partnership, association or corporation, employing workmen in hazard- ous employments ; but does not include the state or a municipal cor- poration or other political subdivision thereof. 4. "Employee" means a person who is engaged in a hazardous em- ployment 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 em- ployment 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 occupation carried on by the employer for pecuniary gain. 6. "Compensation" means the money allowance payable to an em- ployee or to his dependents as provided for in this chapter, and in- cludes funeral benefits provided therein. 7. "Injury" and "personal injury" mean only accidental injuries arising out of and in the course of emploj^ment and such disease or in- fection as may naturally and unavoidably result therefrom. 8. "Death" when mentioned as a basis for the right to compensa- tion means only death resulting from such injury. 9. "Wages" means the money rate at which the service rendered is recompensed 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. 13 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 corpora- tions or mutual associations with which employers have insured, and employers permitted 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. 13. Treatment and care of injured employees. 14. Weekly wages basis of compensation. 15. Schedule in case of disability. IG. Death benefits. 17. Aliens. 18. Notice of injury. 19. Medical examination. 20. Determination of claims for compensation. 21. Presumptions. 22. Modification of award. 23. Appeals from the commission. 24. Costs and fees. 25. Compensation, how payable. 26. Enforcement of payment in default. 27. Depositing future payments. 28. Limitation of right to compensation. 29. Subrogation to remedies of employee. 30. Revenues or benefits from other sources not to affect com- pensation. 31. Agreement for contribution by employee void. 32. Waiver agreements void. 33. Assignments ; exemptions. 34. Preferences. 14 Sec. 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 per- sonal 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 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. 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, neither the injured employee nor any dependent of such employee shall receive compensation under this chapter. Sec. 11. Alternative remedy. The liability prescribed by the last preceding section shall be exclusive, except that if an employer fail to secure the payment of compensation for his injured employees and their dependents as provided in section fifty of this chapter, an injured em- ployee, 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 em- ployee assumed the risk of his employment, or that the injury was due to the contributory negligence of the employee. Sec. 12. Compensation not allowed for first two weeks. No com- pensation shall be allowed for the first fourteen days of disability, except the benefits provided for in section thirteen of this chapter. Sec. 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 em- ployee, 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 be limited to such charges as prevail in the same community for similar treatment of injured persons of a like standard of living, 15 Sec. 14. Weekly wages basis of compensation. Except as other- wise provided in this chapter, the average weelily wages of the injured employee at the time of the injury shall be taken as the basis upon which to compute compensation or death benefits, and shall be deter- mined 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 employ- ment 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 earnings 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 em- ployees of the same or most similar class, working in the same or most similar employment in the same or neighboring locality, shall reason- ably represent the annual earning capacity of the injured employee In the employment in which he was working at the time of the acci- dent; 4. The average weekly wages of an employee shall be one-fifty-sec- ond part of his average annual earnings ; 5. If it be established that the injured employee was a minor when injured, and that under normal conditions his wages would be expected to increase, the fact may be considered in arriving at his average weekly wages. Sec. 15. Schedule in case of disability. The following schedule of compensation 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 totai 16 disability. In all other cases permanent tofal disability shall be deter- mined in accordance with the facts. 2. Temporary total disability. In case of temporary total dis- ability, 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 thousand 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 be 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, twenty-five weeks. Fourth finger. For the loss of a fourth finger, commonly called the little finger, fifteen v\'eeks. 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, how- ever, 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 considered to be equal to the loss of one-half of said toe, and the com- pensation 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. *In the certified copy of the Act, this word reads "employer." 17 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. Amputations between the elbow and the wrist shall be considered 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 con- sidered 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 thir- teen of this chapter. Other cases. In all other cases in this class of disability, the com- pensation shall be sixty-six and two-thirds per centum of the differ- ence between his average weekly wages and his wage-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 one, two and four and under subdivision three except in case of the loss of a hand, arm, foot, leg or eye, shall not exceed fifteen dollars per week nor be less than 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 the employee's wages at the time of injury are less than five dollars per week he shall receive his full weekly wages. 18 6. Previous disability. The fact that an employee has suffered previous disability or received compensation therefor shall not pre- clude him from compensation for a later injury nor preclude com- pensation for death resulting therefrom ; but in determining compensa- tion 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. Sec. 16. Death benefits. If the injury causes death, the compen- sation 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 husband) thirty per centum of the average wages of the deceased during widowhood (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 hus- band) then for the support of each such child until of the age of eighteen years, fifteen per centum of the wages of the deceased, pro- vided 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 hus- band) 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 grand-children 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 grandparent, 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 payable under this subdivision exceed the difference between sixty-six and two-thirds per centum of such wages, and the amount payable as hereinbefore provided to sur- viving wife (or dependent husband) or for the support of surviving child or children. 19 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. Sec. 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, commute all future installments of com- pensation 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 commission. Sec. 18. Notice of injury. Notice of an injury for which com- pensation is payable under this chapter shall be given to the com- mission 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 compensation, 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 dependents, 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 commis- sion 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 em- ployer 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 upon 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, insiirance company, or employer, as the case may be, has not been prejudiced thereby, shall be a bar to any claim under this chapter. Sec. 19. Medical examination. An employee injured claiming or entitled to compensation under this chapter shall, if requested by the commission, submit himself for medical examination 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 request he shall be entitled to have a phy- sician or physicians of his own selection to be paid by him present 20 to participate in sucii 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. Sec. 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 commis- sion shall have full power and authority to determine all questions in relation to the payment of claims for compensation under the pro- visions 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 sahie 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 arbitration committee appointed by it and consisting of one representative of employees, one representative of employers, and either a member of the commission or a person specially deputized by the 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 commission shall be final as to all questions of fact, and, except as provided in section twenty-three, as to all questions of law. Sec. 21. Presumptions. In 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. Sec. 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 commission may at any time review any award, 21 and, on such review, may make an award ending, diminishing or increasing the compensation previouslj- awarded, subject to the maxi- mum or minimum provided in this chapter, and shall state its con- clusions 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. Sec. 23. Appeals from the commission. An award or decision of the commission shall be final and conclusive upon all questions within its jurisdiction, 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 represent the commission thereon. An appeal may also be taken to the court of appeals in all cases where such an appeal would lie from a decision of an appellate division, in the same manner and subject 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 determ- ination of such an appeal, the commission shall make an award or decision in accordance therewith. Sec. 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 party who has so brought them. Claims for legal services in connection with any claim arising under this chapter, and claims for services or treatment rendered or supplies furnished pursuant to section thirteen of this chapter, shall not be enforceable unless approved by the commis- sion. 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. Sec. 25. Compjensation, how payable. Compensation under the provisions of this chapter shall be payable periodically, in accord- ance with the method of payment of the wages of the employee at the time of his injury or death, and shall be so provided for in any 22 award; but the commission may determine that all payments or pay- ments 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 spe- cially 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 deposits to secure the prompt and convenient payment of such compensation. Sec. 26. Enforcement of payment in default. If payment of com- pensation, 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 institute^ 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 com- mission may, if the present value of such compensation be comput- able, declare the whole amount thereof due, and recover the amount thereof with the added penalty of fiftj^ per centum, as provided by this section. Any such action may be compromised by the commis- sion 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 treas- ury, and be applicable to the expenses of the commission. Sec. 27. Depositing future payments. If an award under this chapter requires payment of compensation by an employer or an insurance corporation in periodical payments, and the nature of the injury makes it possible to compute the present value of all future payments with due regard for life contingencies, 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 there- upon such employer or insurance corporation shall be discharged 23 from any further liability under such award and payment of the same shall be assumed by the state fund. Sec. 28. Limitation of right to compensation. The right to claim compensation under this chapter shall be forever barred unless within one year after the injury, or if death result therefrom, within one year after such death, a claim for compensation thereunder shall be tiled with the commission. Sec. 29. Subrogation to remedies of employee. If a workman en- titled 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 death, his dependents, shall, 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 elec- tion 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 compensa- tion 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 conit)romised by the com- mission. 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. Sec. 30. Revenues or benefits from other sources not to affect com- pensation. No 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. Sec. 31. Agreement for contribution by employee void. No agree- ment 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, maintained for or carried for the purpose of providing compensation as herein required, shall be valid, and any 24 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. Sec. 32. Waiver agreements void. No agreement by an employee to waive his right to compensation under this chapter shall be valid. Sec. 33. Assignments ; exemptions. Claims for compensation or benefits due under this chapter shall not be assigned, released or com- muted except as provided by this chapter, and shall be exempt from all claims of creditors and from levy, execution and attachment or other remedy for recovery or collection of a debt, which exemption may not be waived. Compensation and benefits shall be paid only to employees or their dependents. Sec. 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 al- lowed by law for a claim for unpaid wages for labor. ARTICLE 3. Security for Compensation-. Sec. 50. Security for payment of compensation. 51. Posting of notice regarding compensation. 52. Effect of failure to secure compensation. 53. Release from all liability. 54. The insurance contract. Sec. 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 compen- sation in the state fund, or 2. By insuring and keeping insured the payment of such compen- sation with any stock corporation or mutual association authorized to transact the business of workmen's compensation insurance in this state. If insurance be so effected in such a corporation or mutual association the employer shall forthwith 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 finan- cial ability to pay such compensation for himself, in which ease the commission may, in its discretion, require the deposit with the com- mission of securities of the kind prescribed in section thirteen of the 25 insurance \a\r, in an amount to be determined by the commission, to secure his liability to pay the compensation provided 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 compensa- tion as provided in this section. Sec. 51. Posting of notice regarding compensation. Every em- ployer who has complied with section fifty of this chapter shall post and maintain in a conspicuous place or places in and about his place or places of business typewritten 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 pay- ment of compensation to his employees and their dependents in accord- ance with the provisions of this chapter. Sec. 52. Effect of failure to secure compensation. Failure to se- cure the payment 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 this chapter. Sec. 53. Release from all liability. An employer securing the pay- ment of compensation by contributing premiums to the state fund shall thereby become relieved from all liability for personal injuries or death sustained by his employees, and the persons entitled to compen- sation under this chapter shall have recourse therefor only to the state fund and not to the employer. An employer shall not otherwise be relieved from the liability for compensation prescribed by this chapter except by the payment thereof by himself or his insurance carrier. Sec. 54. The insurance contract. 1. Right of recourse to the in- surance carrier. Every policy of insurance covering the liability of the employer for compensation issued by a stock company or by a mutual association authorized to transact workmen's compensation insurance in this state shall contain a provision 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 com- pensation 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 pay- ment of such compensation ; provided, however, that payment in whole or in part of such compensation by either the employer or the insur- ance carrier shall to the extent thereof be a bar to the recovery against the other of the amount so paid. 26 2. Knowledge and jurisdiction of the employer extended to cover the insurance 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 jurisdiction 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 effect that the in- solvency or bankruptcy of the employer shall not relieve the insur- ance carrier from the payment of compensation for injuries or death sustained by an employee during the life of such policy. 4. Limitation of indemnity agreements. Every contract or agree- ment 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 absolutely void unless it shall also cover lia- bility for the payment of the compensation 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. ARTICLE 4. State Workmen's Compensation Commission. Sec. 60. State workmen's compensation commission. 61. Secretary, deputies and other employees. 62. Salaries and expenses. 27 63. Office. 64. Sessions of commission. 65. Powers oi' individual commissioners and deputy commis- sioners. 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. Sec. 60. State workmen's compensation commission. A state work- men's compensation commission is hereby created, consisting of five commissioners, to be appointed by the governor, by and with the ad- vice 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. Suc- cessors shall be appointed in like manner for a full term of five years. Vacancies shall be filled in like manner by appointment for the unex- pired 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 com- missioner 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 commissioner be removed, the governor shall file in the office of the secretary of state a complete statement of all charges made against 28 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 any com- mittee of a political party. The commission shall have an official seal which shall be judicially noticed. Sec. 61. Secretary, deputies and othet employees. The commis- sion may appoint one or more deputy commissioners and a secretary to hold office during its pleasure. It may also employ, during its pleasure, an actuary, accountants, medical doctors, clerks, stenogra- phers, inspectors and other employees as may be needed to carry out the provisions of this chapter. The authority, duties and compensa- tion of all subordinates and employees, except as provided by this chapter, shall be fixed by the commission. Sec. 62. Salaries and expenses. The chairman of the commission shall receive an annual salary of ten thousand dollars, and each other commissioner, an annual salary of seven thousand dollars. The secre- tary shall receive an annual salary of five thousand dollars. The com- missioners and their subordinates shall be entitled to their actual and necessary expenses while traveling on the business of the com- mission. The commission may 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 com- mission, 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 treas- ury upon vouchers signed by at least two commissioners. Sec. 63. Office. The commission shall keep and maintain its princi- pal office in the city of Albany, in rooms In the capitol assigned by the trustees of public buildings. The office shall be supplied with neces- sary office furniture, supplies, books, maps, stationery, telephone con- nections and other necessary appliances, at the expense of the state, payable in the same manner as other expenses of the commission. Sec. 64. Sessions of commission. The commission shall be in con- tinuous 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, without further notice. Whenever con- venience 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 commis- 29 sion 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 com- missioner'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. Sec. 65. Powers of individual commissioners and deputy commis- sioners. Any investigation, inquiry or hearing which the commis- sion is authorized to hold or undertake may be held or taken by or before any commissioner or deputy commissioner, and the award, de- cision or order of a commissioner or deputy commissioner, w^hen approved and confirmed by the commission and ordered filed in its office, shall be deemed to be the award, decision or order of the com- mission. Each commissioner and deputy shall, for the purposes of this chapter, have power to administer oaths, certify to official acts, take depositions, 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 hearing, in which case he shall have the power of a commissioner in respect thereof. Sec. 66. Powers and duties of secretary. The secretary of the commission shall : 1. Maintain a full and true record of all proceedings of the com- mission, of all documents or papers ordered filed by the commission, of decisions or orders made by a commissioner or deputy commis- sioner, and of all decisions or orders made by the commission or ap- proved and confirmed by it and ordered filed, and he shall be respon- sible to the commission for the safe custody and preservation of all such documents at its office; 2. Have power 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 com- mission, 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 commission may prescribe. Sec. 67. Rules. The commission shall adopt reasonable rules, not inconsistent with this chapter, regulating and providing for 30 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 compensation ; 4. The method of making investigations, physical examinations and inspections ; 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 em- powered to receive and disburse moneys, to be approved by the attor- ney-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 in- surance fund. Sec. 68. Technical rules of evidence of procedure not required. The commission or a commissioner or deputy commissioner in making an investigation 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 substantial rights of the parties. Sec. 69. Issue of subpoena ; penalty for failure to obey. A sub- poena shall be signed and Issued by a commissioner, a deputy com- missioner or by the secretary 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 subpoena, 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. Sec. 70. Recalcitrant witnesses punishable as for contempt. If a person in attendance before the commission or a commissioner or deputy commissioner refuses, without 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 31 supreme court upon proof by affidavit of the facts for an order re- turnable in not less than two nor more than five days directing such person to show cause before the justice who made the order, or any other justice of the supreme court, why he 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 forthwith, 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. Sec. 71. Fees and mileage of witnesses. Each witness who appears in obedience to a subpoena before the commission or a commissioner or deputy commissioner, 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, whch shall be audited and paid from the state treasury in the :same manner as other expenses of the commission. A witness sub- poenaed at the instance of a party other than the commission, a com- missioner, 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 ma- terial to the matter investigated, but not otherwise. Sec. 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. . Sec. 73. Transcript of stenographer's minutes; effect as evidence, A transcribed 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 ap- pointed by the commission, being certified by such stenographer to be a true and correct transcript thereof and to have been carefully com- pared 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. Sec. 74. Jurisdiction of commission to be continuing. The power and jurisdiction of the commission over each case shall be con- 32 tinning, and it may, from time to time, make such modificatiou or change with respect to former findings or orders relating thereto, as in its opinion may be just. Sec. 75. Report of commission. Annually on or before the first day of Februarj% the commission shall make a report to the legisla- ture, which shall include a statement of the number of awards made by it and the causes of the accidents leading to the injuries for which the awards were made, a detailed statement of the expenses of the commission, the condition of the state 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. Sec. 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 em- ployers, proofs of injury or death, of medical or other attendance or treatment, of employment and wage earnings, and for such other pur- poses as may be required. Insured employers shall constantly keep on hand a sufficient supply of such blanks. « ARTICLE 5. State Insurance Fund. Sec. 90. Creation of state fund. 91. State treasurer custodian of fund. 92. Surplus and reserve. 9.3, Investment of surplus or reserve. 94. Administration expense. 95. Classification of risks 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. 33 Sec. 90. Creation of state fund. There is hereby created a fund to be known as "The State Insurance Fund," for the purpose of insur- ing emploj^ers against liability under this chapter and of assuring to the persons entitled thereto the compensation provided by this chap- ter. Such fund shall consist of all premiums 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 be- longing to the fund and deposited or invested as herein provided. 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 in- surance and to the payment of expenses in the manner provided in this chapter. Sec. 91. State treasurer custodian of fund. The state treasurer shall be the custodian of the state insurance fund ; and all disburse- ments therefrom shall be paid by him upon vouchers authorized by the commission and signed by any two members thereof. The state treas- urer shall give a separate and additional bond in an amount to be fixed by the governor and with sureties approved by the state comp- troller conditioned for the faithful performance of his duty as cus- todian 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 the state insurance fund deposited by the state treasurer shall be collected by him and placed to the credit of the fund. Sec. 92. Surplus and reserve. Ten per centum of the premiums collected from employers Insured in the fund shall be set aside by the commission for the creation of a surplus until such surplus shall amount to the sum of one hundred thousand dollars, and thereafter five per centum of such premiums, until such time as in the judg- ment of the commission such surplus shall be sufficiently large to cover the catastrophe hazard. The commission shall also set up and maintain a reserve adequate to meet anticipated losses and carry all claims and policies to maturity. Sec. 93. Investment of surplus or reserve. The commission may, pursuant to a resolution of the commission approved by the comp- troller, invest any of the surplus or reserve funds belonging to the state insurance fund in the same securities and investments author- ized for investment by 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 34 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 vouch- ers 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. Sec 94 Administration expense. The entire expense of admin- istering the state insurance fund shall 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 ad- ministration of the state insurance fund exclusive of the expense for the examination, determination and payment of claims, and shall re- fund such amount to the state treasury. If there be employees of the commission other than the commissioners themselves and the secre- tarv whose time is devoted partly to the general work of the com- mission and partly to the work of the state insurance fund, and m 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 thirtv-one nineteen hundred and seventeen, and annually thereafter, the Commission shall calculate the total administrative expense in- curred during the preceding calendar year in connection with the examination, determination and payment of claims and the percentage which this expense bore to the total compensation payments made during that year. The 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. Sec 95 Classification of risks and adjustment of premiums. Em- plovments coming under the 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 the amounts collected and expended in respect to each such group for convenience in determining equitable rates ; but for the purpose of paying compen- sation the state fund shall be deemed one and indivisible. The com- mission shall have power to rearrange any of the groups set forth in section two by withdrawing any employment embraced in it and 85 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 employ- ment 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. Sec. 9G. Associations for accident prevention. The employers in any of the groups described in section two or established by the com- mission 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 sufficiently represents the employers in such group, it may approve such rules, and when so approved and approved by the indus- trial board of the labor department they shall be binding on all em- ployers in such group. If such an approved association appoint an in- spector 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 asso- ciation may make recommendations to the commission concerning the fixing of premiums for classes of hazards, and for individual risks within such group. Sec. 97. Requirements in classifying employment and fixing and adjusting premium 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, including 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 thereafter, and at such other times as the commission, in its dis- cretion, 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 36 have developed an average loss ratio, lu accordance with the experi- ence of the commission in the administration of the law as shown by the accounts kept as provided herein ; 3. If any such accounting show an ag.^n\u:ite balance (deemed by the commission to be safely and properly divisible*) 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 awards for injury or death lawfully chargeable against the same, the commission 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 premius 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 cal- culated 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 de- termined in accordance with the amount of the actual expenditure of wages for such period ; and, if such wage expenditure for such l^eriod 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 pay- ments, at his option ; and if such actual premium, when so ascertained, exceeds in amount a premium so paid by such employer at the begin- ning of such six months, such employer shall immediately upon being advised of the true amount of such premium due, forthwith pay to the treasurer of the state an amount 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. Sec. 98. Time of payment of premiums. Except as otherwise pro- vided in this chapter, all premiums shall be paid by every employer into the state insurance fiind on or before July first, nineteen hun- dred and fourteen, and semi-annually thereafter, or at such other time or times as may be prescribed by the commission. The com- *Spelled "devisible " in certified copy. 37 mission shall mail a receipt for the same to the employer ancl place the same to the credit of the state insurance fund in the custody of the state treasurer. Sec. 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 commission on the first Monday of each month after July first, nineteen hundred and four- teen, to certify to the attorney-general of the state the names and residences, or places of business, of all employers known to the com- mission 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 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 provisions of this chapter re- quiring 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. Sec. 100. Withdrawal from fund. Any employer may, upon com- plying with subdivision two or three of section fifty of this chapter, withdraw from the fund 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, not- withstanding such withdrawal, continue for one year after the date of such withdrawal as against nil liabilities for such compensation ac- cruing prior to such withdrawal. Sec. 101. Audit of payrolls. Every employer who is insured in the state insurance fund shall keep a true and accurate record of the number of his employees and the wages paid by him, and shall fur- nish 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. Sec. 102. Falsification of payroll. An employer who shall wilfully misrepresent 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 38 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. Sec. 103. Wilful misrepresentation. Any person who wilfully mis- represents any fact in order to obtain insurance in the state insur- ance 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 mis- demeanor. Sec. 104. Inspections. The commission shall have the right to in- spect 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. Sec. 105. Disclosures prohibited. Information acquired by the com- mission or its officers or employees from employers or employees pur- suant 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. Miscellaneous Provisions. Section 110. Penalties applicable to expense of commission. 111. Record and report of injuries by employers. 112. Information to be furnished by employer. 113. Inspection of records of employers. 114. Interstate commerce. 115. Penalties for false representations. 116. Limitation of time. 117. Duties of commissioner of labor. 118. Unconstitutional provisions. 119. Actions or causes of action pending. Sec. 110. Penalties applicable to expenses of commission. All pen- alties imposed by this chapter shall be applicable to the expenses of the commission. When 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. Sec. 111. Record and report of injuries by employers. Every em- ployer shall keep a record of all injuries, fatal or otherwise, received 39 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 employer to the 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 mis- demeanor, punishable by a fine of not more than five hundred dol- lars. Sec. 112. Information to be furnished by employer. Every em- ployer shall furnish the commission, upon request, any information required by it to carry out the provisions of this chapter. The com- mission, a commissioner, deputy commissioner, or any person deputized by the commission for that purpose, may examine under oath any employer, officer, 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 unable to do so, shall give good and sufficient reasons for such failure. Answer to such questions shall be verified under oath and returned to the commission within the period fixed by the commission therefor. Sec. 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 alwaya 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. Sec. 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 has 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, sub- ject to the approval and in the manner provided by the commission and so far as not forbidden by apy act of congress, accept and be- come bound by the provisions of this chapter in like manner and with 40 the same effect in all respects as provided herein for other employers and their employees. Sec. 115. Penalties for false representation. If for the purpose of obtaining any benefit or payment under the provisions of this chap- ter, either for himself or any other person, any person wilfully makes a false statement or representation, he shall be guilty of a misde- meanor. Sec. 116. Limitation of time. No limitation of time provided in this chapter shall run as against any person who is mentally incom- petent or a minor dependent so long as he has no committee, guardian or next friend. Sec. 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. Sec. 118. 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 w^hole or any part thereof other than the part so decided to be uncon- stitutional or invalid. Sec. 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; When to Take Effect. Section 130. Laws repealed. 131. When to take effect. Sec. 130. Laws repealed. Article fourteen-a and sections two hun- dred 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 hun- dred and ten, are hereby repealed. Sec. 131. When to take effect. This chapter shall take effect January first, nineteen hundred and fourteen, provided that the ap- plication of this chapter as between employers and employees and the payment of compensation for injuries to employees or their depend- ents, in case of death, shall take effect July first, nineteen hundred and fourteen, but payments into the state insurance fund may be made prior to July first, nineteen hundred and fourteen. Approved by the Governor, December 16, 1913. 41 CERTIFICATION. State of New York, i Office of the Secretary of State. ( I have compared the preceding with the original law on file in this office, and do hereby certify that the same is a cor- rect transcript therefrom, and of the whole of said original law. [SEAL] Given under my hand and the seal of office of the Secre- tary of State, at the City of Albany, this seventeenth day of December in the year one thousand nine hundred and thir- teen. JOSE E. PIDGEON, Second Deputy Secretary of State. 42 >^-f*-«s \\:'' v.- KEL EYL BRARIES U.C. BER CDES71Sllb x^^^i i UNIVERSITY OF CALIFORNIA LIBRARY