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Dual Capacity

Dual Capacity


Dual Capacity — the principle, defined in a number of court cases, that a business may stand in relation to its employee not only as employer, but also as supplier of a product, provider of a service, owner of premises, etc. When a work-related injury arises out of one of these secondary relationships, the exclusivity of workers compensation as a source of recovery to the injured worker may be challenged, and the employee may be allowed to sue the employer. Such actions are covered by the employers liability insurance of the standard workers compensation policy.

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