Loos v JB Installed Sales, Inc., 775 NW2d 139 (2009)
The Supreme Court reversed the judgment of the Court of Appeals and reinstated the decision of the Workers’ Compensation Magistrate. The Supreme Court held that the Court of Appeals improperly found that income tax records regarding whether the plaintiff was paid wages or non-employee compensation are irrelevant to the question of whether the plaintiff is an employee under MCL418.161(1)(n). The plaintiff in this case fell from a roof and sustained injuries while working for a roofing company. The magistrate determined that the plaintiff was an independent contractor and denied benefits on account of the plaintiff’s tax records that revealed his earnings from the employer were reported as non-employee earnings. The WCAC reversed the magistrate in a unanimous decision, indicating “the statutory language makes it clear that the proper focus is on the plaintiff’s action and not the party’s labels.” The Supreme Court disagreed and seemingly backed off somewhat from the presumption of employment despite significant facts to the contrary.