Legal Question in Business Law in Missouri
In a case where a company hires a 3rd party administrator to handle their payroll, health insurance, life insurance, etc. and the 3rd party admin. goes out of business, files bankruptcy and assets are seized by the IRS and FBI, does the liability fall back on the company that hired the 3rd party administrator for the unpaid health related bills?
1 Answer from Attorneys
The administrator is not the insurer, so the health insurer should still be liable for medical bills. If the 3rd party administrator took the money deducted form payroll an dfiael dot pay the health insurance premiums, then the adminstrator's bonding company shoudl be liable. If the employer failed to require that the administrator be bonded, then they may be liable for employee's losses or out of pocket expenses.
Good luck
Related Questions & Answers
-
My boss laid me off Nov 2, 2009. He kept my last paycheck for a little over 8 mths.... Asked 9/21/10, 10:31 am in United States Missouri Business Law
-
A business using the name Car Bay or Toy Bay, with an auction section and a... Asked 9/02/10, 5:16 pm in United States Missouri Business Law
-
I was required to sign a Bill of Sale for my store by the corporate franchise HQ... Asked 8/26/10, 11:42 am in United States Missouri Business Law
-
If a partner leaves a company in Aug 2002 and all ties, compensation, etc. are... Asked 8/18/10, 12:51 pm in United States Missouri Business Law
Looking for something else?
10,200 active attorneys ready to answer your legal questions today.
Featured Attorneys
Earn additional revenue and grow your business.
