Okla. Stat. tit. 85A, § 85A-36: Liability other than immediate employer

A. If a subcontractor fails to secure compensation required by

the Administrative Workers' Compensation Act, the prime contractor

shall be liable for compensation to the employees of the

subcontractor unless there is an intermediate subcontractor who has

workers' compensation coverage.

B. 1. Any contractor or the contractor's insurance carrier who

shall become liable for the payment of compensation on account of

injury to or death of an employee of his or her subcontractor may

recover from the subcontractor the amount of the compensation paid

or for which liability is incurred.

2. The claim for the recovery shall constitute a lien against

any monies due or to become due to the subcontractor from the prime

contractor.

3. A claim for recovery shall not affect the right of the

injured employee or the dependents of the deceased employee to

recover compensation due from the prime contractor or his or her

insurance carrier.

C. 1. a. When a subcontractor elects not to secure compensation

and is not required to secure compensation pursuant to

this title, the prime contractor is not liable under

the Administrative Workers' Compensation Act for

injuries sustained by the subcontractor or any person

working with the subcontractor who is not considered

an employee of the subcontractor pursuant to Section 2

of this title, and if the injured person is not an

employee of the prime contractor.

b. (1) If a subcontractor has filed with the Commission

an unexpired Affidavit of Exempt Status, the

subcontractor and any person who works with the

subcontractor but is not considered an employee

of the subcontractor pursuant to Section 2 of

this title shall be conclusively presumed not to

be covered by the law or to be employees of the

prime contractor during the term of the

affidavit.

(2) This provision shall not affect the rights or

coverage of any employee of a subcontractor.

2. The prime contractor's insurance carrier shall not be liable

for injuries to the subcontractor described in this section who have

filed an unexpired Affidavit of Exempt Status, and the carrier shall

not include compensation paid by the prime contractor to the

subcontractor described above in computing the insurance premium for

the prime contractor.

D. 1. Any individual or business entity that is not required

to secure compensation pursuant to the requirements of the

Administrative Workers' Compensation Act may execute an Affidavit of

Exempt Status. The "Affidavit of Exempt Status" shall be a form

prescribed by the Workers' Compensation Commission available on the

Commission's website. The Commission may assess a nonrefundable fee

not to exceed Fifty Dollars ($50.00) per individual or business

entity for filing of an Affidavit of Exempt Status at the

Commission. An Affidavit of Exempt Status executed and filed with

the Commission shall expire at midnight two (2) years from the date

filed. A new Affidavit of Exempt Status may be filed prior to

expiration to renew an existing Affidavit of Exempt Status.

2. a. Knowingly providing false information on an executed

affidavit shall constitute a misdemeanor punishable by

a fine not to exceed One Thousand Dollars ($1,000.00).

b. In the event changed circumstances make securing

compensation pursuant to the requirements of the

Administrative Workers' Compensation Act necessary,

the individual or business entity on whose behalf the

affidavit was executed shall execute and file a

Cancellation of Affidavit of Exempt Status. The

Commission shall prescribe a form for cancellation of

an affidavit which shall be available on the

Commission's website.

c. Affidavits shall conspicuously state on the front

thereof in at least ten-point, bold-faced print that

it is a crime to falsify information on the form.

d. The Commission shall immediately notify the Workers'

Compensation Fraud Unit in the Office of the Attorney

. The

Commission shall prescribe a form for cancellation of

an affidavit which shall be available on the

Commission's website.

c. Affidavits shall conspicuously state on the front

thereof in at least ten-point, bold-faced print that

it is a crime to falsify information on the form.

d. The Commission shall immediately notify the Workers'

Compensation Fraud Unit in the Office of the Attorney

General of any violations or suspected violations of

this section. The Commission shall cooperate with the

Fraud Unit in any investigation involving affidavits

executed pursuant to this section.

The execution or filing of an affidavit shall not affect the

rights or coverage of any employee of the affiant or business entity

on whose behalf the affiant executes or files an affidavit.

3. Fees collected pursuant to this section shall be deposited

in the State Treasury to the credit of the Workers' Compensation

Commission Revolving Fund.

E. If work is performed by an independent contractor on a

single-family residential dwelling occupied by the owner, or the

premises of such dwelling, or for a farmer whose cash payroll for

wages, excluding supplies, materials and equipment, for the

preceding calendar year did not exceed One Hundred Thousand Dollars

($100,000.00), such owner or farmer shall not be liable for

compensation under the Administrative Workers' Compensation Act for

injuries to the independent contractor or his or her employees.

F. If an owner of a project or job enters a contract with a

contractor, and the owner of the project or job does not

substantively form an employment relationship with its contractor,

then the owner of the project or job shall not be liable for

compensation for a compensable injury to any contractor or

subcontractor in any tier or employee of any contractor or

subcontractor in any tier.