Who Has To Pay For The Damage?

I'm working for a independent contractor delivering camper trailers right now and I'm a 1099 employee with him. Last week the back of the trailer got damaged when I was pulling into a parking lot. My boss said I would have to pay for the damages on the camper trailer. Is this true?

Somebody has to have insurance, so I would guess they would have to use it.

This is one of the huge problems when you are a 1099 worker. Basically you are an independent contractor whether you like it or not. It usually has no bad effects on the person until tax time or when they damage something that is in their charge. That is when you learn all the dirty little secrets of why the employer has you on a 1099 system of pay. As a former employer for thirty years I can tell you two things about this scenario.

Number One: You are liable for the damages.

Number Two: If you were to press the issue, you could probably prove that technically you are really not a true 1099 contractor. Your employer has tried to convince you that you are so that they can avoid having to pay the required payroll taxes.

I'd be willing to bet that if your employer knew you were going to contact the IRS about this little problem, they would pay the damages and let you know that you need to find some other employment.

I'm not an attorney, and please don't take that as legal advice. It is just good old common sense, and a little understanding about how some of the weasels in the business world operate their businesses under the radar.

Yes, Bob, many people use the 1099 excuse to avoid the hassle and expense of maintaining you as an employee.

Who owns the equipment? If you own the truck and maybe the trailer, and you pay the expenses of the truck, and your boss pays you for all that, that sounds like an owner/operator and you just might be an independent contractor.

If you drive the boss'es truck & trailer, and he pays the fuel while you are on your own for your food & lodging, odds are you are an employee and you don't know it. If this sounds like your situation, your boss could be in a heap o' trouble.

That's what Old School's talking about. The second situation is illegal, and your boss might just ask you to go away quietly if you want to press him on it.

(Opinions of a truck stop lawyer are worth precisely what you paid for them.)

Alright. That was what I wanted to know right there. Thanks for the replies Gladiator 76, Old School, and Errol V. I appreciate it. I might have to press it a little bit because I do use my bosses truck and trailer and he pays for fuel and tolls.

I do use my bosses truck and trailer and he pays for fuel and tolls.

Bingo!

You are not considered a 1099 contractor by the IRS under those circumstances, and I can almost guarantee you that your boss is fully aware of the rules. This goes on all the time, especially in the trucking industry. If you do not want to have to pay those damages, you will probably be looking for another job. Your boss, unless he is a real low life, has insurance, and that is who is liable in this instance.

Bob, here's an FYI. A friend* was in a similar situation: driving the boss'es auto carrier from MD to CO. My friend was paid 1099, same as you.

Here's the heads up: my friend quit which made his ex-boss mad and he would not confirm 4 months employment. So my friend had to roll with a mentor at a "real" Trucking company since he could not confirm his experience.

* This is not hearsay or some story. I talked my friend out of this fake 1099 situation.

Lucky for you as a 1099 employee you get to match all your own social security taxes., but I'm sure you knew that. You get to make sure there all paid. It will go down as the other posters advice. If you don't wanna pay it his uninsured insurance will pay it., you will no longer have a job but hey you showed him. Then there's you pay it keep your job but remember you mess up a tire you will also pay for that. Morale of story trh as hard as you can to find non1099 workplace as that tax money will be spent like its yours and get you behind quickly.