6th Circuit Rejects Subcontractor's 'Loaned Servants' Defense

CINCINNATI - The 6th Circuit Court of Appeals has reversed summary judgment awarded to a refrigeration company sued for indemnity in a carbon monoxide case, holding that the subcontractor's employees were not, in fact, "loaned servants" of another subcontractor seeking indemnification. Asher, et al. v. Atlas Material Handling Inc., Nos. 09-5182 and 09-5183 (6th Cir.).

The Circuit Court panel declined to address a second issue on appeal, whether the U.S. District Court for the Eastern District of Kentucky properly dismissed defendant Unarco's crossclaim against the same third-party defendant on procedural grounds. Unarco had agreed that the issue would be moot …