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Liberty Mutual Insurance Co. v. Friedman

639 F.2d 164 (1981)

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Liberty Mutual Insurance Co. v. Friedman

United States Court of Appeals for the Fourth Circuit

639 F.2d 164 (1981)

Facts

Liberty Mutual was an underwriter of workers’-compensation-insurance policies for many companies that were government contractors. Executive Order 11246 required government contractors and subcontractors to agree to certain nondiscrimination and affirmative-action requirements. In 1977, the Office of Federal Contract Compliance Programs (OFCCP) (defendant) notified Liberty Mutual that Liberty Mutual was a government subcontractor because it was providing a service necessary to the performance of government contracts, as all employers were required by law to have workers’-compensation insurance. The district court determined that the subcontractor determination was correct, and Liberty Mutual appealed. Liberty Mutual argued that it was not a subcontractor as defined by regulation and that the definition of subcontractor was beyond the scope of congressional authority.

Rule of Law

Issue

Holding and Reasoning (Phillips, J.)

Concurrence/Dissent (Butzner, J.)

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