Virginia Court Exempts Contractors From Power Line Reimbursement
The state Supreme Court ruled contractors are not required to reimburse a utility's $800,000 fatality settlement under the Overhead High Voltage Line Safety Act.
Updated on Nov. 3, 2026 in Accidents
The Virginia Supreme Court ruled that contractors were exempt from the reimbursement requirement of Virginia's Overhead High Voltage Line Safety Act. The decision followed the death of a worker who was electrocuted when a steel cable he was walking contacted a power line during work in Accomack County.
Why it matters
The ruling limits a utility's ability to recover settlement costs from contractors whose work near power lines leads to fatalities. Because a federal court's dismissal of the related suit was left in place, the $800,000 settlement paid by the cooperative's insurer is not recoverable under the statute as applied here.
The Virginia Supreme Court ruled contractors exempt from the Overhead High Voltage Line Safety Act's reimbursement requirement, and a federal district court's dismissal of the insurer's suit was left in place. The insurer's recovery of the $800,000 settlement from the contractors therefore remains blocked.
The players
Virginia Supreme Court
The state's highest court, which ruled that contractors are exempt from the reimbursement requirement of the Overhead High Voltage Line Safety Act.
A&N Electric Cooperative
The electric utility cooperative whose power line was contacted by the steel cable, and on whose behalf the insurer sought reimbursement.
The details
Kelvin Finck, an employee of Dietzel Enterprises, was electrocuted when a steel cable he was walking into a tower foundation site contacted a power line owned by A&N Electric Cooperative, and he died several days later. His estate sued the companies involved, and Allstate Towers settled while Dietzel Enterprises was dismissed under workers compensation exclusivity.
Timeline
Finck died several days after the electrocution, date not specified in the source.
The Virginia Supreme Court issued its ruling last week, relative to November 3, 2026.
Legal Context
The ruling interprets Virginia's Overhead High Voltage Line Safety Act, which requires parties working near overhead power lines to notify the utility and arrange safety measures. By exempting contractors from the reimbursement requirement, the court limits the statute's use as a recovery tool for utilities and their insurers after worksite electrocutions.
Utilities and insurers face limits on recovering costs from contractors whose work near overhead lines causes injuries or deaths. Contractors working near power lines in Virginia are not subject to the Act's reimbursement requirement under the ruling.
The takeaway
Contractors working near overhead power lines in Virginia should be aware that the state's reimbursement requirement under the Overhead High Voltage Line Safety Act does not apply to them, so utilities may need other means to recover losses. Companies in similar work should review their notification and safety obligations independently of the statute.
Further reading
Explore more Virginia accidents coverage for related regional reporting.
Source note: This article includes information reported by Business Insurance.
