A 'choice of law' provision determines which state's law applies to a workers' compensation arrangement. Which description is correct?

• A. The law of the state where the employee is hired or usually works
• B. Federal law always governs workers' compensation
• C. The employee can choose any state's law at will
• D. The employer's preferred state law governs

Answer: (A)

In workers’ compensation, which state's law applies is determined by the state where the employee is hired or normally works. This reflects that each state administers its own no-fault workers’ comp program, with rules for coverage, benefits, and procedures tied to that state. Federal law does not govern workers’ compensation in the same way, so it’s not universal. An employee cannot freely choose any state's law, and the employer’s preferred state law does not automatically govern; the governing law follows the employee’s work location.