Definitions.

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  2. Oklahoma Statutes
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  4. Definitions.

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1. “Client” means any person who enters into a coemployment relationship as a coemployer with a professional employer organization (PEO);

2. “Coemployer” means either a PEO or a client;

3. “Coemployment relationship” means:

  • a.as between coemployers, a relationship whereby the rights, duties and obligations of an employer which arise out of an employment relationship have been allocated between coemployers pursuant to a professional employer agreement and the Oklahoma Professional Employer Organization Recognition and Registration Act, and which is intended to be an ongoing relationship, rather than a temporary or project specific relationship, and
  • b.as between each PEO and a covered employee as to which a professional employer agreement applies, an employment relationship whereby:
    • (1)such PEO is entitled to enforce those rights, and obligated to perform those duties and obligations, allocated to such PEO by the professional employer agreement and the Oklahoma Professional Employer Organization Recognition and Registration Act, and
    • (2)such covered employee is entitled to enforce against such PEO those duties and obligations allocated to the PEO by the professional employer agreement and the Oklahoma Professional Employer Organization Recognition and Registration Act;
  • c.as between each client and a covered employee to which a professional employer agreement applies and employment relationship whereby:
    • (1)such client is entitled to enforce those rights, and obligated to provide and perform those employer obligations allocated to such client by the professional employer agreement and the Oklahoma Professional Employer Organization Recognition and Registration Act and whereby such client is responsible for any employer right or obligation not otherwise allocated by the professional employer agreement of the Oklahoma Professional Employer Organization Recognition and Registration Act, and
    • (2)such covered employee is entitled to enforce against such client those duties and obligations allocated to the client by the professional employer agreement and the Oklahoma Professional Employer Organization Recognition and Registration Act and any other duties and obligations of an employer not otherwise allocated by the professional employer agreement or the Oklahoma Professional Employer Organization Recognition and Registration Act;

4. “Commissioner” means the Insurance Commissioner of the State of Oklahoma;

5. “Covered Employee” means an individual having a coemployment relationship with a PEO and a client who have entered into a professional employer agreement with respect to such person, and shall include the client’s officers, directors, shareholders, partners and managers to the extent such persons act as operational managers or perform services for the client;

6. “Department” means the Department of Insurance of the State of Oklahoma;

7. “Person” means any individual, partnership, corporation, limited liability company, association, or any other form of legally recognized entity;

8. “Professional employer agreement” means a written contract by and between a client and a PEO under which the PEO and the client agree to establish a coemployment relationship and which satisfies the requirements of subsection C of Section 7 of this act;

9. “Professional Employer Organization” or PEO means any person engaged in the business of providing professional employer services. A person engaged in the business of providing professional employer services shall be subject to registration under the Oklahoma Professional Employer Organization Recognition and Registration Act regardless of its use of the term “professional employer organization”, “PEO”, “staff leasing company”, “registered staff leasing company”, “employee leasing company”, or any other name;

10. “Professional employer services” means the service of entering into coemployment relationships under the Oklahoma Professional Employer Organization Recognition and Registration Act, in which, except in isolated instances, all or a majority of the employees providing services to a client or to a division or work unit of client are covered employees;

11. “Registrant” means a PEO registered under the Oklahoma Professional Employer Organization Recognition and Registration Act; and

12. “Temporary help services” means a service whereby a person hires workers and assigns them to a person for a temporary time period or nonpermanent basis to support or supplement the other person’s workforce in special work situations such as, but not limited to, employee absences, temporary skill shortages, seasonal workloads, and special assignments and projects. Temporary help services shall not be deemed professional employer services.

Added by Laws 2002, c. 64, § 2, eff. Nov. 1, 2002.


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