When to File a Third-Party Lawsuit After an Industrial Accident

 Posted on September 25, 2026 in Personal Injury

Industrial work tends to put workers in close proximity to heavy machinery, volatile chemicals, and falling objects. While workers’ compensation may provide workers with a safety net in case of injury, sometimes, a party other than the employer can be held at fault in a personal injury claim. If you or somebody you know has been hurt in an industrial accident involving a separate company or entity, call a Rockford, IL industrial accident lawyer today.

At Mannarino & Brasfield, A Division of Schwartz Jambois, we do not collect attorney fees unless the case is won. This means you can seek legal help without paying attorney fees upfront. We have secured millions in total settlements and verdicts, including a $14 million case result on behalf of a client who was injured in an industrial accident.

When Can You Hold a Third Party Liable for an Industrial Accident in 2026?

A third party can be held liable when someone other than your employer causes or contributes to a workplace injury. In most cases in Illinois, workers covered by workers’ compensation cannot sue their employer for a workplace injury. Workers’ compensation is generally their legal remedy against the employer. However, factories, plants, and warehouses often involve many outside companies. When one of them acts carelessly, you may have a separate claim.

Defective machinery is one of the more common sources of third-party claims. A company that designs, builds, or sells a dangerous machine can be liable if the defect causes an injury. For example, a press without a proper guard or a forklift with faulty brakes could cause a serious accident.

Other companies on the job site can also be at fault. A subcontractor who leaves live wires exposed or drops tools from above can be held liable for any harm. Your employer may not own the building where you work. A property owner who ignores a known hazard, such as a broken railing, may share the blame.

Outside service providers can create risks as well. A maintenance crew that makes a poor repair or skips an inspection can cause a serious injury. A chemical supplier that fails to warn about a toxic product can be held accountable for burns or illness. A truck driver from another company who backs into a worker at a loading dock may also be liable.

What Compensation Is Available in a Third-Party Lawsuit?

Compensation in a third-party lawsuit is often broader than what workers' compensation provides. Workers' compensation pays for medical care and part of your lost wages as well as long-term compensation for some permanent injuries. It does not pay for pain and suffering. A third-party lawsuit fills in that gap. Damages in a third-party claim may include:

• Medical bills, including surgery, therapy, and future care
• Full lost wages and future income losses
• Loss of future earning ability
• Physical pain and emotional distress
• Disfigurement and scarring
• Loss of a normal life, such as losing the ability to enjoy hobbies

In rare cases, Illinois courts may also award punitive damages. These are meant to punish very reckless conduct. It’s also worth noting that the total amount of compensation you can get is affected by the state’s modified comparative fault rule. If you are more than 50 percent at fault, you cannot recover damages. If you are 50 percent or less at fault, your compensation will be reduced by your percentage of fault.

Can You File a Workers’ Compensation Claim and a Third-Party Injury Claim in Illinois?

You can file a workers' compensation claim and a third-party injury claim in Illinois at the same time. Workers' compensation is a no-fault system. You do not have to prove that anyone did something wrong. A third-party claim is different. You must show that another party was negligent or that a product was defective.

There is one catch. Your employer or its insurer usually has a lien on money you recover from a third party. This rule appears in the Illinois Workers' Compensation Act under 820 ILCS 305/5. The lien lets your employer be paid back for benefits it already covered. However, the employer must also pay its share of your attorney fees and costs. The lien helps prevent a worker from being paid twice for the same loss. A third-party claim can also provide compensation for losses that workers’ compensation does not cover, such as pain and suffering.

Is There a Deadline to File an Injury Claim for an Industrial Accident?

The deadline to file an injury claim for an industrial accident depends on the type of claim. For most Illinois personal injury lawsuits against a third party, you have two years from the date of the injury. If a worker dies, the family may have a separate deadline for a wrongful death claim.

Missing a deadline can end your right to recover. Evidence can also disappear quickly. Talking with an injury attorney early on and getting an investigation started can strengthen your claim.

Should You Accept a Settlement Offer for an Industrial Accident?

A settlement offer for an industrial accident should be reviewed carefully before you accept it. Insurance companies can sometimes make quick offers that may not account for the full value of the claim.

Once you sign a settlement, you usually cannot ask for more money later. This is true even if your injury gets worse. You may need more surgery, long-term therapy, or a new line of work. A fair settlement should account for these future needs.

Before accepting any offer, ask yourself a few questions. Do you know the full extent of your injuries? Do you know whether you will need more medical treatment? Does the offer account for the workers' compensation lien? If you cannot answer these questions, it may be too soon to settle. Our firm includes experienced trial lawyers, which means we are ready to take your case to court if you are not offered a fair settlement.

Contact Our Winnebago County, IL Personal Injury Attorneys

At Mannarino & Brasfield, A Division of Schwartz Jambois, we look beyond workers' compensation to find every party who may share responsibility for your harm. We work to build a strong case and pursue the full compensation you deserve. Contact our Rockford, IL industrial accident lawyers or call us at 815-215-7561 to set up a free initial consultation.