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WCLA MCLE 11-18-15 Folta & Continental Tire Wednesday November 18, 2015 12:00 pm to 1:00 pm James R. Thompson Center, Chicago, IL 1 Hour General MCLE Credit.

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Presentation on theme: "WCLA MCLE 11-18-15 Folta & Continental Tire Wednesday November 18, 2015 12:00 pm to 1:00 pm James R. Thompson Center, Chicago, IL 1 Hour General MCLE Credit."— Presentation transcript:

1 WCLA MCLE 11-18-15 Folta & Continental Tire Wednesday November 18, 2015 12:00 pm to 1:00 pm James R. Thompson Center, Chicago, IL 1 Hour General MCLE Credit

2 Folta v. Ferro Engineering 2014 IL App (1 st ) 123219 This is a case of first impression in Illinois. It is a decision that determines when an employee can sue his employer outside of the Workers’ Compensation Act (820 ILCS 305/1 et seq. and the Workers’ Occupational Diseases Act (820 ILCS 310/1 et seq.) when the employee first learns of his injury after the expiration of the statute of repose under those acts. Plaintiff Folta was allegedly exposed to asbestos at a plant owned by defendant Ferro Engineering from 1966 to 1970. Forty-one years after leaving the employ of Ferro Engineering, P was diagnosed with peritoneal mesothelioma. Any potential asbestos-related workers’ compensation claim against Ferro Engineering was time- barred by the Act’s 25-year statute of repose for asbestos-related injuries and the three-year statute of repose for asbestos-related diseases under the Workers’ Occupational Diseases Act. Ferro Engineering filed a motion to dismiss plaintiff’s counts against it, arguing that because plaintiff’s injuries arose out of and in the course of his employment, his action was barred by the exclusive remedy provision of the Act 820 ILCS 305/5(a) and the parallel provision in the Workers’ Occupational Diseases Act 820 ILCS 310/11. Plaintiff argued that the exclusive remedy provision did not bar his action, since that provision does not apply to claims that are “not compensable under the Act.”

3 Folta v. Ferro Engineering 2014 IL App (1 st ) 123219 The trial court granted Ferro Engineering’s motion to dismiss, and plaintiff now appeals. For the reasons that follow, we reverse and remand. Our review of the trial court’s construction of the Act and the Workers’ Occupational Diseases Act is also de novo. The scope of these exclusivity bars is not absolute. Our supreme court has explained that an injured employee may still bring a common-law action against his employer if he can prove any of the following exceptions: (1) the injury was not accidental; (2) the injury did not arise from his employment; (3) the injury was not received during the course of employment; or (4) the injury is “not compensable under the Act. ¶ 29 Thus, we turn to consider the meaning of the phrase “not compensable under the Act” as used in Meerbrey and its progeny. Plaintiff urges us to find that an injury is not compensable under the Act whenever a plaintiff, through no fault of his own, is barred from seeking recovery under the Act. Ferro Engineering, meanwhile, argues that we should adopt a narrow reading of the phrase and find that an injury is not compensable only if it does not arise out of and in the course of employment.

4 Folta v. Ferro Engineering 2014 IL App (1 st ) 123219 This court has, on multiple occasions, rejected Ferro Engineering’s proposed definition of compensability (synonymous with an injury that arises out of or in the course of employment) and instead articulated a definition related to plaintiff’s ability to recover under the Act. “Recoverability”: where plaintiffs’ injuries were of such a nature that they could not recover under the Act, the fourth Meerbrey exception would apply to allow them to bring a common-law suit against their employer. Such an interpretation of compensability is consistent with the purposes of the Act’s exclusivity bar as explained by our supreme court …stated that the exclusivity bar is rooted in the fear of double recovery and the desire to prevent the proliferation of litigation. Our holding is confined to the specific fact pattern before us today, in which an injured employee’s potential claim under the Act is time-barred before he ever learns of it, thus necessarily depriving him of any potential for compensation under the Act. Thus, for the foregoing reasons, we reverse the judgment of the trial court, insofar as we find that plaintiff’s suit against Ferro Engineering is not barred by the exclusivity provisions of the Act and the Workers’ Occupational Diseases Act, and we remand for further proceedings. PLA to Supreme Court allowed 9-24-14, case argued 5-14-15

5 Folta v. Ferro Engineering 2015 IL 118070 In this case we are asked to consider whether an employee can bring an action against an employer outside of the Workers’ Compensation Act and the Workers’ Occupational Diseases Act, when the employee’s injury or disease first manifests after the expiration of certain time limitations under those acts. For the following reasons, we hold that under these circumstances, the employee’s action is barred by the exclusive remedy provisions of those acts. Specifically, we are asked to consider whether these provisions bar an employee’s cause of action against an employer to recover damages for a disease resulting from asbestos exposure which arose out of and in the course of employment even though no compensation is available under those acts due to statutory time limits on the employer’s liability. The question is one of law, which we review de novo.

6 Folta v. Ferro Engineering 2015 IL 118070 Both acts contain an exclusive remedy provision as part of the quid pro quo which balances the sacrifices and gains of employees and employers Employee can escape the exclusivity provisions of the Act if the employee establishes that the injury (1) was not accidental; (2) did not arise from his employment; (3) was not received during the course of employment; or (4) was not compensable under the Act Pathfinder, Collier and Meerbrey stand for the proposition that whetheran injury is compensable is related to whether the type of injury categorically fits within the purview of the Act. These cases do not stand for the proposition that whether an injury is compensable is defined by whether there is an ability to recover benefits for a particular injury sustained by an employee. In all of the secases, the exclusivity provisions barred a common-law cause of action

7 Folta v. Ferro Engineering 2015 IL 118070 This court has held that despite limitations on the amount and type of recovery under the Act, the Act is the employee’s exclusive remedy for workplace injuries. Section 6(c) of the Workers’ Occupational Diseases Act does bar Folta’s right to file an application for compensation. That section provides that,“[i]n cases of disability caused by exposure to asbestos, unless application for compensation is filed with the Commission within 25 years after the employee was so exposed, the right to file such application shall be barred.” Based on the plain language of this section, this provision acts as a statute of repose, and creates an absolute bar on the right to bring a claim. Fact that through no fault of the employee’s own, the right to seek recovery under the acts was extinguished before the claim accrued because of the nstatute of repose does not mean that the acts have no application or that Folta was then free to bring a wrongful death action in circuit court

8 Folta v. Ferro Engineering 2015 IL 118070 We reject Folta’s assertions that to hold that the exclusive remedy provisions bar her cause of action would violate the Illinois Constitution’s guarantees of equal protection (Ill. Const. 1970, art. I, § 2), prohibition against special legislation (Ill. Const. 1970, art. IV, § 13), and the right to a certain remedy(Ill. Const. 1970, art. I, § 12). Dissent: This court has described the Workers’ Compensation Act as “a humane law of a remedial nature whose fundamental purpose is to provide employees and their dependents prompt, sure and definite compensation…It is instructive to look at the majority’s interpretation of the exclusive remedy provisions in terms of the consequences of that interpretation. According to the majority, the acts are the employee’s exclusive remedy for workplace injuries, even where, as here, plaintiff never had an opportunity to seek such compensation because his occupational mesothelioma was not manifest until long after the statutory time limitations had elapsed.”

9 Curtis Oltman v. Continental Tire 12 WC 011777; 13 IWCC 744 DA 1/31/2012 49 yo labor trainer Non-displaced fracture of the left “wrist” (R hand dominant) Dr. Brown splinted and treated (i) “3/15/2012 Dr. Brown prepared an AMA rating report in which he opined that the claimant had a 0% impairment at the level of the left wrist. RX2. Dr. Brown testified in deposition in support of his findings and treatment course, as well as the bases for his impairment rating. See generally RX1.” (ii) returned to usual and customary employment (iii) 49 yo (iv) continues to work as before the incident (v) The claimant described some minor residual symptoms in his wrist Award: 5% loss of use of the left hand IWCC affirms & adopts; Circuit Court confirmed

10 Continental Tire v. IWCC 2015 IL App (5 th ) 140445WC The only issue raised in this workers' compensation appeal concerns the nature and extent of the claimant's injury to his left wrist. The employer argues that the claimant failed to prove that he suffered any permanent partial disability as a result of the workplace accident. In the present case, the arbitrator considered each of the factors contained in section 8.1b(b) and made the following findings: (i) that Dr. Brown found an impairment rating of 0% of the left wrist; (ii) that the claimant was employed as a labor trainer for the respondent and has continued in his usual and customary employment as of the trial date;(iii) that the claimant was 49 years old as of the date of loss; (iv) that the claimant was released to his regular job by his treating physician and continues to work in that position as before the incident; and (v) that the claimant described some minor residual symptoms in the wrist.

11 Continental Tire v. IWCC 2015 IL App (5 th ) 140445WC In the present appeal, the employer argues that, by adopting the arbitrator's decision, the Commission misinterpreted section 8.1b of the Act. The employer argues that, as a matter of law, the claimant's request for permanent partial disability should have been denied because he did not present a physician's report pursuant to section 8.1b(a)that would support a finding of a permanent partial impairment. The employer also argues, alternatively, that, under the manifest weight of the evidence standard, the Commission failed to give proper weight to Dr. Brown's impairment report, the claimant's extremely limited treatment, and his return to full duty at his prior earning capacity. We disagree with each of the employer's arguments.

12 Continental Tire v. IWCC 2015 IL App (5 th ) 140445WC De novo: Nothing within the statutory language of section 8.1b requires the Commission to automatically adopt Dr. Brown's reported level of impairment merely because the parties submitted only one subsection (a) report. Second, the employer argues, alternatively, that the Commission's decision is improper under the manifest weight of the evidence standard. We disagree.

13 What Does This Sentence Mean? “The statute does not require the claimant to submit a written physician’s report.” Par. 17. pg. 7 A.The statute does not require the Petitioner to submit a written physician’s report. B.The statute does require the Petitioner to submit a written physician’s report. C.The statute does not require either the Petitioner or the Respondent to submit a written physician’s report. D.The statute does require either the Petitioner or the Respondent to submit a written physician’s report. E.“(W)ords no longer have meaning…” (Justice Scalia, dissenting in King v. Burwell) F.Who cares? It’s all dicta. G.None and/or All of the above. Marque Smart v. Central Grocers, 12WC8366, 14IWCC374 Jamie Lind v. Corn Belt Energy, 12WC39539, 14IWCC651

14 Sunrise Assisted Living v. Banach 2015 IL App (2d) 140037 Harmoniously interpreted, sections 19(g) and 19(h) provide that the trial court may not enter judgment on the original award while the Commission is reviewing whether that award is proper, but judgment on the original award may be entered when the Commission is deciding under section 19(h) whether a material change in circumstances warrants a prospective modification.sections 19(g)19(h) section 19(h) Once a claimant implements section 19(g) of the Act because the employer has failed to pay, a resulting order of the circuit court is an enforceable judgment, and section 2-1303 interest is properly awarded from the date of the arbitrator's award through the date that judgment was entered on that award. In addition, any prospective payments due pursuant to the section 19(g) judgment that are untimely shall also be subject to section 2-1303 interest. Radosevich.section 19(g)section 2-1303 Radosevich In this case, Sunrise appealed the Commission's decision, and section 19(n) interest accrued while that appeal was pending. When the appellate court rendered its decision, Sunrise promptly paid the lump sum, accrued installments, and section 19(n) interest, before Banach filed her section 19(g) application. Sunrise did not refuse to pay before Banach implemented section 19(g). When Sunrise tendered full payment of what was owed, Banach was no longer entitled to a judgment under section 19(g). Without a judgment, Banach was not entitled to additional interest under section 2-1303 of the Code. Therefore, we conclude that the trial court did not err in denying Banach a judgment under section 19(g) and interest under section 2-1303 of the Code.section 19(g) section 2-1303section 19(g)section 2-1303


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