Petition for Credit: The Easy Part and The Hard Part

by Peter V. Fitzpatrick (December 27, 2018)


After settlement or judgment of a third-party civil case, the employer is entitled to a credit based on the employee’s net recovery in the civil action. (Labor Code Section 3858, Graham vs. WCAB 210 Cal App 3d 499, 503)


The defense attorney in the workers’ compensation case can simply contact the applicant’s attorney or civil attorney and request a breakdown of the third-party civil settlement. The breakdown should include attorney’s fees, costs and net recovery to applicant. Then a Petition for Credit is filed with the Board requesting credit based upon the net recovery of applicant/plaintiff in the civil action.

Litigating Modern Psyche Claims Post 1/1/13

by Julie Insisoulath (December 7, 2018)

While we all may have a general understanding of workers’ compensation claims alleging physical injury, some of us are not completely comfortable handling psyche claims. A psyche claim is an injury to the mind, and thus, it is more difficult to assess than most physical injuries. There are specific requirements to bring psyche claims, exceptions to those requirements, as well as multiple defenses to litigate. This article focuses on the recent changes in the law and its ramifications on litigation involving, arguably, valid psyche claims. The potential exposure of liability is often dependent on the date of injury, whether it is before or after January 1, 2013, because the date of injury will determine whether impairment will be awarded, though of course, it is subject to some exceptions.

Rock and a Hard Place - Labor Code § 5814.5

by Sean W. Morrisroe (December 6, 2018)

It’s a bad place to be - between a rock and a hard place. Mick Jagger has sung about it.

You’ve seen defense counsel stuck there at the Board. At a hearing, an aggressive applicant’s attorney demanding a penalty for delayed or refused payment of some benefit post award, and at the same time, demanding reasonable attorneys’ fees for enforcement efforts. Labor Code § 5814.5 creates this proverbial precarious geological hazard. If the defendant doesn’t pay the penalty demanded by the applicant’s attorney, the resulting threat is ongoing litigation with growing, mounting, painful hourly attorney fees.