Supreme Court to hear case about party in vacant DC house
Headline Legal News
The Supreme Court will hear a case in which people arrested for having a party in a vacant house sued police for violating their constitutional rights and won.
The justices said Thursday they will review lower court rulings in favor of 16 people who gathered in a house in Washington about three miles east of the nation's Capitol for a party.
Police arrested the group after no one could identify whose house it was, some said it was a birthday party and others said it was a bachelor party. No one could identify the guest of honor. Several women were scantily clad, with money hanging out of their garter belts. The officers said that the scene resembled a strip club, according to court papers.
Several of the partygoers said someone named "Peaches" gave them permission to have the party.
But when an officer later contacted the purported owner of the home, he denied having given anyone permission to have a party.
The group was arrested for trespassing, a charge later changed to disorderly conduct and then dropped altogether. But the 16 people sued for false arrest and were awarded $680,000.
The issue for the court is whether the officers had sufficient reason to arrest the group for trespassing. The court also will determine whether the officers should be shielded from liability even if their actions are found to violate the law.
A panel of the federal appeals court in Washington upheld the judgment, but four other judges on the court said that the officers should have been protected, citing a string of Supreme Court decisions.
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Workers’ Compensation Subrogation of Administrative Fees and Costs
When a worker covered by workers’ compensation makes a claim against a third party, the workers’ compensation insurance retains the right to subrogate against any recovery from that third party for all benefits paid to or on behalf of a claimant injured at work. When subrogating for more than basic medical and indemnity benefits, the Texas workers’ compensation subrogation statute provides that “the net amount recovered by a claimant in a third‑party action shall be used to reimburse the carrier for benefits, including medical benefits that have been paid for the compensable injury.” TX Labor Code § 417.002.
In fact, all 50 states provide for similar subrogation. However, none of them precisely outlines which payments or costs paid by a compensation carrier constitute “compensation” and can be recovered. The result is industry-wide confusion and an ongoing debate and argument with claimants’ attorneys over what can and can’t be included in a carrier’s lien for recovery purposes.
In addition to medical expenses, death benefits, funeral costs and/or indemnity benefits for lost wages and loss of earning capacity resulting from a compensable injury, workers’ compensation insurance carriers also expend considerable dollars for case management costs, medical bill audit fees, rehabilitation benefits, nurse case worker fees, and other similar fees. They also incur other expenses in conjunction with the handling and adjusting of workers’ compensation claims. Workers’ compensation carriers typically assert, of course, that, they are entitled to reimbursement for such expenditures when it recovers its workers’ compensation lien. Injured workers and their attorneys disagree.