Japan court gives go-ahead for restart of 2 nuke reactors

Legal Events

A Japanese court gave the go-ahead for the restart of two nuclear reactors Thursday after its operator said in an appeal they were safe.

The Fukui District Court in western Japan lifted an April injunction that was filed by a group of residents who said that a massive earthquake exceeding the facility's quake resistance could cause a disaster similar to the Fukushima crisis following the March 2011 quake and tsunami.

The order paves the way for a resumption of the Takahama No. 3 and No. 4 reactors, operated by the Kansai Electric Power Co.

The operator had already obtained approval of the safety regulators, and town and prefectural leaders expressed their support for a restart this month, just in time for the ruling. Two of Japan's 43 reactors are currently back online.

Thursday's decision minimizes the delay for the Takahama reactors, which had been set for restart late this year.

The utility plans to go ahead with loading fuel rods into the No. 3 reactor within days, and go through final safety checks before putting the reactor back online late January.

Takahama reactors could be a third and fourth to restart, while prospects for a fifth one, the Ikata reactor in Shikoku, southwestern Japan, are uncertain due to strong local opposition over evacuation plans in case of an emergency.

Prime Minister Shinzo Abe's pro-business government wants to restart as many reactors as possible. The government says nuclear energy should remain key for resource-poor Japan. Abe is also pushing to export Japan's nuclear technology and recently signed a nuclear agreement with India.

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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.

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