Nevada pot regulators back in court as supplies dwindle

Legal Events

Nevada's marijuana regulators are headed back to court in a turf battle with liquor wholesalers over exclusive rights to distribute pot products to the state's new recreational retailers.

Nevada's Taxation Department says the protracted legal fight has created a delivery bottleneck that's undermining an otherwise robust marijuana industry and the state revenue that comes with it.

Legal sales started with a bang July 1. But Tax Director Deonne Contine (kahn-TEEN') says the tiny distribution network's inability to keep pace with demand is forcing up prices and sending buyers back to the black market.

She says it's also jeopardizing worker safety at dispensaries forced to stockpile supplies and huge amounts of cash to accommodate erratic deliveries.

A Carson City judge plans to hear her request Thursday to lift the latest injunction blocking licenses for anyone other than alcohol distributors.

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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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