Appeals court delay requested in ex-Virginia governor's case

Legal Exams

Prosecutors have asked a federal appeals court to delay action for 30 days on a U.S. Supreme Court ruling in former Virginia Gov. Bob McDonnell's corruption case — to allow both sides time to analyze it.

The Richmond Times-Dispatch reportsthe U.S. Attorney's Office said the motion filed jointly Thursday proposes that parties file a briefing schedule or update the 4th Circuit Court of Appeals on discussions after 30 days.

McDonnell was convicted in 2014 of doing favors for a wealthy businessman in exchange for more than $165,000 in gifts and loans.

The Supreme Court overturned McDonnell's conviction in June, saying his actions were distasteful but didn't necessarily violate federal bribery laws. The case was returned to the lower court to decide whether there's enough evidence for another trial.

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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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