Circus operator agrees to plea deal in tent collapse
National News
Court records show a Florida-based circus operator has agreed to a plea deal following a tent collapse in New Hampshire in 2015 that killed two people and injured dozens.
The Caledonian-Record in Vermont reports details of the plea deal involving Sarasota-based Walker International Events weren't made available.
The company had previously pleaded not guilty to a felony charge of operating without a license and to misdemeanor counts alleging it hadn't complied with state standards. Corporations can face fines and sanctions on criminal convictions.
The company, now out of business, agreed to pay federal safety fines and settled some lawsuits.
Forty-one-year-old Robert Young and his 6-year-old daughter, Annabelle, of Concord, Vermont, died when a storm with 75 mph winds blew through the Lancaster Fairgrounds, toppling the tent.
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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.