Court: Feds can target California pot clinics
National News
An appeals court Wednesday affirmed the federal government's long-standing policy that California medical marijuana dispensaries have no protection under state law from drug prosecutions.
The 9th U.S. Circuit Court of Appeals ruled Wednesday that three California dispensaries, their customers and their landlords are barred from using a state law allowing marijuana use with a doctor's recommendation as a shield from criminal charges and government lawsuits. All uses of marijuana are illegal under the federal Controlled Substances Act, also known as the CSA, even in states that have legalized pot.
The ruling upholds three lower court decisions and follows previous rulings by federal appeals courts and the U.S. Supreme Court.
The 9th Circuit panel conceded that medical marijuana use is more accepted now than several years ago when it made a similar ruling. But it said the new legal challenges didn't raise any new arguments that would trump federal law.
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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.