Court records: Apple's help sought in another iPhone case

National News

A federal magistrate in Chicago last November ordered Apple to help federal prosecutors access data on an iPhone in a personal bankruptcy and passport fraud case, one of more than a dozen cases around the country similar to the legal battle over the telephone of one of the San Bernardino shooting suspects.

Court records show U.S. Attorney Zachary Fardon filed a November 2015 motion saying law enforcement needed Apple's help to bypass the passcode to search, extract and copy data from an iPhone 5S owned by Pethinaidu and Parameswari Veluchamy, the Chicago Tribune reported.

An affidavit filed Nov. 13 said text messages, phone contacts and digital photos might help confirm wrongdoing. It also said data on the phone "may also provide relevant insight into the cellphone owner's state of mind as it relates to the offense under investigation."

The Chicago Sun-Times reported that U.S. Magistrate Judge Mary Rowland's order said Apple should provide authorities "reasonable technical assistance to enable law enforcement agents to obtain access to unencrypted data" She added Apple "may provide a copy of the encrypted data to law enforcement, but Apple is not required to attempt to decrypt, or otherwise enable law enforcement's attempts to access any encrypted data."

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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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