Court Upholds Rifle Sales Reporting Requirement

National News

A federal appeals court panel has unanimously upheld an Obama administration requirement that dealers in southwestern border states report when customers buy multiple high-powered rifles.

The firearms industry trade group, the National Shooting Sports Foundation, and two Arizona gun sellers argued that the administration overstepped its legal authority in the 2011 regulation, which applies to gun sellers in California, Arizona, New Mexico and Texas.

But the three-judge panel of the U.S. Circuit Court of Appeals for the District of Columbia said that the requirement was "unambiguously" authorized under the Gun Control Act of 1968.

The challengers argued that the requirement unlawfully creates a national firearms registry, but the court said because it applies to a small percentage of gun dealers, it doesn't come close to creating one.

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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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