Court won't order immediate evaluation of mogul Redstone

National News

A judge Monday declined to order a medical examination of Sumner Redstone but ruled that lawyers for his former companion can take the sworn testimony of two of the ailing media mogul's doctors.

Judge David J. Cowan also ruled that Redstone's longtime attorney, Viacom CEO Philippe Dauman, may also be deposed about his recent interactions with Redstone, but that any testimony he gives should be restricted to details about medical issues.

The rulings were made in a case pursued by Manuela Herzer, Redstone's former girlfriend who until recently had control over his medical care. She was kicked out of his home in October and contends that the 92-year-old can no longer carry on conversations or make informed decisions.

Redstone's attorney, Gabrielle Vidal, has objected to an independent evaluation of the doctor, citing recent evaluations by his doctors including a brain scan that didn't find any signs of impairment.

She praised Monday's ruling, saying Herzer's actions in the case represent a disregard for Redstone's welfare.

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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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