Supreme Court Voids Routine Police Check Of Hotel Registries
National News
The Supreme Court struck down a Los Angeles ordinance Monday that allowed police to inspect hotel guest records on demand.
The justices voted 5-4 to reject the city's argument that the measure was needed to help fight prostitution, drug trafficking and illegal gambling at budget hotels and motels.
Los Angeles said that people engaging in those activities are less likely to use hotels if they know the facilities must collect guest information and turn it over at a moment's notice.
But Justice Sonia Sotomayor said for the court that the law is unconstitutional because it penalizes the hotel owners if they don't comply. "A hotel owner who refuses to give an officer access to his or her registry can be arrested on the spot," Sotomayor wrote. Business owners must at least be given a chance to object to a judge, she said.
Justice Anthony Kennedy and Sotomayor's three liberal colleagues joined her in the majority.
In dissent, Justice Antonin Scalia said the law "is eminently reasonable" given the use of cheap motels as places to stash migrants who have been smuggled across the border and as rendezvous points for child sex workers and their clients.
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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.