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Commissioner Paul Rink and Chief Counsel Kathryn Kelley have retired.

March 1st, 2010 Eugene Keefe No comments

Editor’s comment: Effective February 26, Commissioner Paul Rink and chief legal counsel Kathryn Kelley retired.

Commissioner Rink joined the Commission in 1991. He is widely regarded as a thoughtful and hard-working hearing officer. As a person who is blind, Paul rose to be one of the highest-ranking Illinois state employees with a disability, and he brought special insight to deliberations of whether an injured worker was capable of working.

Kathryn Kelley joined the Commission in 1981. Her vast knowledge about the Commission, quiet and careful attention to detail and methodical approach to legal issues were appreciated.

We agree the Commission was better for Paul Rink and Kathryn Kelley having served it. The partners and associates of Keefe, Campbell & Associates extend our best wishes to them in future pursuits.

Until a new commissioner is appointed, the Commission will make every effort to cover Commissioner Rink’s place during oral arguments and review calls with public commissioners. Currently, oral arguments will proceed as scheduled. If any schedule changes are necessary, they will be posted in advance on the Commission website.

As we reported last week, the chief counsel’s position has been posted at http://www.iwcc.il.gov/job.htm.

Categories: Illinois Tags:

Smoke pot, commit a crime—apparently these aren’t major problems for Illinois labor when seeking Illinois workers’ comp benefits.

March 1st, 2010 Eugene Keefe No comments

Editor’s comment: While this ruling isn’t a major change in Illinois WC law, we continue to cringe about what is happening in the work comp arena in our fair state.

In Szarek v. Illinois Workers’ Compensation Commission, (No. 3-08-0530WC October 29, 2009), claimant, an apprentice carpenter, was seriously injured after falling through a floor opening on a second floor of a house he was helping to build. His employer contended marijuana use, detected via urinalysis, was the proximate cause of fall. The decision indicates the employee was winding in a chalk line when he fell. Other than urinalysis, the majority ruled there was

- No evidence … he was so intoxicated he had abandoned his employment, nor
- Was marijuana use was sole cause of fall, and
- Witness statements establish employee was performing his job duties at time of accident.

The court did rule the Commission’s award of penalties and fees was reversed as any “reasonable person” could have concluded claimant might not be entitled to workers’ compensation benefits. We are confident this won’t alleviate the onus of paying lifetime medical and lost time benefits. We also point out this is the third reported decision in the last 12 months where our reviewing courts have awarded benefits to someone who admittedly and unquestionably committed a crime.

In our view, based on the evidence outlined in the ruling, this claim would have been compensable under traditional Illinois’ legal analyses but it was handled by one of the most misguided TPA’s of Illinois TPA’s. In our view, the TPA had their defense counsels do any number of unusual things in spending literally tens of thousands of dollars to lose this claim over the nine years it was unsuccessfully litigated. If you have claims involving intoxication or impairment and want real answers on effectively defending them, send a reply.

Please note this ruling continues to implement what we feel is a contradictory and paradoxical analysis of allowing substantial seven-figure workers’ comp benefits despite an injury under the undisputed influence of drugs or alcohol. One legal device to find such an injury compensable is indicated to be the claim the impaired miscreant did not “abandon employment.” We note this same legal concept was recently proposed in new legislation.

We ask the rhetorical question of how a worker can have a work injury if they have abandoned employment? If the worker abandoned employment while stoned or drunk, they aren’t on the job any more, correct? If they aren’t on the job, they can’t ever have a work injury so how does such language add anything to this analysis? It is our academic view the paradox doesn’t add anything to the compensability of such a situation and it guarantees benefits to any intoxicated or stoned worker who remains on the job after becoming drunk or stoned.

While we feel this case would have been compensable for a number of reasons including possible OSHA violations, we feel legislation is the best way to address workplace intoxication and impairment. Please also understand an impaired worker is a health and safety risk, not just to themselves but to all workers around him or her. We also urge all Illinois and U.S. employers to learn from this lesson and implement drug and alcohol-free workplace protocols. Please let us know your thoughts and comments.

Categories: Illinois Tags: ,

If you don’t feel the need to support your offspring or pay your child support, your workers’ compensation benefits will be used to pay child support for you.

March 1st, 2010 Shawn Biery No comments

Editor’s comment: This is a decision that is hard to argue with. It appears some children are better off if their biological forebears are not working. In Illinois Department of Healthcare and Family Services Ex Rel. Elizabeth A. Black v Frank H. Bartholomew, the Fourth District of the Illinois Appellate Court affirmed a Circuit Court ruling allowing the payment of child support arrearage from a workers’ compensation award and ruled Illinois law and public policy allow a trial court to apply proceeds from a workers’ compensation settlement toward a child-support arrearage.

By way of background—in March 2005, Elizabeth and Frank, who were not married, had a son, Nicholas. Frank signed a voluntary acknowledgment of paternity and “accepted the obligation to provide child support” for Nicholas. On February 6, 2007, the Department issued an administrative support order pursuant to its authority under article X of the Illinois Public Aid Code (Code) (305 ILCS 5/10-1 through 10-28 (West 2006)) requiring Frank to pay child support of $428.52 per month. On August 23, 2007, the Department issued an income-withholding notice to Frank’s employer ordering it to withhold $428.52 per month for current child support, as well as $85.70 per month toward a delinquency of $6,602.34. On October 23, 2007, Elizabeth filed a petition to establish the existence of a father-child relationship and for other relief. With her petition, Elizabeth provided a copy of the voluntary acknowledgment of paternity, the administrative support order, and the income-withholding notice and alleged Frank had filed a workers’ compensation claim and was awaiting settlement. She asked the trial court to adjudicate Frank the father of Nicholas, order him to pay child support, prohibit him from dissipating any workers’ compensation settlement, and grant her 20% of any such settlement as current child support. On January 3, 2008, the trial court held a hearing on Elizabeth’s petition. Frank failed to appear.

On January 7, 2008, the court entered an order finding Frank the father of Nicholas, ordered him to pay child support pursuant to the administrative order, ordered Frank not to dissipate any of his workers’ compensation settlement without court order, and determined Elizabeth should receive 20% of the net settlement in addition to the child-support arrearage already owed her, which amounted to $6,602.34 as of August 23, 2007. On January 28, 2008, Frank filed a motion to vacate the part of the trial court’s order requiring payment of past-due support from his settlement, arguing such payment was barred by Section 21 of the Illinois Workers’ Compensation Act, which prohibited workers’ compensation awards from “be[ing] held liable in any way for any lien, debt, penalty[,] or damages.” On April 1, 2008, the court entered an amended order requiring Frank to place his settlement funds in trust until further order of the court determining the amount to be paid Elizabeth. Thereafter, Frank received a workers’ compensation settlement of $175,000. After multiple proceedings, an order was issued indicating funds previously ordered to be held in trust in the amount of $9,216.77 shall be applied toward the child-support arrearage and interest due under the administrative support order and Frank appealed from the court’s orders.

There was no objection to the use of Frank’s workers’ compensation settlement to pay current child support. He argues, however, a request for payment of an arrearage pursuant to a child-support lien for payment of a past-due support obligation is a debt that is barred from collection from his compensation settlement. Frank argues workers’ compensation benefits are exempt from judicial process for child-support arrearages.

Section 21 of the Act provides, in pertinent part, as follows: “No payment, claim, award[,] or decision under this Act shall be assignable or subject to any lien, attachment[,] or garnishment, or be held liable in any way for any lien, debt, penalty[,] or damages.” 820 ILCS 305/21 (West 2008).

The exception to income exemptions from judgment appears in section 15(d) of the Income Withholding for Support Act (Withholding Act) (750 ILCS 28/15(d) (West 2008)), which provides as follows: “(d) ‘Income’ means any form of periodic payment to an individual, regardless of source, including *** workers’ compensation ***[.] * * * Any other [s]tate or local laws which limit or exempt income or the amount or percentage of income that can be withheld shall not apply.”

The Court noted the language of section 15(d) of the Withholding Act is clear and straightforward. Any other state or local law purporting to exempt statutorily defined income, which includes workers’ compensation benefits, does not apply to proceedings involving the collection of child support and further noted that if the legislature wanted to exempt workers’ compensation payments from collection of child-support arrearages, it could have done so when it enacted the Withholding Act in 1999. Instead, the language of section 15(d) of the Withholding Act is clear.

The Court also noted applying Frank’s workers’ compensation settlement funds to his past-due child support also serves the intent of the Act because the Illinois workers’ compensation scheme (THEIR TERM, NOT MINE) was enacted “to furnish a measure of financial protection to the workman and his dependents for injuries received by him which arose out of and in the course of his employment.” They further noted Sections 7 and 8 of the Act recognize a worker’s dependents are intended beneficiaries. Section 7 provides for compensation to go directly to a worker’s dependents in the event of a fatal injury (820 ILCS 305/7 (West 2008)), and Section 8(b) provides a worker’s compensation for nonfatal injuries is increased if he/she has a spouse and/or child (820 ILCS 305/8(b)(1), (b)(2), (b)(2.1) (West 2008)).

Because dependents are intended beneficiaries of workers’ compensation awards, the public policy furthered by the exemption in Section 21 of the Act is to protect workers and their dependents from the claims of outside creditors, not to shield workers from their own internal family obligations. As the Supreme Court explained in Logston, the purpose of income exemptions in general is to ensure creditors cannot deprive debtors of the means of supporting themselves and their dependents. Logston, 103 Ill. 2d at 279-80, 469 N.E.2d at 172-73. Illinois law and public policy allow a trial court to apply proceeds from a workers’ compensation settlement toward a child-support arrearage. Accordingly, the trial court did not err when it ordered Frank’s child-support arrearage plus interest be paid from his workers’ compensation settlement.

So the bottom line is that at some point if you get some benefit, the state and the taxpayers will expect you to take care of you obligations to your family. I highlight the fact the settlement was $175,000 and the amount of child support in arrears was less than $10,000. It is difficult to fathom why the time and effort was spent trying to avoid paying child support which was past due. Here is hoping little Nicholas learns his lessons from someone other than his proud papa. The ruling is on the web at http://www.state.il.us/court/Opinions/AppellateCourt/2009/4thDistrict/December/4090197.pdf. This article was written by Shawn R. Biery, J.D. Please feel free to email Shawn at sbiery@keefe-law.com with your thoughts and comments.

Categories: Illinois Tags:

Are the ever-rising Illinois workers’ comp rates now wrong? Should we demand the IWCC correct them?

March 1st, 2010 Eugene Keefe No comments

Editor’s comment: At some point in December of each year for several decades, the IWCC posted a new PPD maximum rate. When that happened, the new and higher PPD maximum rate had to be retroactively implemented by claims handlers for claims occurring in the period backward to July of the applicable year and then for future claims until next July. This year nothing happened! The rates simply remained the same.

Well, inquiring minds need to know. Turns out the statewide average weekly wage (or SAWW) went down!! For the first time since the SAWW was implemented to make WC rates spiral up, one would have thought Illinois business would get rate relief in the workers’ comp arena. We learned from George Picha of Picha and Salisbury and KC&A’s own WC rate guru, Shawn R. Biery, the Commission did not change the existing maximum PPD rates since the SAWW actually decreased and also for the reason the Act does not contain a specific provision authorizing a corresponding decrease in the maximum rates.

The Commission’s own website says:

Every six months, the Illinois Department of Employment Security publishes the statewide average weekly wage (SAWW). The SAWW sets the maximum and minimum weekly benefit levels for workers’ compensation. To calculate the SAWW, total wages are divided by the total number of employees in the past six months. Some employees worked every day, and some worked only a few days, but all are counted together. (Federal workers and self-employed workers are excluded.)

Although every attempt is made to calculate the workers’ compensation rates in an accurate and reliable manner, only the Illinois statute governs. Where there is a disagreement between the statute and the IWCC’s calculations, the statute is correct.

*As provided in Section 8(b)4, there is no increase in the benefit rates for 1/15/10 – 7/14/10 because the SAWW decreased.

In a website we have saluted for years, we remain stunned to see they didn’t post their decision as web news or something of note.

We then understood there may be no need for a specific statutory provision authorizing the Commission to reduce the maximum rates since Section 8(b)4 mandates the maximum TTD rate “shall be increased to 133-1/3% of the State’s average weekly wage in covered industries under the Unemployment Insurance Act.” Section 8(b)4.1 further states: “Any provision herein to the contrary notwithstanding, the weekly compensation rate for compensation payments under subparagraph 18 of paragraph (e) of this Section and under paragraph (f) of this Section and under paragraph (a) of Section 7 and for amputation of a member or enucleation of an eye under paragraph (e) of this Section, shall in no event be less than 50% of the State’s average weekly wage in covered industries under the Unemployment Insurance Act.”

If you do the math, by leaving the current maximum TTD rate at $1,243.00, that number would actually represent 134-3/4% of the current $922.45 SAWW and not 133-1/3% as the statute patently outlines. The current published minimum rate for death, PTD, amputation and enucleation cases would actually be 50.53% of the current SAWW and not 50%. We feel where the current maximum TTD rate applies our readers may want to consider paying $1,229.93 per week, and in Section 8(b)4.1 cases, $461.23 per week. Please note this recommendation may result in litigation to debate this statutory issue.

We have not researched the issue of computing the accurate maximum PPD rate, if the rate retroactive to 7/1/09 is based upon the $922.45 SAWW, there should be a proportionate decrease for the same reason. There is no question the maximum TTD and minimum rates for Section 8(b)4.1 cases are specifically tied to a stated percentage of the SAWW, a specific provision in the Act authorizing a decrease in the rate when the SAWW decreases is unnecessary and, in our view, should be presumed to be the law.

We need your thoughts on all of this. In order to push for a change favorable to Illinois business, we need to take this matter to the courts on what is called a writ of mandamus. A writ of mandamus can be used to have a court compel an administrative agency, such as the IWCC to act and follow the provisions of the law. In Illinois, one may petition the circuit courts for a writ of mandamus “to command a public official to perform some ministerial nondiscretionary duty in which the party seeking such relief has established a clear right to have it performed and a corresponding duty on the part of the official to act.” The authority of the respondent to comply with the writ must also be clear. Finally, Petitioner must show that a demand was made on the official concerned but he or she refused to comply. This is to make sure the officer in question has the option of performance before the court exacts compliance. Please remember the Illinois courts may follow the law and they may make it up as we go along.

So we are asking all of our readers, should we take this to the courts? Well, if we don’t, Illinois business is certain to continue to overpay benefits. And if the economy stays flat and the SAWW goes down even further, the gap will increase. We invite your thoughts and comments. We have made inquiries and the Illinois State Chamber may consider supporting these efforts if this is important to Illinois business.

Categories: Illinois, Workers Compensation Tags: ,

Illinois WC Legislative stuff currently cooking in Springfield.

February 22nd, 2010 Eugene Keefe 2 comments

Editor’s comment: We are happy about some of this stuff and scared of the rest of it—we don’t know what organized labor is cooking up to counter the business initiatives.

Like secrecy in hiring, we hate the secret “agreed bill” process and it appears to be rearing its ugly head yet again. We will never forget the public relations fiasco that led to passage of the 2005 Amendments to the Workers’ Comp Act that might have sounded great but have delivered very little effective savings to Illinois business. We are now advised by several reliable sources; the Governor convened a meeting recently of some employers and organized labor to discuss the agreed bill process involving potential changes to workers compensation law. This meeting led to a discussion of the process in general and several bills may be cooking out there.

Several measures potentially helpful to Illinois employers have been introduced. We add our thoughts at the end of each description in bold.

Workers’ Compensation Alcohol/Drugs HB 5721 (Zalewski-D-Chicago) provides no compensation is payable if an injury was caused “primarily” by the intoxication of the injured worker, to include the influence of alcohol or certain drugs not prescribed by a physician or the combined influence of alcohol and drugs that affected the worker to the extent that the intoxication constituted a departure from employment. We point out if there are no mandatory guidelines the Commission has to follow in enforcement; this bill isn’t worth the paper it is written on. We hate the legal concept of requiring denial of benefits for injury while intoxicated to necessitate a showing of “departure from employment” and consider the whole concept unenforceable and nonsensical.

Workers’ Compensation Workplace Prevailing Cause HB 6159 (Reis-R-Willow Hill) defines injury as an injury that has arisen out of and in the course of employment; provides that an injury by accident is compensable only if the accident was the prevailing factor in causing both the resulting medical condition and disability. Again, we point out that if this bill isn’t coupled with a provision similar to Missouri’s which requires strict adherence to the legislative intent, this bill is similarly not worth the paper it is written on because everyone will simply swim around it, like an ice cube in a hot swimming pool.

Workers’ Compensation Collective Bargaining SB 3829 (Link-D-Lake Bluff) provides an employer or group of employers and the representative of its employees may agree to establish binding obligations and procedures relating to workers’ compensation; provides the agreement must be limited to, but need not include an alternative dispute resolution system to supplement, modify, or replace the procedural or dispute resolution provisions of the Act. We point out this sort of legislation indicates the Commission should be reformed or not; why create a binding arbitration system and another binding arbitration system? If an employer “opts out” of the current system, do they get to keep the money they are required by law to pay for a system they won’t use?

Workers’ Compensation Objective Medical Standards SB 3830 (Brady-R-Bloomington) provides permanent partial or total disability shall be certified by a physician and demonstrated by use of medically defined objective measurements, that subjective complaints shall not be considered unless supported by and clearly related to objective measurements, and a specified publication shall be applied in determining the level of disability; provides that temporary total disability payments shall not exceed 104 weeks. In our view, this legislative concept is borrowed from other states and would be a very solid, sober and sweeping change to Illinois workers’ compensation law. Therefore, in our view, organized labor will fight it like crazy. Please note this is being sponsored by the leading Republican candidate for Governor! We feel it may have a strong chance of enactment if the political winds change as many feel they may during this coming election year.

Workers’ Compensation Fraud SB 3832 (Brady) provides the Workers’ Compensation Commission may recall a decision or settlement when fraud has been determined to be committed related to a case; provides the Commission shall implement a rule to establish a process for recalling a decision or settlement that is subject to recall due to fraud; provides the fraud and insurance non-compliance unit of the Department of Insurance shall employ one or more attorneys as special prosecutors. Again, this is a sweeping change proposed by the leading Republican candidate for Governor.

Workers’ Compensation Coverage HB 6266 (Rose-R-Mahomet) provides a subcontractor under contract to a general contractor may elect to be covered under any policy of workers’ compensation insurance insuring the contractor upon written agreement of the contractor, by filing written notice of the election on a form prescribed by the Workers’ Compensation Commission. This is a simple and solid idea.

If we put you in charge, what would you change about Illinois work comp law? Please reply with your thoughts and comments.

Chief legal counsel to the Commission is first significant job opening we have ever seen posted on the Commission website—does it signal a new trend?

February 22nd, 2010 Eugene Keefe No comments

Editor’s comment: We are amazed to hear impossible-to-confirm rumors two Illinois Workers’ Compensation Commissioners are in the process of being replaced; most Commission regulars know which two Commissioners may be on the outs. In contrast, there is no indication anyone in the state who isn’t a political heavy has any idea who the replacements are but we are all being told they are already vetted and chosen and will be moving in when terms roll over. We will continue to report further news as received.

As we have said numerous times in the past, secrecy in this process is clearly counterproductive to the interests of what many Illinoisans call “democracy” or open government. We are not amazed but a little confused our current “reform” Governor would want the secrecy and insider dealings of the past to continue. We feel he is working to slowly crack open state government under the Freedom of Information Act and has made strides.

And by the way, we extend the criticisms of secrecy in this process to Illinois Republican and Democrat leaders alike. In many states, open positions like the medium-paying Commission posts are published on the web and open interviews are conducted of qualified candidates from all over the state and country. In contrast, the Illinois workers’ comp appointment process continues to seem like someone’s-cousin’s-brother’s-uncle got the nod. In the past, Republicans leaders have agreed to the same secrecy the Dems cherish. To anyone who likes all the secrecy on either side, please tell us how it has served the interests of Illinois business?

We also point out our understanding the job of staffing the Collinsville office of the IWCC after the retirement of the nice lady who used to work there took place very quietly and without that job being posted on the IWCC website.

So what happened this week? Well if you navigate to the Commission’s website at http://www.state.il.us/agency/iic/job.htm; you will learn they have posted a management position of Chief Legal Counsel on the web! As we indicate above, we hope this means someone may actually be opening up the hiring process a bit. We salute anyone and everyone responsible for this change. In the future, we hope what are supposed to actually be civil service jobs like Arbitrator might actually be posted on the IWCC website where the public would expect them to be posted and not on the relatively hidden and almost-impossible-to-navigate Central Management Services website. We will simply have to wait and see what happens.

Again, please don’t hesitate to reply with your thoughts and comments.

Categories: Illinois Tags:

Fall-down case results in initial denial by Arbitrator of knee injury due to questionable credibility; reversal by Commission and affirmance by reviewing courts.

February 22nd, 2010 Eugene Keefe No comments

Editor’s comment: While we hate to see this outcome, from a purely academic perspective, the Appellate Court got it right; you have to read the administrative ruling to make your own judgment on the Commission’s determination which related a condition not treated or reported for several weeks after the claimed event.

In R & D Thiel v. Illinois Workers’ Compensation Commission, (No. 1-08-3666WC February 9, 2010); the Appellate Court, Workers’ Compensation Division ruled the Commission’s decision was not contrary to the manifest weight of evidence as to necessity and reasonableness of medical expenses and causal relationship, although their ruling was contrary to the Arbitrator’s findings, including credibility. The Court noted the Commission explained its reasons.

Claimant testified without rebuttal to a fall off a ladder. He saw a chiropractor the next day. He did not report any problems with his right leg for over two weeks. He went on to treat over 100 times with the chiropractor, primarily for his back. He later wanted and fought to get approval for surgery to his leg.

The Arbitrator concluded claimant suffered only a soft-tissue injury to the low back related to a fall at work. The Arbitrator further ruled Plaintiff failed to prove permanent injury and denied future medical treatment to his knee. In contrast, the Commission reversed and found Plaintiff proved a work-related disk protrusion with annular tear and fracture with possible meniscal tear of knee caused by the admitted work-related fall.

The Appellate Court followed the Commission’s ruling and re-affirmed the legal concept which holds the Commission’s ruling is not affected by the prior determination of the Arbitrator—the Commission rules on the facts and law in a de novo setting. Our only hope is the Appellate Court consistently adheres to this simple rule for both sides of the workers’ comp matrix.

Please do not hesitate to reply with your thoughts and comments or post them on our award-winning blog. If you want the link to the ruling, let us know.

A little known and less-used provision of Illinois workers’ comp law.

February 15th, 2010 Eugene Keefe No comments

Editor’s comment: We saw this at a conference last week and note it was published by our fearless Illinois workers’ comp leader—Chairman Amy Masters of the IWCC. We have edited it somewhat.

What alternative options are currently available to limit choice of health care providers pursuant to the Illinois Workers’ Compensation Act?

Panel of Physicians

Section 8(a) of the Illinois Workers’ Compensation Act allows the employer and its employees (or employees’ exclusive representative) to maintain a list of physicians, to be known as a Panel of Physicians, who are accessible to the employees, subject to the approval of the Illinois Workers’ Compensation Commission.

v The Employer is responsible for posting the Panel of Physicians list in place(s} easily accessible to employees

v Employees can select alternative physician from panel if dissatisfied with first physician selected

v Employees may select a physician outside of panel if necessary due to the nature of the injury or its occurrence away from the employer’s place of business

v The physician selected from the Panel may arrange for any consultation, referral or other specialized medical services outside the Panel at the employer’s expense.

v If the Commission finds that a doctor selected by the employee is rendering improper or inadequate care, it can order the employee to select another doctor certified or qualified in the medical field for which treatment is required.

v If the employee refuses to make such change the Commission may relieve the employer of his obligation to pay the doctor’s charges from the date of refusal to the date of compliance.

v An ombudsman or advocate can be incorporated into agreement process.

To date, 2 panels of physicians are active in Illinois – the Olmsted Dam project and Cargill.

If you need advice or have thoughts on implementing an approved panel of physicians, we are sure one of the big box retailers did it poorly and their efforts weren’t approved. We are somewhat confident we could correct their mistakes but we are just as sure the Commission would have to see a very clean application.

Please do not hesitate to send your thoughts and comments.

Categories: Illinois Tags:

Judges gone wild!! Our view as to why the Illinois judiciary, particularly in workers’ comp may be so slanted.

February 15th, 2010 Eugene Keefe No comments

Editor’s comment: We try to tell our readers the problems with Illinois’ workers’ compensation system is a byproduct of the overall bias in the courts in dealing with the personal injury system. We like to call the workers’ comp system the “red-headed step-child” of the larger personal injury system because Illinois personal-injury Plaintiff attorneys make millions each year while their workers’ comp counterparts make hundreds of thousands. But make no mistake about it; the personal injury plaintiff millionaires unquestionably impact the workers’ comp system.

Why is the composition of the courts so important? Well, they are making it so—in the past; our Illinois Supreme Court in particular looked at workers’ comp as a large piece of smelly limburger cheese. In the ‘80’s, they created a rule that allowed them to avoid hearing WC appeals unless they wanted to. The justices basically dumped it all on the Appellate Court below. Thereafter, the high court justices wouldn’t handle WC with a ten-foot pole. In the last five-ten years, it appears there are true zealots and liberals on our highest Court who seem to want to reform or re-make the whole workers’ comp process into a hotly liberal image and likeness.

Along with their direct impact, it is our understanding the Supreme Court indirectly affects the outcome because they handle the selection of the appellate justices who make up the Workers’ Compensation Division of Appellate Court. In the last several years, those current appellate justices have written a couple of solid defense opinions. In doing so, they were then forced to watch the Supreme Court accept certiorari and basically every defense opinion, other than Airborne Express, was reversed to insure WC benefits are provided early and often. We remain stunned to see the Supreme Court even consider a case so minor as Interstate Scaffolding which only had about $5,000.00 at stake. Legal scholars now feel the ratio of Plaintiff rulings to defense rulings in the reviewing courts in workers’ compensation are running at about 40 or 50-1. Almost all legal defenses are being stripped away by the Illinois courts and no one on in the Illinois defense bar is recommending any appeals because the system is so apparently biased.

For example:

v The statute of limitations in Illinois WC was effectively ended by the ruling in Durand.

v In Cassens Transport, the reviewing courts ruled a claimant getting wage differential benefits could continue to do so even if their post-award income doubled or tripled.

v In Twice Over Clean, our Supreme Court ruled a heart attack that might have happened while a claimant was brushing his teeth was compensable in Illinois.

v In Interstate Scaffolding, the fact claimant committed what might have been a crime while on light duty did not block renewed payment of TTD after he was fired for misconduct.

Doug Whitley, the President of our Illinois State Chamber analyzed the February primary election last week in his recent missive to major Illinois business. He pointed out Illinois voters probably knew little or nothing about the 170 candidates seeking 45 contested judicial offices. He also indicated 170 sitting judges are eligible to seek voter approval for retention for another six or 10 years in their office. We learned there are four members of the Illinois Supreme Court that may be on the November ballot seeking voter approval to retain them on the bench for another ten years. Three of the four likely to seek retention collaborated right after the primary to strike down the medical malpractice caps. The three justices who are likely to ask November voters for another term are:

v Chief Justice Thomas Fitzgerald who wrote the opinion

v Justices Thomas Kilbride and

v Justice Charles Freeman.

Justices Fitzgerald and Freeman represent the First District and answer to the voters of Cook County. Justice Thomas Kilbride represents the Third District in the middle of the state. The fourth Justice eligible for retention this fall is Justice Bob Thomas of the Second District to the west of Chicago. Each Justice must receive approval of 60% of the voters casting ballots in their election in order to be returned to the highest court in the state.

The decision of four members to overturn the medical malpractice caps is almost certain to result in a simple reply from many doctors and specialists—CYA Illinois! If you aren’t sure, one of the reasons for the med mal caps was to get neurosurgeons and doctors who handled troubled pregnancies to return to our state. The sky-high insurance premiums previously pushed many of such practitioners to Missouri, Iowa and Indiana. Expect that migration to begin again. As we advised last week, anyone in Illinois with a closed head injury may soon have to be med-evac’d to St. Louis or Terre Haute—no doctor will touch such a patient to risk getting sued in Metro East by the rabid Plaintiff bar resident there.

As Doug Whitley indicated, this is exactly the kind of Supreme Court ruling that keeps Illinois at the top of the list of “Judicial Hellholes”. Trust us, that personal injury trend bleeds over into workers’ comp outcomes. So why are judges and justices so biased in this state?—well, it appears they are to some extent selected and certainly strongly financially supported by the Plaintiff bar.

Allen Adomite of the Illinois Civil Justice League notes the 20 appellate court candidates running for six spots have raised almost $2 million. He notes Illinois’ personal injury lawyers are legally and heavily funding campaigns with generous contributions, dropping tens of thousands of dollars on appellate court candidates Thomas Hogan and James R. Epstein in Cook County and Mary Schostok in the 2nd District Appellate Court. Another candidate, Mary Katherine Rochford (in Cook County), is partially self-funding with funds from her trial lawyer husband. Thousands of dollars have found their way from the checking accounts of asbestos lawyers, such as the Alton-based asbestos trial lawyer firm Simmons Cooper, to the campaign bank accounts of Hogan and Epstein. It’s 280 miles up Interstate Highway 55 from East Alton to Chicago, in case you were wondering. Partners at the trial lawyer firm of Cooney & Conway have given more than $70,000 to these campaigns. Trial lawyer Michael Schostok lent his wife’s campaign $108,000. His law partner Patrick Salvi contributed another $12,000. Clifford Law Offices recently chipped in $10,000 and Power Rogers & Smith donated $5,000. Schostok’s opponent, Donna Kelly, has raised $5,075 total.

What ends up happening is Illinois gets a judiciary that is very, very Plaintiff friendly. The sense of healthy balance and legal equilibrium from our Circuit, Appellate and Supreme Courts continues to disappear more and more as the years go on. The problem we feel with what is happening on all sides is a litigation-happy and labor-friendly state may become a state without jobs. We assure our readers the wildly liberal rulings in workers’ compensation are a strong deterrent to new jobs coming to Illinois and the creation of existing jobs from current Illinois employers. As we have told you in the past, we feel merit selection of judges and justices has to come to avoid the anomalies of elections run, in large part, based on generous donations of the Plaintiff bar.

We appreciate your thoughts and comments or please post them on our award-winning blog.

Categories: Illinois Tags: , ,

Relatively rare analysis of the agricultural exemption to the Illinois Workers’ Compensation Act and issues relating to the unique appellate process for work comp claims.

February 8th, 2010 Eugene Keefe No comments

Editor’s comment: This ruling is a clear and concise statement of law on the issues in the Synopsis above. If you don’t regularly handle such matter, move on to other stuff and leave this article to the law buffs.

In Hagemann v. Illinois Workers’ Compensation Commission, (No. 3-08-0989WC Jan. 22, 2010), a unanimous Appellate Court, Workers’ Comp Division ruled Plaintiff timely filed a valid summons with the Circuit Clerk to initiate a timely review of a decision of the Workers’ Compensation Commission. The Court noted the clerk delayed issuance of the summons because no return date was listed on summons, and because County Sherriff would not serve summons outside county.

In light of such facts, the Court ruled there was no lack of diligence of service, as the lack of a return date did not defeat court’s jurisdiction. The Court further noted there was no prejudice as Defendant had notice of appeal within one month of filing.

The Court also note the question of whether the injury to Plaintiff, a grain hauler, fell within the agricultural exemption to Workers Compensation Act was a genuine issue of material fact, dependent on specific nature of his work, and had to be adjudicated through typical arbitration procedures.

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