Texas Supreme Court Grants Petition in SIBs Agreement Case
The Supreme Court of Texas has granted the petition for review of the Division of Workers’ Compensation in a high profile workers’ compensation case. The grant was announced by the court in Texas Dept. of Insurance, Division of Workers’ Compensation v. Jones, et al., (No. 15-0025), on January 22, 2016.The Dallas court of appeals’ opinion can be found here.
The issue: Legality of an agreement resolving a case on judicial review. The parties to the case compromised the carrier’s liability for a single disputed quarter of SIBs by agreeing that the carrier would pay the quarter, but at one-half of the SIBs monthly rate to which the claimant would otherwise be entitled. The Division intervened, objecting to the agreement, arguing that the proposed agreement violated statutory and regulatory requirements.
The specific controversy: Whether an agreement between carrier and claimant to compromise the carrier’s SIBs liability for something less than 100% of the benefit amount is consistent with the Texas Workers’ Compensation Act.
The decision will impact whether and how parties can resolve cases that have been appealed to district court after Division resolution through the CCH/appeals panel process. The reach of the case may even extend to how such cases can be resolved by the parties at the Division level.
The meaning of the court’s action: The case was filed in the Supreme Court on January 12, 2015. The court granted the petition for review and has set the case for oral argument before the full court on March 30, 2016. The oral arguments will be conducted at Baylor University School of Law. The court can be expected to issue a decision in the case sometime during the Summer 2016.
The Texas Civil Justice League has filed an amicus curiae letter with the court urging support for the Division’s arguments.
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