Texas

TEXAS COURT SAYS EMPLOYER RESPONSIBILITY OFFSET NOT APPLICABLE TO PRE-TRIAL SETTLEMENTS IN WORKERS’ COMPENSATION THIRD-PARTY LAWSUITS Old Republic Ins. Co. v. Morris, 2024 WL 4350334 (Tex. App. 2024)

During most of the 20th Century, Texas boasted a workers’ compensation subrogation scheme which was in the top five most favorable for carriers. That all began to change when the state began a series of legislative changes and issued a number of case decisions began to erode the rights of a subrogation workers’ compensation carrier.…

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MARYLAND SUPREME COURT ASKED TO DECIDE NOVEL WORKERS’ COMPENSATION SUBROGATION ISSUE Trumbull Ins. Co. v. International Marketing Group, Inc., 2024 WL 4753369 (D. Md. 2024)

A federal court in Maryland has asked the Maryland Supreme Court to sound off on an issue regarding the apportionment of attorneys’ fees and costs between a workers’ compensation insurance company and an injured employee, following a large third-party settlement. The facts are somewhat unusual (although they shouldn’t be) because in this case, the workers’…

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ALABAMA COURT OF APPEALS EXTENDS LOSS OF USE RECOVERY TO BOTH REPAIRABLE AND UNREPAIRABLE COMMERCIAL VEHICLES Myers v. Alfa Mut. Ins. Co., 2024 WL 4522424 (Ala. App. Oct. 18, 2024)

Little by little, Alabama is letting out the line when it comes to who can recovery loss of use damages after an automobile has been in an accident. In addition to the other damages recoverable, loss of use (reasonable value of use or rental of a car while the owner is deprived of use of…

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ALABAMA ALLOWS LOSS OF USE DAMAGES FOR TOTALED “COMMERCIAL VEHICLE” FOR FIRST TIME: Myers v. Alfa Mut. Ins. Co., 2024 WL 4522424 (Ala. App. Oct. 18, 2024)

Every day we see evidence of the continuing evolution of subrogation law across our country. In many respects, we are still pioneers in this industry, as subrogation wasn’t pursued, respected, or sought after for many years, leaving many areas in our industry undecided by the courts and simply unknown. A good example of this is…

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SUBROGATING DAMAGE CAUSED BY SWAT AND POLICE ACTION OR BY ORDER OF GOVERNMENTAL AUTHORITY: Baker v. City of McKinney, Texas, 84 F.4th 378 (5th Cir. 2023)

On July 25, 2020, a man named Wesley Little showed up at the front door of Vicki Baker, who was a long time resident of McKinney, Texas. Little had a 15 year-old girl with him when he knocked on the door. Only Vicki’s daughter, Deanna Cook, was home at the time. She recognized Little because…

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LANDMARK WORKERS’ COMPENSATION SUBROGATION DECISION IN NEVADA! AmTrust N. Am., Inc. v. Vasquez, 2024 WL 4233423 (Nev. 2024)

On September 19, 2024, in one of the most pro-subrogation decisions in a generation, the Nevada Supreme Court has overnight turned Nevada into one of the most favorable states for workers’ compensation subrogation. With the stroke of a pen, the court has done the following: Abandoned the “Breen Formula”—which it declared was “unworkable” and “no…

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RECOVERING PREMIUM HIKES: THE MISSING HALF OF THE WORKERS’ COMP BARGAIN

It is said that good judgment comes from experience, but experience comes from bad judgment. This pithy aphorism is generally true in life but is particularly true when a company sees significantly increased workers’ compensation insurance premiums following a serious workers’ compensation claim. The same is true even if the claim was not the employer’s…

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