NY: Divided High Court Awards Carrier Full Credit to Settlement Proceeds Where Worker Was Assaulted, Raped & Kidnapped

NY: Divided High Court Awards Carrier Full Credit to Settlement Proceeds Where Worker Was Assaulted, Raped & Kidnapped

A workers' compensation carrier, who paid benefits to an aide at a juvenile detention center who was physically assaulted, raped, and kidnapped by a coworker, is entitled to take a dollar-for-dollar credit against future workers’ compensation benefits owed where the aide settled a federal civil action against the employer and various co-employees for $650,000, held the Court of Appeals of New York recently in a divided decision. Affirming the decision of an intermediate appellate court, the majority of the high court indicated that the settlement proceeds were intended to compensate the claimant for the physical and mental injuries she suffered at the hands of her coworker, which were the same injuries for which she was awarded compensation benefits.  Claimant could not have a double recovery.

Reported by Thomas A. Robinson, J.D.

LexisNexis Online Subscribers: Citations below link to Lexis Advance. Bracketed citations link to lexis.com.

See In the Matter of Beth V. v. New York St. Office of Children & Family Servs., 2013 N.Y. LEXIS 3158 (Nov. 19, 2013) [2013 N.Y. LEXIS 3158 (Nov. 19, 2013)]

See generally Larson’s Workers’ Compensation Law, § 117.01 [117.01]

Source: Larson’s Workers’ Compensation Law, the nation’s leading authority on workers’ compensation law.

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