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Rabu, 26 Oktober 2011

Employee Allowed to Sue Employer for Negligence Resulting From an Occupational Exposure

Guest Blog by John R. Boyd

A Court of Appeals in Missouri has ruled that an employee, who became ill as a result of an occupational exposure to asbestos fiber, may sue his employer for negligence. The Court ruled that the limitations on recovery of the Workers' Compensation Act did not bar a claim where an occupational exposure occurred.

On September 13, 2011, the Court of Appeals for the Western District of Missouri issued a very rare en banc opinion on a writ of prohibition allowing the employee's claim to go forward. The ill worker was exposed to asbestos, a known cancer causing agent, while working for 
KCP&L Greater Missouri Operations Company (KCP&L)  from 1954 to 1988 and was diagnosed with mesothelioma in 2010. Mesothelioma is a rare, but fatal, asbestos related disease.

His claims against his employer, KCP&L,  relied upon premises liability and negligence theories. The employee alleged that KCP&L had a duty to exercise "reasonable care" in preventing an "unreasonable risk of injury."   KCP&L argued that the Missouri Workers' Compensation Act was his exclusive remedy, and sought summary judgment, which was ultimately denied by the trial court.

The Appeals Court held in its 7-2 opinion, that a strict reading of the  Missouri Statutes §287.020.2 and §287.120 defeated KCP&L's argument that the claimant's occupational disease was covered by the Act, and that workers' compensation was the employee's exclusive remedy available. The Court reasoned that the 2005 amendments to the Missouri Workers' Compensation Act required a "strict construction" of the Act. 

The exposure at work was deemed not to be a specific accident, but rather a continuous occupational exposure over 34 years. The Appeals Court differentiated the occupational exposure to asbestos from a specific accident that is defined as "an unexpected traumatic event or unusual strain identifiable by time and place of occurrence and producing at the time objective symptoms of an injury caused by a specific event during a single work shift."

The Court's ruling opened the door for this worker and others who have been exposed in such a fashion to pursue a lawsuit against his or her employer directly, and not be constrained by the limited economic bounds of the Workers' Compensation Act.

This change in the law came about as a result of previous aggressive actions by business and industry to modify the Missouri Workers' Compensation Act in an to attempt to eliminate claims. The ultimate lesson to be learned is that when a pro-business Legislature deforms the law, and attempts to carve-out certain types of injuries from being compensable, they force such cases into the civil arena. Be careful what you ask for----you just might get what you deserve.

Following the Appeals Court's  ruling, an Application for Transfer to the Missouri Supreme Court was filed by counsel for the appellant's on 9/27/11. No ruling on the transfer request has been made by the Missouri Supreme Court.

State ex rel KCP&L Greater Missouri Operations Company v. Hon. Jacqueline Cook WD73642 2011 WL 4031146 (Mo.App. W.D.) (September 13, 2011)


John R. Boyd  is President of the Workers' Injury Law and Advocacy Group (WILG). He is the managing partner of Boyd & Kenter, P.C., Kansas City, MO, and is licensed to practice in Missouri, the United States Court of Appeals for the Eighth Circuit; and the United States District Court for the Western District of Missouri. He is currently a member of the Missouri Bar Association, the Kansas City Metropolitan Bar Association (Chairman of the Workers' Compensation Committee 2000-2001), the Missouri Association of Trial Attorneys (MATA), and the American Association for Justice. 

Senin, 09 Mei 2011

Missouri, The Second Injury Fund and Paying Up

The St. Louis Post Dispatch today called upon the State of Missouri to do the right thing and stop hold injured workers hostage. In an editorial it declares that injured workers should receive benefits that they have been awarded un the Missouri workers' compensation Second Injury Fund which is now underfunded and unable to meet payment.

Citing the flight of an injured iron worker, Harold Frick, it calls for immediate payment now and compromise going forward to resolve the economic issues facing the Missouri workers' compensation system. Like most workers' compensation systems throughout the US, Missouri's system is facing serious economic challenges as it is confronted by a declining economic base upon which to draw premiums to support the system,

In order to insure that workers who have been injured previously can obtain gainful employment, the many legislatures created a second injury fund to insulate subsequent employers from responsibility for prior disability if the employee in question became totally disabled from a compensable accident or event during the last employment. The fund was established to encourage the employment of the handicapped by alleviating the burden placed upon the employer for compensation benefits should the injured worker become totally and permanently disabled. A question now exists on how to finance these funds that have disolved already in many jurisdictions.


For over 3 decades the Law Offices of Jon L. Gelman  1.973.696.7900  jon@gelmans.com have been representing injured workers and their families who have suffered occupational accidents and illnesses.


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Kamis, 24 Maret 2011

MIssouri Mulls More Work Comp Reform

Guest Blog by B. Michael Korte


The Missouri legislature is again considering a number of proposals to change its workers’ compensation system. Every year brings various efforts to continue to ratchet down the benefits provided to injured workers, but this year is the first since 2005 that any change is expected. That year, extensive changes were passed, including a requirement that cases be construed "strictly" rather than liberally. 

Strict construction has proven to be a two-edged sword, with courts recently strictly construing Missouri law to allow more civil lawsuits against fellow employees, and perhaps excluding occupational diseases from the workers’ compensation system and allowing them to proceed in the civil court system. 

Legislation will almost certainly pass in the pro-business-dominated legislature to close these loopholes. What remains to be seen is whether the legislature will finally act to save the state’s second injury fund

The 2005 legislation placed a hard cap on funding for the fund, which has left it nearly bankrupt. The fund stopped making settlement offers in 2009, but now is finding itself unable to pay arrearages on permanent total disability awards. Although numerous independent audits agree that lifting the cap would solve the problem, legislative proposals are focusing instead on limiting or eliminating the fund.

The legislature will have until its adjournment on May 13 to solve the problem, but will also be consumed with budgetary and other problems in the meantime.

B. Michael Korte practices in Kirkwood, Missouri (The Korte Law Firm). B. Michael Korte is the author of Missouri Practice Vol. 29, Workers Compensation Law and Practice. He previously served as president of the Missouri Association of Trial Attorneys, and  has been awarded its Outstanding Service Award. He previously served as president of the Missouri Association of Trial Attorneys, and has been awarded its Outstanding Service Award. He frequently lectures statewide at seminars sponsored by the Missouri Division of Workers’ Compensation, bar associations, and other groups. He has served as the chair of the Missouri Bar Association Workers’ Compensation Committee and as President of Kids’ Chance, Inc., a workers compensation charity.

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Kamis, 10 Februari 2011

AIG Reaches For Its Wallet to Cover $4.1 Billion in Work Comp Claims and Asbestos Liabilities

American International GroupImage via Wikipedia
The American International Group (AIG), the huge insurance company that the US Government bailed out financially, is still hard pressed to raise funds to cover on going claims. AIG has announced that it will need to raise another $4.1 Billion dollars to cover such costs as primary and excess workers' compensation claims and asbestos liability claims.

AIG's long and troubled history was the subject of investigative reporting in the Academy Award nominated film, Inside Job. The Many factors have impact on an insurance company's solvency including the ability to collect premiums in a down economic cycle, the investment of the premiums collected and colateral bad investments the have a massive economic impact of the financial worth of the company in general.

Workers' compensation claims continue despite  a low employment cycle. Latent diseases, such as asbestos related lung cancer, asbestosis and mesothelioma, may be dormant for decades before  manifesting into a chronic and  terminal medical condition.

The industry continues to struggle on how workers' compensation should be employed to insure industries and employers from these condition. Originally the workers' compensation acts did not cover occupational conditions such as silicosis or asbestosis. In the 1950s acts were amended, at industries insistence to bring these occupational conditions under the umbrella of coverage and shield employers from civil lawsuits. With the expansion of products liability claims, based on the intentional concealment of information of the hazards of these conditions, as well as low economic recoveries from struggling workers' compensation systems put the boat back into the bottle, "the longest running tort", asbestos litigation, was born.

Industry continues to try to put the genie back into the bottle, which is reflected in the latest attempt in Missouri to bar liability claims against employers and co-workers. One of the incentives of a workers' compensation program is to prevent industrial accidents, but the system continues to struggle both economically and procedurally in achieving that objective.

The need for AIG to raise additional cash to pay claims raises a concern as to whether premium dollars to pay claims are being adequately protected in the first place, and whether those premiums ared being directed to injured workers and victims of occupational illness. Instead of trying to figure how to further restrict the payment of benefits, perhaps more attention should be paid to making a safer workplace by banning asbestos use, and providing more convenience access through universal medical care.

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