EMPLOYER ORDERED TO PAY
$90,000 IN PENALTIES AND ATTORNEY’S FEES FOR DENYING WORKERS’
COMPENSATION BENEFITS TO DONALD W. FOHRMAN & ASSOCIATES CLIENT
On June 29,
1996, the claimant, a cement truck driver, sustained major injuries to
his head, neck, back, ribs, arm and knees as a result of a crash and
rollover of his truck on the Eden’s Expressway in Cook County, Illinois.
The
employer, through their Workers’ Compensation insurance company, paid a
portion of the claimant’s Workers’ Compensation benefits, but denied
coverage for any treatment or lost wage benefits associated with the
claimant’s neck injury. The employer’s refusal to pay was based on their
contention that the claimant’s neck injury resulted from a previous
injury and not the current accident. The claimant had completed medical
treatment from the previous neck injury and was working steady without
any medical restrictions for several months prior to this accident.
Donald W.
Fohrman & Associates, Ltd., on behalf of the
claimant, filed a Petition for Immediate hearing pursuant to section
19(b) of the Illinois Workers’ Compensation Act, with the Illinois
Industrial Commission, in order to obtain all benefits owed to the
claimant. A petition under section 16 and 19 of the Illinois Workers’
Compensation was also filed seeking attorney fees and penalties against
the employer. These sections of the Act provide that if the employer’s
refusal or delay in paying benefits to the claimant is "unreasonable and
vexatious," they could be held liable to pay substantial penalties and
attorney fees.
After an
extensive hearing before an arbitrator of the Illinois Industrial
Commission, the arbitrator rendered a decision in favor of the claimant
awarding him his owed weekly lost time benefits (Temporary Total
Disability ) and the sum of his outstanding medical bills totaling
$110,000. In addition, the arbitrator awarded
the claimant penalties and attorney’s fees in excess of $90,000.
IMPORTANT NOTE: This is a landmark
decision representing one of the largest penalty awards assessed against
an employer by the Illinois Industrial Commission. It is expected that
this decision will cause employers and their Workers’ Compensation
insurance companies to "think twice" before denying benefits to
claimants without legal justification.
For more
information regarding this decision and/or the application of the
penalty provisions of the Workers’ Compensation Act, please
contact our office.
