Justia Kentucky Supreme Court Opinion Summaries
Articles Posted in Labor & Employment Law
Commonwealth, Uninsured Employers’ Fund v. Rogers
Claimant filed an application for workers' compensation, alleging injuries while working for Employer as a roofer. Having become a party because Employer was uninsured, the Uninsured Employers' Fund (UEF) denied the claim and stated that claimant's average weekly rate was unknown. Claimant asserted that his average weekly wage must be calculated under Ky. Rev. Stat. 342.140(1)(e) because he had worked for less than thirteen weeks when the injury occurred. The ALJ applied section 342.140(1)(e) and determined that Claimant's weekly wage was $400 per week. The Workers' Compensation Board vacated the average weekly rate calculation because the record contained insufficient evidence to apply section 342.140(1)(e) properly. The Board then remanded the claim for additional proceedings to include the taking of additional proof. The court of appeals affirmed. The Supreme Court reversed, holding that the Board exceeded its authority under Ky. Rev. Stat. 342.285(2)(c) by remanding the claim in order to provide Claimant with a second opportunity to meet his burden of proof. View "Commonwealth, Uninsured Employers' Fund v. Rogers" on Justia Law
Teco Mech. Contractor, Inc. v. Commonwealth
Appellant, TECO Mechanical Contractor, Inc., filed a complaint and petition for declaration of rights against the Labor Cabinet, asserting that Kentucky's prevailing wage law (1) violated due process by authorizing the Cabinet to assess back wages and civil penalties without a hearing; and (2) failed to specify how workers should be classified and, as a result, improperly delegated legislative or judicial authority to the Cabinet. The circuit court ruled in favor of the Cabinet, and the court of appeals affirmed. The Supreme Court affirmed, holding that the prevailing wage law did not violate the state or federal Constitutions, as (1) TECO failed to establish that the Cabinet's actions under the prevailing wage law deprived it of a property or liberty interest that is protected by the due process clause; and (2) the law prescribes sufficient standards to prevent the Cabinet from abusing any legislative or judicial authority granted to it under the prevailing wage law. View "Teco Mech. Contractor, Inc. v. Commonwealth" on Justia Law
Richey v. Perry Arnold, Inc.
Claimant injured his shoulder during his employment. Claimant and Employer agreed to settle the matter. Claimant subsequently underwent a surgery, which Employer failed to pre-authorize. Claimant then filed several motions, including a motion to reopen. An ALJ determined (1) the surgery was reasonable and necessary; (2) Employer must pay for the procedure and related expenses; (3) the parties' settlement precluded any claim for TTD benefits relative to the surgery; and (4) Employer's failure to pre-authorize or contest the surgery within thirty days did not warrant the imposition of sanctions. The workers' compensation board reversed with respect to future TTD benefits and affirmed otherwise. The court of appeals reversed with respect to future TTD and reinstated the ALJ's decision. The Supreme Court (1) affirmed the denial of a future TTD award, holding that the terms of the parties' agreement barred a future TTD claim; and (2) reversed with respect to the issue of sanctions, holding that the case must be remanded to the ALJ to reconsider the question of sanctions based on a correct understanding of Employer's obligations and any other considerations relevant to the reasonableness of its action under Ky. Rev. Stat. 342.310(1) and 803 Ky. Admin. Reg. 25:012, 2(1)(a). View "Richey v. Perry Arnold, Inc." on Justia Law
Lewis v. Ford Motor Co.
Claimant Randy Lewis sought benefits for work-related lumbar spine injuries sustained in 2001 and 2002 and a work-related cervical spine injury sustained in 2005. An ALJ awarded 425 weeks of partial disability benefits at the rate of $315 per week for the lumbar injuries beginning in 2004 and 425 weeks of partial disability benefits at the rate of $498 per week beginning in 2007. Employer filed a petition for reconsideration, noting that the combined weekly benefits would equal $813 during the weeks they overlapped and that Claimant was not entitled to receive combined weekly benefits totaling more than $607, the maximum benefit that Ky. Rev. Stat. 342.730(1)(a) allowed for total disability. The ALJ granted the petition and amended the claims, concluding that the separate partial disability awards did not entitle Claimant to receive at any time combined weekly benefits that exceeded the maximum for permanent total disability. The workers' compensation board and court of appeals affirmed. The Supreme Court affirmed, holding that the maximum benefit permitted by section 342.703(1)(a) applies to multiple partial disability awards and does not entitle a worker to be compensated at one time for more than total disability. View "Lewis v. Ford Motor Co." on Justia Law
Vision Mining, Inc. v. Gardner
Appellants had worked for thirty-seven and thirty-four years, respectively, in underground coal mines. The Workers' Compensation Board affirmed decisions to dismiss both Appellants' applications for benefits because the "consensus readings" of their X-rays interpreted them to be negative for coal workers' pneumoconiosis. On review, two separate court of appeals' panels held that the "consensus procedure" required by Ky. Rev. Stat. 342.316 for proving the existence of coal workers' pneumoconiosis and the clear and convincing standard the statute required to rebut such a consensus were unconstitutional because such provisions denied the claimants and other workers who suffered from coal workers' pneumoconiosis equal protection under the law by placing a more stringent burden of proof on them than those who suffered from pneumoconiosis from other sources. The Supreme Court consolidated the cases and affirmed, concluding that there was no rational basis or substantial and justifiable reason for the disparate treatment of coal workers in this instance, and the arbitrary distinction requiring coal workers to meet a higher standard of proof in pneumoconiosis cases than other workers violated the equal protection guarantees of the federal and state constitutions. View "Vision Mining, Inc. v. Gardner" on Justia Law
Miller v. Admin. Office of the Courts
Plaintiff, an employee of the Court of Justice, brought an action against the Administrative Office of the Courts (AOC), alleging violation of her due process rights and of the state's whistleblower statute in the termination of her employment. The circuit court dismissed her claims as being barred under the doctrine of res judicata because the issues in question had already been decided in federal court. The Supreme Court (1) reversed the portion of the circuit court judgment dismissing Plaintiff's claims founded on the potential violation of her due process rights under the state Constitution where there was nothing in the record below, or in the federal action, indicating there was a finding of whether Plaintiff's position with the AOC was tenured or at will, and if tenured, whether she was afforded her rights under the administrative procedures of the AOC; and (2) reversed the order of the circuit court dismissing Plaintiff's claim under the Kentucky whistleblower statute on the basis of issue preclusion where the final decision of the federal courts was deprived of one of the required tests in order for issue preclusion to apply to the state court action. Remanded. View "Miller v. Admin. Office of the Courts" on Justia Law
Ky. Unemployment Ins. Comm’n v. Hamilton
On April 1, 2005, Employee was injured during the course of his employment. Due to the injury, Employee never returned to work. Employee received workers' compensation benefits from April 2, 2005 through April 14, 2007. When the workers' compensation benefits ceased, Employee applied for unemployment insurance benefits. The Unemployment Insurance Commission based Employee's unemployment benefits on an extended base period comprised of the first three quarters of 2005 and the fourth quarter of 2006. Employee appealed, arguing that the extended base period should be based upon the four calendar quarters of the year 2004 because those were the most recent four quarters which fairly reflected the wages he earned prior to his injury. The circuit court reversed. The court of appeals affirmed. At issue on appeal was the proper interpretation of "extended base period" as defined in section 341.090(2). The Supreme Court reversed the court of appeals and reinstated the decision of the Commission, holding that the Commission properly applied the statute as written by the General Assembly in calculating Employee's unemployment benefits.
View "Ky. Unemployment Ins. Comm'n v. Hamilton" on Justia Law
Cook v. Popplewell
Shortly after announcing her intention to seek election to the office of county clerk, Appellant Stacie Cook was discharged from her position as a deputy clerk by the incumbent county clerk, Appellee Lisha Popplewell, who also intended to seek election to the clerk position. Following Cook's defeat in the primary election, she brought a 42 U.S.C. 1983 action against Popplewell and the county, alleging that she had been discharged in violation of her First and Fourteenth Amendment rights. The circuit court dismissed Cook's complaint by summary judgment, ruling that Cook's interest in being a candidate enjoyed no constitutional protection. The court of appeals affirmed. The Supreme Court affirmed, holding that there was no reason to deviate from settled law concluding that there is no constitutional right to candidacy. View "Cook v. Popplewell" on Justia Law
Doctors’ Assocs. v. Uninsured Employers’ Fund
Doctors' Associates, Inc. (DAI) owns the "Subway" trademark and franchises the right to operate Subway sandwich shops nationwide. A claimant sought workers' compensation benefits for a work-related injury sustained while working for an uninsured Subway franchisee. The DAI and Uninsured Employers' Fund (UEF) were later joined as parties. The sole issue submitted for a decision by the ALJ was whether DAI was a contractor and, thus, liable to the employee of its uninsured subcontractor. The ALJ dismissed the UEF's claim against DAI, ruling that Ky. Rev. Stat. 342.610, which provides that a contractor can be liable to the employee of its uninsured subcontractor, imposed no liability on DAI because the statute did not encompass franchise relationships. The workers' compensation board affirmed. The court of appeals reversed, holding that the ALJ committed by legal error by concluding that the legislature did not intend for section 34.610 to encompass the franchisor-franchisee relationship simply because the statute failed to mention the relationship. The Supreme Court reversed, holding (1) the ALJ erroneously interpreted section 342.610, but (2) the error did not require reversal of the ALJ's ruling because the ALJ properly analyzed the facts of the case under the statute. View "Doctors' Assocs. v. Uninsured Employers' Fund " on Justia Law
Blackstone Mining Co. v. Travelers Ins. Co.
Travelers Insurance Company brought suit in circuit court alleging that Blackstone Mining Company had underpaid premiums under two separate workers' compensation policies issued by Travelers. Blackstone counterclaimed, alleging that it had overpaid the premiums due under the policies and was entitled to a refund. The circuit court granted summary judgment to Blackstone. The court of appeals reversed. The Supreme Court reversed the court of appeals and reinstated the judgment of the circuit court, holding (1) the court of appeals incorrectly applied well-established burden of proof principles applicable to summary judgment motions; and (2) the circuit court correctly determined that Blackstone was entitled to summary judgment. View "Blackstone Mining Co. v. Travelers Ins. Co." on Justia Law