Keeping Business In Business.
January 30, 2012  Extinguishing Temporary Disability Through Modified Work

Interested in ways to offset or eliminate temporary disability payments in California?  Read the Q&A page to find one way.

January 13, 2012

Friday the 13th, and another scary wage and hour question for employers:  

Your employees are all hourly, and some worked on Sunday January 1st and others worked on Monday January 2nd.  However, on January 2nd all salaried employees took the day off as their holiday.  How does an employer handle the pay for the two hourly employees that worked on January 2nd since they had to be at work on Monday January 2nd can they be paid the holiday rate?  


See the answer by clicking here.


...............................................................


December 30, 2011

This year brings new workers’ compensation legislation, employment laws, continuing legal challenges and a special anniversary for our firm. In June PKNW will celebrate its 20 year anniversary. 


Parker, Kern, Nard & Wenzel began as an association of two attorneys and single Fresno office with Dennis Nard as its sole paralegal. We are now a statewide, multiple-office, 17 attorney workers compensation and employment defense firm providing full-service legal representation to the California business and insurance community.  


We thank our clients, friends and colleagues for 20 years of support. We could not and cannot continue to succeed without it. The dedicated staff of attorneys, secretaries, file clerks, accountants and other members of our firm past and present have worked very hard to exceed our client’s expectations. 


Many who read this can recreate the sound of Cindy Davis, the voice of Parker, Kern, Nard & Wenzel in their minds. She is just one example of the dedicated people who are the secret to our accomplishments.


Our sincere thanks to all who have contributed to PKNW’s 20 year success story.


We invite you to take pride and share in our anniversary, and look forward to serving you for many years to come.


                                                                        


December 28, 2011

The new year is quickly approaching.  Thanks to everyone for a great 2011.   Our firm credits our dedicated clients, friends, associates, staff as well as the legal and judiciary community for making what we do enjoyable and successful.

My personal best wishes to all who read here.  I hope to see each of you next year.

                                           
Working or Business Days?  Five Day Notice Requirements

By David H. Parker
December 14, 2011

An interesting question was asked today about the reporting requirements of an insurer and whether the 5 day requirement mandated by Labor Code § 6409.1(a) and 8 California Code of Regulations § 14001(d)-(e)  is a “working” or “calendar” day requirement.

If one looks at the legal authority cited in the Regulation (the entire regulation with notes is below) it specifically references Labor Code section 5401(a);  Labor Code section 5401(a) specifically refers to “one working day” as the legal standard for calculating an employer’s responsibilities under that statute. Unfortunately “working day” does not appear in Labor Code § 6409.1(a) or 14001(d)-(e) thus one is essentially left with vague statutory and regulatory language.

In such instances I look to case law. There is no case that I find clarifying whether the 5 days referenced in this statutory and regulatory authority are “working” or “calendar.”  Thus in my opinion we are left with analogy to the existing statutes which do reference a) an employer’s obligations and b) a “day” requirement.  The most closely analogous by reference in 14001(d)-(e) notes would be Labor Code section 5401(a) which does reference “working” days. You should note an expired regulation regarding electronic reporting requirements references “5 business days” but since that regulation has sunsetted I do not consider it binding or persuasive authority. 

I can fairly write that no case or statute clarifies this in “black and white” of which I am aware. Thus we look to persuasive relevant authority to help.  

In my opinion the law does not provide a definitive answer to this question, but it appears by analogy that 5 working days is a defensible position and answer to the question “is the 5 days referenced by Labor Code section 6409.1(a) and 8 California Code of Regulations 14001(d)-(e) working or calendar days?”
Working or Business Days?  Five Day Notice Requirements

By David H. Parker
December 14, 2011

An interesting question was asked today about the reporting requirements of an insurer and whether the 5 day requirement mandated by Labor Code § 6409.1(a) and 8 California Code of Regulations § 14001(d)-(e)  is a “working” or “calendar” day requirement.

If one looks at the legal authority cited in the Regulation (the entire regulation with notes is below) it specifically references Labor Code section 5401(a);  Labor Code section 5401(a) specifically refers to “one working day” as the legal standard for calculating an employer’s responsibilities under that statute. Unfortunately “working day” does not appear in Labor Code § 6409.1(a) or 14001(d)-(e) thus one is essentially left with vague statutory and regulatory language.

In such instances I look to case law. There is no case that I find clarifying whether the 5 days referenced in this statutory and regulatory authority are “working” or “calendar.”  Thus in my opinion we are left with analogy to the existing statutes which do reference a) an employer’s obligations and b) a “day” requirement.  The most closely analogous by reference in 14001(d)-(e) notes would be Labor Code section 5401(a) which does reference “working” days. You should note an expired regulation regarding electronic reporting requirements references “5 business days” but since that regulation has sunsetted I do not consider it binding or persuasive authority. 

I can fairly write that no case or statute clarifies this in “black and white” of which I am aware. Thus we look to persuasive relevant authority to help.  

In my opinion the law does not provide a definitive answer to this question, but it appears by analogy that 5 working days is a defensible position and answer to the question “is the 5 days referenced by Labor Code section 6409.1(a) and 8 California Code of Regulations 14001(d)-(e) working or calenda

Working or Business Days? Five Day Notice Requirements

 

By David H. Parker

December 14, 2011

 

An interesting question was asked today about the reporting requirements of an insurer and whether the 5 day requirement mandated by Labor Code § 6409.1(a) and 8 California Code of Regulations § 14001(d)-(e) is a “working” or “calendar” day requirement.

 

If one looks at the legal authority cited in the Regulation (the entire regulation with notes is below) it specifically references Labor Code section 5401(a); Labor Code section 5401(a) specifically refers to “one working day” as the legal standard for calculating an employer’s responsibilities under that statute. Unfortunately “working day” does not appear in Labor Code § 6409.1(a) or 14001(d)-(e) thus one is essentially left with vague statutory and regulatory language.

 

In such instances I look to case law. There is no case that I find clarifying whether the 5 days referenced in this statutory and regulatory authority are “working” or “calendar.” Thus in my opinion we are left with analogy to the existing statutes which do reference a) an employer’s obligations and b) a “day” requirement. The most closely analogous by reference in 14001(d)-(e) notes would be Labor Code section 5401(a) which does reference “working” days. You should note an expired regulation regarding electronic reporting requirements references “5 business days” but since that regulation has sunsetted I do not consider it binding or persuasive authority.

 

I can fairly write that no case or statute clarifies this in “black and white” of which I am aware. Thus we look to persuasive relevant authority to help.

 

In my opinion the law does not provide a definitive answer to this question, but it appears by analogy that 5 working days is a defensible position and answer to the question “is the 5 days referenced by Labor Code section 6409.1(a) and 8 California Code of Regulations 14001(d)-(e) working or calendar days?”

Working or Business Days?  Five Day Notice Requirements

By David H. Parker
December 14, 2011

An interesting question was asked today about the reporting requirements of an insurer and whether the 5 day requirement mandated by Labor Code § 6409.1(a) and 8 California Code of Regulations § 14001(d)-(e)  is a “working” or “calendar” day requirement.

If one looks at the legal authority cited in the Regulation (the entire regulation with notes is below) it specifically references Labor Code section 5401(a);  Labor Code section 5401(a) specifically refers to “one working day” as the legal standard for calculating an employer’s responsibilities under that statute. Unfortunately “working day” does not appear in Labor Code § 6409.1(a) or 14001(d)-(e) thus one is essentially left with vague statutory and regulatory language.

In such instances I look to case law. There is no case that I find clarifying whether the 5 days referenced in this statutory and regulatory authority are “working” or “calendar.”  Thus in my opinion we are left with analogy to the existing statutes which do reference a) an employer’s obligations and b) a “day” requirement.  The most closely analogous by reference in 14001(d)-(e) notes would be Labor Code section 5401(a) which does reference “working” days. You should note an expired regulation regarding electronic reporting requirements references “5 business days” but since that regulation has sunsetted I do not consider it binding or persuasive authority. 

I can fairly write that no case or statute clarifies this in “black and white” of which I am aware. Thus we look to persuasive relevant authority to help.  

In my opinion the law does not provide a definitive answer to this question, but it appears by analogy that 5 working days is a defensible position and answer to the question “is the 5 days referenced by Labor Code section 6409.1(a) and 8 California Code of Regulations 14001(d)-(e) working or

Working or Business Days? Five Day Notice Requirements

 

By David H. Parker

December 14, 2011

 

An interesting question was asked today about the reporting requirements of an insurer and whether the 5 day requirement mandated by Labor Code § 6409.1(a) and 8 California Code of Regulations § 14001(d)-(e) is a “working” or “calendar” day requirement.

 

If one looks at the legal authority cited in the Regulation (the entire regulation with notes is below) it specifically references Labor Code section 5401(a); Labor Code section 5401(a) specifically refers to “one working day” as the legal standard for calculating an employer’s responsibilities under that statute. Unfortunately “working day” does not appear in Labor Code § 6409.1(a) or 14001(d)-(e) thus one is essentially left with vague statutory and regulatory language.

 

In such instances I look to case law. There is no case that I find clarifying whether the 5 days referenced in this statutory and regulatory authority are “working” or “calendar.” Thus in my opinion we are left with analogy to the existing statutes which do reference a) an employer’s obligations and b) a “day” requirement. The most closely analogous by reference in 14001(d)-(e) notes would be Labor Code section 5401(a) which does reference “working” days. You should note an expired regulation regarding electronic reporting requirements references “5 business days” but since that regulation has sunsetted I do not consider it binding or persuasive authority.

 

I can fairly write that no case or statute clarifies this in “black and white” of which I am aware. Thus we look to persuasive relevant authority to help.

 

In my opinion the law does not provide a definitive answer to this question, but it appears by analogy that 5 working days is a defensible position and answer to the question “is the 5 days referenced by Labor Code section 6409.1(a) and 8 California Code of Regulations 14001(d)-(e) working or calendar days?”


                                                                  

November 18, 2011  UPDATE!!!  PKNW Open House

Parker, Kern, Nard & Wenzel has officially set our Open House date for December 1, 2011.  Formal invitations have been sent-out and we have well over 100 RSVP's to date.  However many of you have not responded.

Typically our Open House is well-attended by a broad range of clients, community and the court.  If you read here we welcome your attendance.  There will be food, drinks, prizes and entertainment.  I still hear about how much fun people had last year, so we hope to see you particularly if you read here.

Please click here and make sure you RSVP as soon as possible as there attendance is limited to that allowed by our landlord as well as all applicable laws and regulations.

We look forward to seeing you!

                                                                                                                          
November 17, 2011

One of the biggest wage and hour cases in California is pending before the California Supreme Court.  Brinker v. Superior Court was argued November 8, 2011.  Early feedback is that it may bode favorably for employers. 

The claim is that the employer Brinker failed to provide its employees with legally mandated breaks. The case was certified as a class action and involves nearly 60,000 employees.

According to the California Chamber of Commerce, "Employees of Brinker International, Inc. (Brinker), the parent company of Chili’s restaurants and other restaurant chains, filed this class action lawsuit eight years ago. Class action lawsuits over meal and rest breaks are common in California. The heart of the lawsuit is that Brinker failed to provide its employees with their legally mandated breaks. The case was certified as a class action and involves nearly 60,000 employees.

"The employees claimed that Brinker had a consistent and common policy of:

  • Requiring employees to work through meal periods and/or to work at least five hours without a meal period
  • Requiring employees to work through rest periods and failing to provide rest periods of at least ten minutes per four hours worked


"Brinker countered that it made meal periods available to employees at the appropriate time and that it was not obligated to force an employee to take the meal period if the employee chose to work through lunch. Brinker also argued that it appropriately provided rest breaks.

"Brinker required employees to sign a form which contained the following provisions:

  • “I am entitled to a 30-minute meal period when I work a shift that is over five hours.”
  • “If I work over 3.5 hours during my shift, I understand that I am eligible for one ten-minute rest break for each four hours that I work.”


"Brinker’s policy stated that employees are responsible for clocking in and out for each shift and that employees could be disciplined for failing to follow the meal and rest break policy."

The issue is whether an employer must require as opposed to simply provide meal and rest breaks.

Labor Code section 512 provides: "An employer may not employ an employee for a work period of more than 10 hours per day without providing the employee with a second meal period of not less than thirty minutes, except that if the total hours worked is no more than 12 hours, the second meal period may be waived by mutual consent of the employer and the employee only if the first meal period was not waived."

So what happens if an employer provides but an employee does not take his or her meal break?

That is a big part of what this case will decide.

Many predict a decision on or before February 6, 2012.  

Check back here for the decision.

                                                                                                         

October 11, 2011


Governor Edmund G. Brown Jr. has signed five bills related to California Workers' Compensation system.


October 2011 has brought us several new California Workers' Compensation bills with more legislation.


AB 335 requires the workers’ compensation administrative director to work with the Commission on Health and Safety and Workers’ Compensation (CHSWC) to develop regulations regarding notices to injured workers, to develop and make accessible a booklet written in plain language about the workers’ comp claims process and is designed to streamline and simply other notices to employees.


AB 378 establishes guidelines for dispensing compound drugs, the circumstances under which those drugs would be covered and the reimbursement amount, and removes the incentives for physicians to refer patients to pharmacies in which the physician or physician's family has a financial interest


AB 397 addresses contractors that do not have workers’ compensation coverage but are entitled to exemptions by certifying they are still exempt or have gotten coverage at the time of their license renewal.


AB 1168  establishes a fee schedule for vocational experts' services.


AB 1426  eliminates the court administrator position.


Governor Brown vetoed three bills related to the California Workers' Compensation system:


AB 211 Would have established a flat $6,000 supplemental job displacement voucher to cover retraining and skills enhancement for injured workers without clarifying the time frame when the injured worker can start receiving the voucher.


AB 584 would have required UR physicians to be licensed in California. 


AB 947 would have broadened definition of the types of injuries that qualify for an extended time frame to receive TD benefits from 104 weeks to 240 weeks. 


If you would like more information regarding the new or vetoed statutes feel free to contact me.


                                                                                                                                                                                          

                                                                                                                                                                                                                                                        
September 26, 2011

I have always considered Medical-Legal reporting and the sufficiency thereof to be a critical issue when litigating before the California Workers' Compensation Appeals Board.  It is incumbent upon all parties asserting an issue to ensure substantial medical evidence to support a medical dispute.  

What is substantial medical evidence?  What can be done to ensure medical reporting is admissible and constitutes substantial medical evidence?

There are two superior articles available on the web which specifically address the answer to these questions.  Robert G. Rassp's 2007 article and most recently Colleen Casey's 2011 article available on Lexis.

If you click the highlighted links they will take you directly to these articles.

Please note:  provision of the links here do not reflect my own opinions, research or positions on the issues discussed therein.  However I consider both these authors superior analysts of these issues and the articles superior analyses of these issues.

If you have questions on how I might approach these issues in the context of California Workers' Compensation Defense cases feel free to contact me directly.

                                                                                                                                                                                                                                                        
September 10, 2011  - In Defense of Workers' Compensation Judges

I find that too often Workers' Compensation Judges are blamed for adverse results before the California Workers' Compensation Appeals Board.  This in spite of the fact that the Judges' mandate is to construe the law liberally in favor of awarding benefits as codified in Labor Code section 3202 - in other words, it is the law.

Following the law is both the judges and defense mandate.  Thus I think many are predisposed to thinking that defendants cannot win when it comes to workers' compensation defense in California simply because of the judges or the "liberal" system.  This is simply incorrect. 

On September 8, 2011 a Findings and Order denying an applicant benefits issued on behalf of one of my clients.  I will post it and link it below for your reading.  In short the case was a psychological claim of discrimination and injury allegedly caused by my client.  This in spite of the fact that my client responded to an applicant's clear violation of its rules and policies.  Applicant was a correctional officer with a repeated pattern of failing to respond to his fellow officers in need of assistance against inmate uprisings or confrontations.

Applicant was terminated for his misconduct.  The termination was overturned in favor of a suspension.  Applicant refused to accept that a) he was punished lawfully for his misconduct, without regard to any race, class, religion, or other protected status b) that he was treated as any other officer would have been treated and c) failed to return-to-work after the order converting his termination to suspension in spite of several offers by my client.

The reporting doctors found that the psychological complaints did arise out of events of employment, but pursuant to California Labor Code section 3208.3 such complaints are not compensable if they arise out of lawful, non-discriminatory, good-faith personnel actions.

My client was completely supportive of trial.  It was not only willing to incur the risks and costs, but most importantly to send its witnesses to testify.

The result?  A "take-nothing" and justice done.

The lesson is that success depends on a reasonable analysis of the facts and law, picking and choosing the right cases to proceed upon to trial, and when trying a case to give a judge all he or she needs to find in your favor:  supporting, organized documentation, credible witnesses and a clear presentation of the legal basis for one's defense.

If you are interested in reading the decision feel free to scroll down directly below this entry.




September 6, 2011  -  Employer Objections To Settlements and Direction(s) On Trials


I recently was asked an excellent question regarding employer rights in California workers' compensation:  "Is there any specific California workers’ compensation statute or regulation the employer can use as basis/support, in order to ask the insurance carrier not to settle the case but to take to trial?"

 

Typically the employer cannot and in most cases should not direct an insurance company to take any matter to trial, as insurance policies typically cede these decisions to the insurance company itself as a matter of contract law.  This is not intended to be "pro" insurance company or "anti" employer.  This opinion is strictly general and based on what is my experience both with insurance policy language in California as well as successful defense of litigation.   "United we stand;  Divided we fall" is a fair philosophy in California litigation.

 

However it must be written that sometimes insurance examiners and companies may not see the entire picture as it relates to an employer's obligations, business and principles.  When this occurs there is some legal support in California workers’ compensation laws and statutes for workers’ compensation cases only allowing for an employer objection to any settlement.  If successful in opposing a settlement the employer can leave what typically is the only option left, which of course is trial.

 

Labor code section 3761(b) requires the employer to notify the insurer of any facts which would tend to disprove the claim “promptly.”  If such notice is provided the employer can make a written request to the WCAB that “no compensation is payable to an employee” unless there is proof of service on the employer no less than 15 days prior to WCAB approval of a compromise and release setting a time and place for hearing at which the agreement is to be approved.   The employer can then appear at the hearing and state its facts, evidence and arguments against applicant’s right(s) to benefits or settlement. Failure to provide the notice does not prevent the WCAB from approving the agreement but the board shall order 5813 expenses if such failure to notify is proved.

 

In order to preserve its rights the employer must file a declaration and petition pursuant to Title 8 California Code of Regulations sections 10450 and 10875, so the protections are not automatic. If granted a hearing the employer can appear and object to any settlement, though there is no guarantee of WCAB disapproval. The important approach would be to fully, fairly and completely document any evidence militating against a right to benefits at that hearing if properly notified by the insurance company and granted by the WCAB in a timely manner.

 

The best approach when it comes to influencing a California workers’ compensation defense trial decision is to talk with the insurance company and examiner citing Labor Code section 3761 and 3762 (collectively termed “The Employer Bill of Rights”). Too often I see the applicants’ and plaintiffs’ bars united in their representation of California’s injured employees and the defense divided. This is never ideal. Personally I have not encountered an insurance examiner or company not dedicated to fighting legitimate and documented insurance fraud, but the insurance companies know how high the legal standard is for asserting such defenses, the hazards and risks of trial as well as the realities of the system.

 

I encourage cooperation on the defense.  Rarely do I find myself arguing with an employer or insurance representative as too often disputes are a matter of better communication when both the insurance company and employer are defending cases.  However when principles are involved which require objection to settlements by employers, California law does confer rights upon the employer to raise its concerns before the Workers' Compensation Appeals Board.



                                                                                                                                                                                                                                                        



August 24, 2011 

I represent school districts which have the unique requirements of the Education Code.  An interesting decision issued today which bears upon job duties and job descriptions.  Arguably it could be cited as persuasive authority in workers' compensation cases though I would respond the case is clearly distinguishable based on its genesis in the Education and not the Labor Code.

In Theiler v. Ventura County Community College District - filed July 25, 2011, publication ordered August 24, 2011, the  Second District, Division Six found that the duties and teaching assignment of an athletic coach are not comparable to a classroom instructor for purposes of Education Code Sec. 87482.5.

You may read the full decision here: http://www.metnews.com/sos.cgi?0811%2FB222321

                                                                                                                                                                                                                                                        
August 23, 2011

The California Supreme Court has decided the Seabright Insurance case. It held that generally, when employees of independent contractors are injured in the workplace, they cannot sue the party that hired the contractor to do the work. It cited Privette v. Superior Court (1993) 5 Cal. 4th 689.

By hiring an independent contractor, the hirer implicitly delegates to the contractor any tort law duty it owes regarding safety of the specific workplace that is the subject of the contract. The court considered whether the Privette rule applied and held that when the party that hires a contractor (the hirer) fails to comply with workplace safety requirements concerning the precise subject matter of the contract, and the injury is alleged to have occurred as a consquence of that failure, the duty to comply with applicable statutory or regulatory safety requirements has been delegated to the independent contractor.

Such delegation does not include the tort law duties the employer owes to its own employees to comply with the same safety requirements but under the definition of employer that applies to California workplace safety laws, the employees of an independent contractor are not considered to be the hirer's own employees. See Labor Code section 6304.

You may read the decision
here and Labor Code section 6304 which references Labor Code section 3300.
 
 


***
August 19, 2011

I recently presented a seminar where after an excellent question was posed by a California risk manager:    

"How long should I keep personnel and employment records?"


I generally recommend you keep personnel, employment and employee records for at least the period of employment plus four (4) years which should cover nearly every applicable law with the general exception of three (3): 


  1. Pension and welfare information (which is generally six years);
  2. First aid records for job injuries causing loss of work time (which is generally at least 5 years, but our firm keeps these records including settlements and other pleadings for a minimum of seven (7) years);
  3. Safety and toxic chemical exposure records including MSDS sheets (which is generally at least thirty (30) years).

I have a chart which may help give you guidance with the following caution:  every employer is different and therefore I cannot give and this does not constitute legal advice through this website.  California law requires a fee and disclosure agreement as well as much more information about your company before I can give you any legal advice.


If you are interested in this chart feel free to contact me at the firm or by email at dp[at]pknwlaw.com.


                                                                                                                                                                                                                                                        


August 11, 2011 - Duncan case decided by California Supreme Court

Today is a big decision day.  The California Supreme Court has decided what was formerly the Duncan case and is now cited as Christine Baker v. WCAB.  The decision was best summarized by the court as follows in its opinion:

Applying the “fundamental rule of statutory construction . . . that a court should ascertain the intent of the Legislature so as to effectuate the purpose of the law [citations]” (DuBois v. Workers’ Comp. Appeals Bd. (1993) 5 Cal.4th 382, 387 (DuBois)), we conclude that, through the operative language of subdivision (c), the Legislature intended that COLA's be calculated and applied prospectively commencing on the January 1 following the date on which the injured worker first becomes entitled to receive, and actually begins receiving, such benefit payments, i.e., the permanent and stationary date in the case of total permanent disability benefits, and the date on which partial permanent disability benefits become exhausted in the case of life pension payments."

Thus the COLA adjustment commences either January 1 following the p&s date and the date on which partial permanent disability payments become exhausted in the case of life pension payments.

I think all would have to consider this a victory for employers and defendants.

                                                                                                                                                                                                                                                        

August 2, 2011


The talk of the day is Wanda Ogilvie v. Workers' Compensation Appeals Board et. al.  I read it as fairly easy to understand:  if the formula is calculated incorrectly, fails to take into account aggravating complications or that the injury prevents applicant from being amendable to rehabilitation resulting in greater loss of future earning capacity a scheduled rating may be increased, or rebutted.


There is no knowing what to expect in terms of future litigation but most attorneys to whom I have spoken expect a request for California Supreme Court review.

 

                                                                                                                                                                                                                                                        

 

 

 

 

August 1, 2011 has brought the recent Court of Appeal holding in Ogilvie.  The holding is best summarized as follows:

An Employee who contests a scheduled rating on the basis that the employee's diminished future earning capacity is different than the earning capacity used to arrive at the scheduled rating must show a factual error in the calculation of a factor in the rating formula or application of the formula, the omission of medical complications aggravating the employee's disability in preparation of the rating schedule, or that due to industrial injury the employee is not amenable to rehabilitation and therefore has suffered a greater loss of future earning capacity than reflected in the scheduled rating.

Many have suggested that this is a return to a LeBoeuf v. WCAB standard.  Certainly this is reasonably contemplated.

I think Fresno Workers' Compensation Defense Attorneys are bracing for increased litigation and expert costs.  

                                                                                                                                                                                                                                                       
July 31, 2011.

This is where i will blog my take on interesting legal issues for you as the arise.  These are my thoughts and opinions only and do not necessarily reflect those of the firm, other attorneys or the actual state of the law.  In no way should this blog or any content herein be considered legal advice.