Allen v. Treasure State Plumbing

803 P.2d 644, 246 Mont. 105, 47 State Rptr. 2280, 1990 Mont. LEXIS 404
CourtMontana Supreme Court
DecidedDecember 19, 1990
Docket90-192
StatusPublished
Cited by5 cases

This text of 803 P.2d 644 (Allen v. Treasure State Plumbing) is published on Counsel Stack Legal Research, covering Montana Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Allen v. Treasure State Plumbing, 803 P.2d 644, 246 Mont. 105, 47 State Rptr. 2280, 1990 Mont. LEXIS 404 (Mo. 1990).

Opinion

JUSTICE McDONOUGH

delivered the Opinion of the Court.

Employers’ Commercial Union appeals from the judgment of the Workers’ Compensation Court which held that Employers’ Commercial Union must pay permanent partial disability benefits and attorney’s fees to claimant, John Allen. We affirm.

The issues we find necessary for review are:

1. Whether the Workers’ Compensation Court properly allocated John Allen’s benefit payments among insurers;

2. Whether the Workers’ Compensation Court properly awarded John Allen attorney’s fees.

At time of trial, John Allen (Mr. Allen) was a 48 year old married man who worked for his father as a laborer at Treasure State Plumbing and Heating since the age of 14. Since that time, Mr. Allen has worked as a plumber, laborer and as a backhoe operator.

In July of 1973, he began to experience low back pain. In an effort to alleviate the pain, Mr. Allen sought treatment from Dr. Sterling R. Hayward, a Billings orthopedic surgeon. According to Dr. Hayward, Mr. Allen’s back condition had existed for at least five years and was aggravated by his work as a backhoe operator. As a result of this diagnosis, Dr. Hayward recommended that Mr. Allen change jobs and discontinue his work as a backhoe operator.

Apparently, Mr. Allen did not heed this advice and on October 25, 1974 he suffered a second back injury while operating a backhoe. Following this injury, he did not return to work until March 12,1976. Mr. Allen sought workers’ compensation benefits and Employers Commercial Union accepted liability and paid medical benefits as well as temporary total and partial disability benefits.

*107 Following this accident, Mr. Allen again sought treatment from Dr. Hayward. Following several examinations, the doctor determined that Mr. Allen’s back condition may have been the result of a herniated nucleus pulposus. This unconfirmed, yet suspected diagnosis, matched his conclusions of a year earlier, when Mr. Allen first sought treatment. Once again, Dr. Hayward recommended that Mr. Allen seek different employment.

In May of 1976, the doctor again examined Mr. Allen and noted that his back condition was “staying about the same.” Following this examination, Dr. Hayward rendered his opinion that Mr. Allen had reached a condition of maximum medical improvement.

After returning to work, Mr. Allen decreased his amount of time operating the backhoe. In fact, the only time he did any backhoe work was when there was no light work available. He noticed that even a small amount of time on the backhoe aggravated his back injury.

On September 12, 1977, Mr. Allen, while working for Treasure State Plumbing, again injured his back. Apparently, this injury occurred while he was helping a co-worker lift a ten inch clay sewer pipe, which weighed approximately 230 pounds. The insurer at risk at the time of this accident was Charter Oak Fire Insurance Company (Charter Oak), however Mr. Allen did not pursue any claim against it at this time.

Fearing that Dr. Hayward would recommend he undergo surgery, Mr. Allen decided to seek chiropractic care. Therefore, instead of returning to Dr. Hayward, he sought treatment from Dr. Cromwell, a Billings chiropractor. While in Dr. Cromwell’s care, he returned to work where he reinjured his back while lifting some bathtubs. Once again, Mr. Allen did not report this accident, nor did he file a claim.

Following these accidents, Mr. Allen discontinued working in the field and began working in the office. Finally, in 1987, he filed a petition before the Workers’ Compensation Court alleging that he had suffered an injury on October 24, 1974 and further that he was entitled to 500 weeks of permanent partial disability payments, attorney’s fees, costs and penalties. This petition was filed against his employer, Treasure State Plumbing and Heating and the appellant Employers Commercial Union Insurance Company (ECU).

Discovery conducted after this petition was filed, revealed job related injuries occurring in 1977. It further revealed Dr. Hayward’s opinion that Mr. Allen’s back injury reached maximum medical improvement in May of 1976. Based upon these facts ECU determined that it was not the insurer on risk at the time of the 1977 *108 injuries. It therefore entered into a partial settlement with Mr. Allen and joined with him in an amended petition before the Workers’ Compensation Court. In this amended petition, ECU sought a judgment holding Charter Oaks liable for all permanent partial disability payments occurring after September 12,1977, the date of Mr. Allen’s subsequent injury. It based its arguments on the fact that Charter Oaks was the insurer on risk at the time of this injury and that Mr. Allen had reached maximum healing in 1976 —■ before the 1977 accident.

Following trial, the Workers’ Compensation Court held that Charter Oaks was responsible for all compensation benefits reasonable related to the temporary aggravation of Mr. Allen’s back condition resulting from his accident of 1977. However, it further found that the 1974 injury was the cause of Mr. Allen’s present permanent partial disability and related diminution in earning capacity. It therefore held that ECU was liable for the full extent of Mr. Allen’s permanent partial disability payments. It further held that ECU was liable for costs and attorney’s fees.

ECU filed a notice of appeal and eventually, following an order of this Court, Mr. Allen was dismissed as a party. Therefore, the only issues submitted for our review concern the disputed liability between ECU and Charter Oaks and the resultant attorney’s fees.

Initially, we note the standard of review applicable to appeals from the Workers’ Compensation Court. When reviewing questions of fact, we limit our examination of the record to determine if substantial credible evidence exists to support the lower court’s findings. O’Brien v. Central Feeds (1990), 241 Mont. 267, 786 P.2d 1169. In reviewing questions of law, we merely determine whether the lower court’s interpretation of the law is correct. Schaub v. Vita Rich Dairy (1989), 236 Mont. 389, 770 P.2d 522.

The lower court extensively reviewed all of the evidence surrounding Mr. Allen’s back injuries. It noted that he began having problems with his back at least as early as 1972, when he first sought medical treatment. At that time, the examining physician advised him to discontinue backhoe work. Apparently, this condition progressed and Mr. Allen suffered additional compensable injuries in 1974 and 1977.

Following the 1974 injury, Dr. Hayward noted that Mr. Allen had reached a condition of maximum medical improvement. Particularly, in May of 1976 he noted that Mr. Allen’s back condition was “staying about the same.”

*109 In 1975, Dr. Hayward conducted a physical examination of Mr. Allen. During this examination, Dr. Hayward made numerous findings concerning Mr. Allens’ flexibility, extension and sensations of pain.

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Bluebook (online)
803 P.2d 644, 246 Mont. 105, 47 State Rptr. 2280, 1990 Mont. LEXIS 404, Counsel Stack Legal Research, https://law.counselstack.com/opinion/allen-v-treasure-state-plumbing-mont-1990.