Aragon v. Furr's, Inc.

815 P.2d 1186, 112 N.M. 396
CourtNew Mexico Court of Appeals
DecidedJune 27, 1991
Docket12656
StatusPublished
Cited by10 cases

This text of 815 P.2d 1186 (Aragon v. Furr's, Inc.) is published on Counsel Stack Legal Research, covering New Mexico Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Aragon v. Furr's, Inc., 815 P.2d 1186, 112 N.M. 396 (N.M. Ct. App. 1991).

Opinion

OPINION

BIVINS, Judge.

Employer appeals an order of the workers’ compensation judge dismissing its claim against the Subsequent Injury Fund (the Fund) because the claim was barred by the statute of limitations. We reverse.

Prior to 1985, claimant had a permanent physical impairment to his left knee, of which his employer had actual knowledge. On May 21, 1985, he injured his left knee while at work; the accidental injury resulted in a disability that began the next day. In 1988 he filed a claim against his employer for temporary total and permanent partial disability benefits. The claim was settled in November of 1989. Thereafter, in June 1990, employer filed a petition for a claim against the Fund. The Fund moved for summary judgment, alleging that the statute of limitations had run on employer’s claim against the Fund. Both parties agreed that employer’s claim is governed by the law as it existed prior to the 1988 amendments to the Subsequent Injury Act, and therefore the applicable statute of limitations was four years. See Hernandez v. Levi Strauss, Inc., 107 N.M. 644, 763 P.2d 78 (Ct.App.1988) (recognizing four-year limitations period for filing claims against fund pursuant to NMSA 1978, § 37-1-4). Cf NMSA 1978, § 52-2-14 (Cum.Supp. 1990) (adopting specific statute requiring employers to assert claims against fund within two years “after the employer receives notice of a compensation claim” by worker). The parties differed, however, in their view of when the statute of limitations began to run.

The Fund argued that the statute of limitations began to run on the date that employer was notified of the subsequent injury, which in this case is the same date as the date of the subsequent injury. In support of this position, the Fund relied on language from several of our recent cases. See Kennecott Copper Corp. v. Chavez, 109 N.M. 439, 786 P.2d 53 (Ct.App.1990); Davis v. Los Alamos Nat’l Laboratory, 108 N.M. 587, 775 P.2d 1304 (Ct.App.1989); Hernandez v. Levi Strauss, Inc. Employer, on the other hand, argued that the statute did not begin to run until it knew or should have known it had a claim against the Fund. See Consolidated Freightways, Inc. v. Subsequent Injury Fund, 110 N.M. 201, 793 P.2d 1354 (Ct.App.1990); City of Roswell v. Chavez, 108 N.M. 608, 775 P.2d 1325 (Ct.App.1989); Hernandez v. Levi Strauss, Inc. Employer further contended that the issue of when it knew or should have known it had a claim against the Fund was a factual issue. See Pena v. New Mexico Highway Dep’t, 100 N.M. 408, 671 P.2d 656 (Ct.App.1983). In response to the Fund’s motion, employer filed the affidavit of William J. Chesnut, M.D., claimant’s treating physician, who stated that in his opinion, expressed to a reasonable degree of medical probability, it was not known whether the subsequent disability would be materially and substantially greater than would have resulted from the subsequent injury alone until July 1987, when it became apparent that a medical procedure performed in 1986 had failed. Thus, employer contended, it was not until July 1987 that it knew or should have known that it had a claim against the Fund. After hearing argument on the motion, the workers’ compensation judge granted the Fund’s motion for summary judgment.

On appeal, both parties base part of their argument on cases discussing the limitations periods for other causes of action. However, as this court has frequently observed, workers’ compensation actions are sui generis. Consolidated Freight-ways, Inc. v. Subsequent Injury Fund; Jojola v. Aetna Life & Casualty, 109 N.M. 142, 782 P.2d 395 (CtApp.1989). Thus, we do not consider these arguments persuasive. Similarly, employer argues that the Fund’s view as to when its cause of action accrues would, if accepted, violate its rights to due process and equal protection as guaranteed to it by the Únited States and the New Mexico Constitutions. See U.S. Const, amend. XIV, § 1; N.M. Const, art. II, § 18. Our holding renders resolution of this issue unnecessary. See Advance Schools, Inc. v. Bureau of Revenue, 89 N.M. 79, 547 P.2d 562 (1976).

As this court has previously noted, an employer’s claim against the Fund is similar to a worker’s claim against an employer, and thus should be governed by a similar rule. Hernandez v. Levi Strauss, Inc.; see also Jojola v. Aetna Life & Casualty Co. The statute of limitations on a worker’s claim against an employer begins to run as soon as it becomes reasonably apparent, or should become reasonably apparent, to a worker that he has an injury on account of which he is entitled to compensation, and the employer fails or refuses to make payment. ABF Freight Sys. v. Montano, 99 N.M. 259, 657 P.2d 115 (1982); Salazar v. Albuquerque Tribune, 107 N.M. 674, 763 P.2d 690 (Ct.App.1988). In many cases, the injury is such that the worker immediately knows or should know that the injury is compensable, meaning that it is disabling to some degree. However, it is also true that there are other situations in which there is a period of time between the date of the accident or the date of the injury and the date that the injury becomes compensable. See, e.g., Strickland v. Coca-Cola Bottling Co., 107 N.M. 500, 760 P.2d 793 (Ct.App.1988); Casias v. Zia Co., 93 N.M. 78, 596 P.2d 521 (Ct.App.1979). In those situations, the claim does not accrue and the statute of limitations does not begin to run until the claimant knows or should know that the injury is compensable.

We think the situation is similar with respect to an employer’s claim against the Fund. In order to establish a claim against the Fund, an employer must establish the existence of certain facts beyond those necessary to establish the worker’s right to compensation. Hernandez v. Levi Strauss, Inc. See also City of Roswell v. Chavez. Assuming that the procedural prerequisites are met, in order to establish its right to apportionment, the employer must show: 1) that claimant had a preexisting permanent physical impairment; 2) that claimant incurred a subsequent disability that is compensable under the Workers’ Compensation Act; and 3) that as a result of claimant’s permanent pre-existing physical impairment, the subsequent disability is materially and substantially greater than that which would have resulted from the subsequent injury alone. See NMSA 1978, § 52-2-9 (Repl.Pamp.1987).

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815 P.2d 1186, 112 N.M. 396, Counsel Stack Legal Research, https://law.counselstack.com/opinion/aragon-v-furrs-inc-nmctapp-1991.