Astleford v. Saif Corp.

858 P.2d 877, 122 Or. App. 432, 1993 Ore. App. LEXIS 1392
Court of Appeals of Oregon·Decided August 25, 1993·No. WCB 90-18739, 90-19654; CA A75105·Published·Cited by 2 cases

Opinion

WARREN, P. J.

Employer seeks review of a Workers’ Compensation Board order refusing to remand for a hearing and approving a disputed claim settlement (DCS) entered into by the Department of Insurance and Finance (DIF), SAIF and claimant. We vacate the portion of the order approving the DCS, and otherwise affirm.

This case presents a somewhat complex procedural history. It centers around two injuries suffered by claimant. We set forth separately the facts related to each injury.

On September 16, 1988, claimant injured his left shoulder. He filed a claim against employer concerning that injury. On December 22,1988, DIF entered a proposed order declaring that employer was a noncomplying employer, ORS 656.052(2), and notified employer that, if he disagreed, he could request a hearing within 20 days after receipt of the order. ORS 656.740(1). More than 20 days later, employer requested a hearing. The referee dismissed that request as untimely. Employer appealed to the Board, but later withdrew the appeal.

After determining that employer was a noncomplying employer, DIF referred the claim to SAIF for processing. ORS 656.054(1). On January 16, 1989, SAIF accepted the claim and notified employer that he had 60 days to request a hearing on compensability. Employer did not request a hearing. On August 21, 1990, he instead issued claimant a notice disclaiming responsibility, on the ground that SAIF’s insured, Tillamook County Creamery Association (TCCA), was the employer responsible for providing claimant workers’ compensation coverage. On October 17, 1990, claimant requested a hearing on the denial of responsibility. That request was assigned case number WCB 90-19654.

On November 27,1990, SAIF denied compensability of claimant’s left shoulder condition on behalf of its insured, TCCA. Claimant requested a hearing on that denial.1

The second injury was to claimant’s left hand on July 27, 1990. His physician notified SAIF of that injury. On [435] September 7, as processing agent for DIF, SAIF issued a denial of claimant’s claim for his left wrist condition on the ground that that condition was not the result of the accepted left shoulder condition. Claimant requested a hearing on that denial. That request was assigned case number WCB 90-18739.

The referee consolidated the two cases for hearing. Employer filed a motion to join TCCA and SAIF, again asserting that TCCA was the employer responsible for providing insurance coverage. The referee denied the motion. On March 26,1991, claimant and SAIF filed a motion to dismiss both claimant’s request for hearing in WCB 90-19654 and his request for a hearing on SAIF’s November 27, 1990, denial. The next day, without employer’s consent, DIF, SAIF and claimant entered into a DCS that awarded claimant $28,000. They stipulated that a bona fide dispute existed among them over the compensability of a claim and that they resolved that dispute pursuant to ORS 656.289(4). The referee approved the DCS and dismissed, with prejudice, claimant’s requests for hearing in both cases. On appeal to the Board, employer argued that the dismissal order should be set aside and the case remanded for a hearing on the question of who should provide insurance coverage under ORS 656.029(1).2 He also argued that he should be allowed to approve the DCS or at least be heard on it. The Board affirmed the referee.

Employer first argues that the Board erred in refusing to remand for a hearing on his ORS 656.029 argument. That argument, in essence, is that he was not a noncomplying employer. Employer relies on ORS 656.283(1) and Blain v. [436] Owen, 106 Or App 285, 807 P2d 313, rev den 312 Or 80 (1991). Under the facts of this case, we conclude that the Board correctly refused to remand.

When DIF issued the order declaring employer to be a noncomplying employer, it notified him of the right to request a hearing. Had employer timely exercised that right, the issue that he claims should be determined on remand would have been decided at that time. He did not. Consequently, the order became final, and neither the Board nor we can review it. ORS 656.740(1) and (3);3 Brown v. Bunch Tire Bailer, Inc., 73 Or App 250, 254, 698 P2d 522 (1985).

ORS 656.283(1) does not assist employer. That statute gives the parties in a workers’ compensation proceeding a right to request a hearing at any time “on any question concerning a claim.” It is general in nature. On the other hand, ORS 656.740(1) and (3) deal specifically with the right of an employer to contest noncomplying status and the time frame for doing so. We apply ORS 656.740(1) and (3), the specific provisions. ORS 174.020; Perlenfein and Perlenfein, 316 Or 16, 20, 848 P2d 604 (1993). Employer’s reliance on Blain v. Owen, supra, is also misplaced. There, we interpreted ORS 656.283(1) to allow a noncomplying employer to challenge compensability of a claim. Here, however, the hearing that employer requested does not concern compensability, but rather his noncomplying status. The Board did not err in denying that request.4

[437] Employer next argues that the Board erred in approving the DCS entered into by DIF, SAIF and claimant. He relies on ORS 656.289(4), which provides:

“Notwithstanding ORS 656.236, in any case where there is a bona fide dispute over compensability of a claim, the parties may, with the approval of a referee, the board or the court, by agreement make such disposition of the claim as is considered reasonable.”

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Astleford v. Saif Corp., 858 P.2d 877, 122 Or. App. 432, 1993 Ore. App. LEXIS 1392 (Or. Ct. App. 1993).

858 P.2d 877 (Astleford v. Saif Corp.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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