Baca v. State

CourtNew Mexico Court of Appeals
DecidedJune 21, 2017
Docket34,640
StatusPublished

This text of Baca v. State (Baca v. State) 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
Baca v. State, (N.M. Ct. App. 2017).

Opinion

1 IN THE COURT OF APPEALS OF THE STATE OF NEW MEXICO

2 Opinion Number: ___________

3 Filing Date: June 21, 2017

4 NO. 34,640

5 DON R. BACA,

6 Worker-Appellant,

7 v.

8 STATE OF NEW MEXICO and 9 RISK MANAGEMENT DIVISION,

10 Employer/Insurer-Appellee.

11 APPEAL FROM THE WORKERS’ COMPENSATION ADMINISTRATION 12 Terry S. Kramer, Workers’ Compensation Judge

13 Gerald A. Hanrahan 14 Albuquerque, NM

15 for Appellant

16 Hatcher Law Group, P.A. 17 Scott P. Hatcher 18 Mark A. Cox 19 Santa Fe, NM

20 for Appellee 1 OPINION

2 GARCIA, Judge.

3 {1} The primary issue in this workers’ compensation appeal is the enforceability

4 of the parties’ stipulated compensation order (the SCO) that was filed on August 4,

5 2004. Although much has happened since the SCO was approved and both parties

6 have substantially contributed to the procedural dilemma since 2004, we are able to

7 resolve the present appeal succinctly. We conclude that the workers’ compensation

8 judge (the WCJ) was without authority to approve the SCO containing a partial lump-

9 sum payment to Worker because the SCO did not comply with the Workers’

10 Compensation Administration Act (the WCAA), NMSA 1978, §§ 52-5-1 to -22

11 (1987, as amended through 2013), specifically Section 52-5-12(C). In 2014, when

12 addressing a motion by the State (Employer), the WCJ erred by determining that the

13 SCO was enforceable against Worker. As a result, we reverse and remand this matter

14 to the Workers’ Compensation Administration (the WCA) for further proceedings.

15 BACKGROUND

16 {2} On August 4, 2004, the parties entered into the SCO to settle a dispute

17 regarding Worker’s entitlement to workers’ compensation benefits as the result of an

18 accident and injuries to Worker’s back that occurred on July 24, 2002. It is

19 undisputed by Employer that no hearing was held by the WCJ to approve the 1 provisions of the SCO or otherwise confirm Worker’s knowledge of the partial lump-

2 sum settlement or any of the material facts contained therein. The SCO set Worker’s

3 permanent partial disability (PPD) benefits at $193,554.62, offset $54,746.12 for

4 previous PPD benefits paid, allowed a $60,000 partial lump-sum payment to Worker

5 to pay debts, and provided for the remaining PPD benefits to be paid at $250 per

6 week, on a bi-weekly basis, for 315.234 weeks. In 2010, Worker underwent the first

7 of several additional surgeries due to the further deterioration of his back injury.

8 Without any modification of the SCO or Worker’s previous 2004 benefits and

9 without any application, hearing, or order of modification pursuant to the Workers’

10 Compensation Act (the Act), NMSA 1978, §§ 52-1-1 to -70 (1929, as amended

11 through 2016) and the WCAA, specifically Section 52-1-56 and Section 52-5-9,

12 Employer unilaterally notified and paid Worker additional workers’ compensation

13 indemnity benefits of approximately $92,530.72.

14 {3} In 2014, Employer filed an application seeking an independent medical

15 examination (IME) of Worker for the purpose of determining his current medical

16 condition, ascertaining whether Worker has attained maximum medical improvement

17 (MMI), whether Worker had an impairment rating, and to determine the

18 reasonableness, necessity, and scope of future medical care. After Employer’s

19 application for an IME was addressed and denied by the WCJ, Employer filed a

2 1 complaint seeking a determination of compensability/benefits and a credit for any

2 overpayment, as well as a motion for supplemental compensation order (the MSCO).

3 In response to the MSCO, Worker asserted that: (1) the SCO was not enforceable

4 because a hearing to approve the SCO was never held; (2) Employer waived any

5 overpayment of additional benefits that Employer had voluntarily paid to Worker

6 pursuant to the provisions of the SCO; and (3) Worker was entitled to a reinstatement

7 of temporary total disability (TTD) payments and a modification of benefits pursuant

8 to Section 52-1-56, Section 52-5-9, Benny v. Moberg Welding, 2007-NMCA-124, 142

9 N.M. 501, 167 P.3d 949, and also applying Fowler v. Vista Care, 2014-NMSC-019,

10 329 P.3d 630. Worker also filed a counterclaim for the approval of a spinal cord

11 stimulator, approval of TTD payments until he reached MMI in the future, and

12 approval of PPD payments once MMI was reached in the future. Employer asserted

13 that the issues to be resolved were only legal and that the WCJ could rule from the

14 pleadings without the need for an evidentiary hearing. The WCJ granted Employer’s

15 MSCO and ruled that (1) the SCO was enforceable “as written,” (2) Employer

16 mistakenly overpaid benefits to Worker, and (3) Worker was required to reimburse

17 Employer for the excess benefits paid in the amount of approximately

18 $92,530.72.Worker timely appealed.

19 {4} Worker raises four separate arguments on appeal. Worker asserts that the WCJ

3 1 erred by: (1) failing to mutually apply the principle of waiver to all provisions in the

2 SCO; (2) converting the MSCO into a strictly legal argument and granting summary

3 judgment in favor of Employer; (3) failing to apply the holding in Benny to effectuate

4 a modification of the SCO based upon the parties’ actions since 2004; and (4) failing

5 to determine that the SCO was invalid and unenforceable under Sommerville v.

6 Southwest Firebird, 2008-NMSC-034, 144 N.M. 396, 188 P.3d 1147. Because we

7 reverse and remand based upon our determination that the SCO was unenforceable,

8 it is not necessary that we address Worker’s other issues at this time.

9 DISCUSSION

10 I. The WCJ Erred by Enforcing the SCO

11 {5} We review “a summary judgment ruling de novo.” Id. ¶ 5; see Paradiso v.

12 Tipps Equip., 2004-NMCA-009, ¶ 23, 134 N.M. 814, 82 P.3d 985 (“We therefore

13 review the issue de novo and determine whether the applicable law was correctly

14 applied to the facts.”). Depending upon the statutory section in dispute, our appellate

15 courts may still apply principles of liberal construction to the Act and the WCAA as

16 “one of many tools employed in construing legislation.” Benavides v. E. N.M. Med.

17 Ctr., 2014-NMSC-037, ¶ 44, 338 P.3d 1265. When a statute is not clear, “we must

18 attempt to construe [it] according to its obvious spirit or reason.” Id. ¶ 24 (internal

19 quotation marks and citation omitted); see Michaels v. Anglo Am. Auto Auctions, Inc.,

4 1 1994-NMSC-015, ¶ 13, 117 N.M. 91, 869 P.2d 279 (“There are three points to be

2 considered in the construction of all remedial statutes; the old law, the mischief, and

3 the remedy; that is, how the common law stood at the making of the act; what the

4 mischief was, for which the common law did not provide; and what remedy the

5 parliament hath provided to cure this mischief. And it is the business of the judges so

6 to construe the act as to suppress the mischief and advance the remedy.” (internal

7 quotation marks and citation omitted)).

8 {6} The statutory construction considerations in the present case—the old law, the

9 mischief, and the remedy—regarding lump-sum payments to injured workers have

10 been clearly articulated. Lump-sum payments are specifically disfavored in workers’

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Marckstadt v. Lockheed Martin Corp.
2010 NMSC 001 (New Mexico Supreme Court, 2009)
Cabazos v. Calloway Construction
879 P.2d 1217 (New Mexico Court of Appeals, 1994)
Michaels v. Anglo American Auto Auctions, Inc.
869 P.2d 279 (New Mexico Supreme Court, 1994)
Scott v. Rizzo
634 P.2d 1234 (New Mexico Supreme Court, 1981)
Aguilera v. Palm Harbor Homes, Inc.
2002 NMSC 029 (New Mexico Supreme Court, 2002)
Souter v. Ancae Heating & Air Conditioning
2002 NMCA 078 (New Mexico Court of Appeals, 2002)
Paradiso v. TIPPS EQUIPMENT
2004 NMCA 009 (New Mexico Court of Appeals, 2003)
Sommerville v. Southwest Firebird
2008 NMSC 034 (New Mexico Supreme Court, 2008)
Pickett Ranch, LLC v. Curry
2006 NMCA 082 (New Mexico Court of Appeals, 2006)
Delgado v. Phelps Dodge Chino, Inc.
2001 NMSC 034 (New Mexico Supreme Court, 2001)
Benny v. Moberg Welding
2007 NMCA 124 (New Mexico Court of Appeals, 2007)
Fowler v. Vista Care
2014 NMSC 19 (New Mexico Supreme Court, 2014)
Benavides v. E. N.M. Med. Ctr.
2014 NMSC 37 (New Mexico Supreme Court, 2014)
Sherrill v. Farmers Insurance Exchange
2016 NMCA 056 (New Mexico Court of Appeals, 2016)
Safeway, Inc. v. Rooter 2000 Plumbing & Drain SSS
2016 NMSC 9 (New Mexico Supreme Court, 2016)
Atma v. Munoz
146 P.2d 631 (New Mexico Supreme Court, 1944)
Quintana v. Ilfelds
867 P.2d 1218 (New Mexico Court of Appeals, 1993)
State v. Reyes
2005 NMCA 080 (New Mexico Court of Appeals, 2005)
Padilla v. Wall Colmonoy Corp.
2006 NMCA 137 (New Mexico Court of Appeals, 2006)
Rodriguez v. Scotts Landscaping & Builders Trust
2008 NMCA 046 (New Mexico Court of Appeals, 2008)

Cite This Page — Counsel Stack

Bluebook (online)
Baca v. State, Counsel Stack Legal Research, https://law.counselstack.com/opinion/baca-v-state-nmctapp-2017.