Cosse v. Allen-Bradley Co.

612 So. 2d 286, 1992 La. App. LEXIS 4194, 1992 WL 395831
CourtLouisiana Court of Appeal
DecidedDecember 29, 1992
DocketNo. 91-CA-286
StatusPublished
Cited by3 cases

This text of 612 So. 2d 286 (Cosse v. Allen-Bradley Co.) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cosse v. Allen-Bradley Co., 612 So. 2d 286, 1992 La. App. LEXIS 4194, 1992 WL 395831 (La. Ct. App. 1992).

Opinion

GRISBAUM, Judge.

This opinion arises out of a matter which was remanded to us from the Louisiana Supreme Court for the sole purpose of addressing the assignments of error raised by the Celotex Corporation (Celotex), the worker’s compensation intervenor 601 S.2d 1349. We amend in part and affirm in part.

PACTS

Plaintiff, Godfrey Cosse, was injured during the course and scope of his employment at Celotex’s Marrero facility on June 7, 1984, while cleaning a scrap conveyor. Cosse sued several parties, including the manufacturer and designer of the convey- or. Celotex, as worker’s compensation insurer, intervened in the suit for reimbursement. The trial court found Cosse five percent at fault and assessed the remaining fault against the defendants. This Court reversed. See Cosse v. Allen-Bradley Co., 590 So.2d 108 (La.App. 5th Cir.1991). The Louisiana Supreme Court granted writs. Upon hearing the case, the Supreme Court reinstated the trial court’s judgment and remanded it to us for the sole purpose of addressing the assignments of error made by Celotex.

ISSUES

We are called upon to address four specific questions:

(1) Whether the trial court erred when it reduced Celotex’s recovery by the percentage of Cosse’s fault;

(2) Whether the trial court erred when it awarded Celotex reimbursement for only those benefits paid prior to trial, and should have also awarded Celotex reimbursement for the amounts it paid subsequent to trial through the finality of judgment;

(3) Whether the trial court erred when it awarded Celotex legal interest on its claim from the date of each payment and not from the date of its intervention; and

(4) Whether the trial court erred in casting Celotex with 52 percent of plaintiff’s attorney’s fees and should have limited Cel-otex to paying only one-third of its recovery and attorney’s fees, as per the 1989 amendment to La.R.S. 23:1103.

ANALYSIS — ISSUE ONE

Celotex contends that the 1985 amendment to La.R.S. 23:1101 is substantive in nature and thus should not be applied retroactively to reduce the amount Celotex will receive in reimbursement by the percentage of Cosse’s fault. Prior to 1985, La.R.S. 23:1101 read:

When an injury or compensable sickness or disease for which compensation is payable under this Chapter has occurred under circumstances creating in some person (in this Section referred to [288]*288as third person) other than those persons against whom the said employee’s rights and remedies are limited in Section 1032 of this Chapter, a legal liability to pay damages in respect thereto, the aforesaid employee or his dependents may claim compensation under this Chapter and the payment or award of compensation hereunder shall not affect the claim or right of action of the said employee or his dependents, relations, or personal representatives against such third person, nor be regarded as establishing a measure of damages for the claim; and such employee or his dependents, relations, or personal representatives may obtain damages from or proceed at law against such third person to recover damages for the injury, or compensable sickness or disease.
Any person having paid or having become obligated to pay compensation under the provisions of this Chapter may bring suit against such third person to recover any amount which he has paid or become obligated to pay as compensation to such employee or his dependents.

After the 1985 amendment, La.R.S. 23:1101 read, in pertinent part:

B. Any person having paid or having become obligated to pay compensation under the provisions of this Chapter may bring suit against such third person to recover any amount which he has paid or becomes obligated to pay as compensation to such employee or his dependents. The recovery allowed herein shall be identical in percentage to the recovery of the employee or his dependents against the third person and, where the recovery of the employee is decreased as a result of comparative negligence, the recovery of the person who has paid compensation or has become obligated to pay compensation shall be reduced by the same percentage.

Before this amendment, intervening worker’s compensation carriers were entitled to be reimbursed 100 percent of the benefits paid to the injured employee, regardless of the percentage of fault attributed to the employee. The 1985 amendment caused the employer’s reimbursement to be reduced by the percentage of the injured employee’s fault.

Our brothers of the First Circuit have held that the amendment may be applied retroactively to reduce the employer's reimbursement for accidents occurring before the amendment’s effective date (September 6,1985). South Cent. Bell v. Am. Holding Cory., 548 So.2d 339 (La.App. 1st Cir.1989). Their rationale is that “ ‘when comparative negligence affected the claimant’s tort recovery it also affected the reimbursement, since the reimbursement was limited to the amount of the judgment in the claimant’s favor.’ ” Id. at 343 (citing W. Malone and H. Johnson, 14 Louisiana Civil Law Treatise, Workers’ Compensation Law and Practice § 371, pp. 76-77 n. 39.5 (1988 pocket part)).

However, the Second, Third, and Fourth Circuits have reached the opposite conclusion, reasoning that the employer’s right to reimbursement vested at the time of the accident and a retroactive application of the amendment to La.R.S. 23:1101 would deprive the employer of that vested right. See Risk v. State of La., 549 So.2d 1272 (La.App. 3d Cir.1989) and Williams v. Am. Crescent Elevator Co., 518 So.2d 1091 (La.App. 4th Cir.1987), writs denied, 521 So.2d 1189, 521 So.2d 1190 (La.1988).

Our Circuit has not directly faced this issue; however, Judge Kliebert, as organ of our Court in Behmke v. K-Mart Cory., 581 So.2d 291 (La.App. 5th Cir.1991), discussed the application of a different worker’s compensation statute that had been amended subsequent to the employee’s accident. There, the court declined to apply La.R.S. 23:1221 as amended, succinctly stating, “The statute applicable to a particular injured worker is the one in effect on the date of the injury.” Id. at 295 (citing Houston v. Kaiser Aluminum and Chemical, 531 So.2d 1129 (La.App. 4th Cir.1988)).

Accordingly, we think it appropriate and reasonable that Judge Kliebert’s rationale should be extended; ergo, we necessarily conclude that a retroactive application of the amendment to La.R.S. 23:1101 would deprive the employer of its vested right. Therefore, the appropriate statute applica-[289]*289Me to an injured worker is the one in effect on the date of the injury. Accordingly, the trial court erred in reducing Celotex’s recovery by the plaintiffs percentage of fault.

ANALYSIS — ISSUE TWO

We note that in 1989, La.R.S. 23:1103 was amended to add the second sentence of paragraph A.(l), and added paragraphs B. and C. The entire statute reads as follows:

A.(l) In the event that the employer or the employee or his dependent becomes party plaintiff in a suit against a third person, as provided in R.S.

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

Related

Reeves v. Structural Preservation Systems
716 So. 2d 58 (Louisiana Court of Appeal, 1998)
Weidenaar v. Indiana Insurance Co.
874 F. Supp. 235 (N.D. Indiana, 1995)
Cosse v. Allen-Bradley Co.
625 So. 2d 486 (Supreme Court of Louisiana, 1994)

Cite This Page — Counsel Stack

Bluebook (online)
612 So. 2d 286, 1992 La. App. LEXIS 4194, 1992 WL 395831, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cosse-v-allen-bradley-co-lactapp-1992.