Cowell v. All-American, Inc.

308 N.W.2d 92, 1981 Iowa Sup. LEXIS 1000
CourtSupreme Court of Iowa
DecidedJuly 15, 1981
Docket65629
StatusPublished
Cited by13 cases

This text of 308 N.W.2d 92 (Cowell v. All-American, Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cowell v. All-American, Inc., 308 N.W.2d 92, 1981 Iowa Sup. LEXIS 1000 (iowa 1981).

Opinion

McCORMICK, Justice.

This appeal involves a jurisdictional question and a challenge to a district court holding that petitioner had an industrial disability of twenty percent of the body as the result of a compensable injury. The industrial commissioner had determined the disability at five percent. The district court reversed the commissioner and modified the award upon judicial review. We find that the district court had jurisdiction but erred in reversing the commissioner’s decision. Therefore we reverse the district court.

Petitioner Donald W. Cowell was employed by respondent All-American, Inc., as a dock supervisor, commencing April 15, 1975. In January 1974, while working for a previous employer, he was treated for a back condition which was diagnosed as a herniated disc. He did not claim workers’ compensation on that occasion. On February 23,1977, he fell on his back at work and again received care for a herniated disc. On that occasion he received workers’ compensation benefits for temporary disability.

In July 1977, petitioner was hospitalized for treatment of his back. During his hospitalization, he suddenly developed a perforated duodenal ulcer. The ulcer was repaired through surgery, and it is not involved in the present claim.

Petitioner was subsequently released from the hospital and returned to work in October 1977. He continued his work until January 1978 when he was terminated for alleged poor job performance.

Later he brought the present review-reopening proceeding, seeking additional benefits for the February 1977 injury. After hearing, a deputy industrial commissioner found that petitioner suffered an industrial disability of twenty percent of the body as *94 a whole as a proximate result of that injury. The employer was ordered to pay one hundred weeks’ benefits, medical expense and statutory mileage expenses.

The employer appealed to the industrial commissioner. Based on his de novo review of the record, the commissioner found that the percentage of industrial disability was five percent rather than twenty percent. He otherwise affirmed the deputy. As a result of this decision, the employer was ordered to pay twenty-five weeks of benefits.

Petitioner then filed his petition for judicial review. Among other grounds, petitioner alleged the commissioner’s decision was not supported by substantial evidence when the record was viewed as a whole, was arbitrary and capricious, and was affected by error of law. The district court found that as a matter of law the evidence showed a functional disability of at least five percent. Considering the factors affecting industrial disability, the court then found that petitioner’s industrial disability was, as a matter of law, greater than five percent. The court concluded that the commissioner’s finding of five percent industrial disability was “unreasonable and in error as a matter of law.” The court also reasoned that “inasmuch as the record as a whole supports the conclusion reached by the Deputy Commissioner and a finding that his decision did consider those factors necessary and appropriate, [his] Ruling . . . should be reinstated.” Consequently the court reversed the commissioner and reinstated the deputy’s decision. The employer appealed.

I. The jurisdictional issue. Within ten days of filing his petition for judicial review, petitioner mailed copies of the petition to the industrial commissioner and to the employer’s attorney. The employer contends this procedure violated section 17A.19(2), The Code, and was thus not sufficient to give the district court jurisdiction of the petition.

In relevant part, section 17A.19(2) provides:

Within ten days after the filing of a petition for judicial review file stamped copies of the petition shall be mailed by the petitioner to all parties named in the petition and, if the petition involves review of agency action in a contested case, all parties of record in that case before the agency. Such mailing shall be jurisdictional and shall be addressed to the parties at their last known mailing address.

No prejudice is asserted in this case. The issue is simply whether mailing the petition to the attorney’s address rather than the employer’s address was fatal to jurisdiction.

We have rejected a standard of strict or literal compliance with section 17A. 19(2). See Green v. Iowa Department of Job Service, 299 N.W.2d 651, 654 (Iowa 1980); Frost v. S. S. Kresge Co., 299 N.W.2d 646, 647-48 (Iowa 1980). Nevertheless, substantial compliance with statutory prerequisites is essential for the district court to acquire jurisdiction. See Economy Forms Corp. v. Potts, 259 N.W.2d 787, 788 (Iowa 1977). A substantial deviation from statutory requirements will defeat jurisdiction. For example, the copy of the petition must be mailed; other methods of delivery are unacceptable. Neumeister v. City Development Board, 291 N.W.2d 11, 14 (Iowa 1980). Moreover, no party of record before the agency may be omitted from the mailing. Record v. Iowa Merit Employment Department, 285 N.W.2d 169, 173 (Iowa 1979). Some of the problems which have arisen under the statute, including the present one, are addressed in H.F. 503, .1981 Session 69th G.A., an enactment which will affect petitions for judicial review filed on or after July 1,1981. The present problem, however, must be decided under the statute in its unamended form.

No dispute exists that copies of the petition were mailed in this case. Nor is there any doubt that the copy which was mailed to the employer’s attorney was intended to and did reach the employer. The question is whether the mailing was to the employer’s “last known address” within the meaning of the statute.

*95 We believe this question is answered by the reasoning of the court in Delman v. Commissioner, 384 F.2d 929 (3d Cir.), cert. denied, 390 U.S. 952, 88 S.Ct. 1044, 19 L.Ed.2d 1144 (1967). In that case the Internal Revenue Service mailed a notice of tax deficiency to the taxpayers at their accountant’s address even though the agency had the taxpayers’ residence address. The statute authorized service of the notice by mailing to a taxpayer’s “last known address.” Compliance with the statute was essential for the Tax Court to acquire jurisdiction of the case. In finding compliance, the court reasoned that the purpose of the procedure was to give the taxpayer notice concerning the tax deficiency. The court believed Congress must have intended “last known address” to mean an address where the Internal Revenue Service reasonably believed the taxpayer wished notice to be sent.

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308 N.W.2d 92, 1981 Iowa Sup. LEXIS 1000, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cowell-v-all-american-inc-iowa-1981.