DE River Stevedores v. DiFidelto

CourtCourt of Appeals for the Third Circuit
DecidedMarch 13, 2006
Docket04-4531
StatusPublished

This text of DE River Stevedores v. DiFidelto (DE River Stevedores v. DiFidelto) is published on Counsel Stack Legal Research, covering Court of Appeals for the Third Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
DE River Stevedores v. DiFidelto, (3d Cir. 2006).

Opinion

Opinions of the United 2006 Decisions States Court of Appeals for the Third Circuit

3-13-2006

DE River Stevedores v. DiFidelto Precedential or Non-Precedential: Precedential

Docket No. 04-4531

Follow this and additional works at: http://digitalcommons.law.villanova.edu/thirdcircuit_2006

Recommended Citation "DE River Stevedores v. DiFidelto" (2006). 2006 Decisions. Paper 1346. http://digitalcommons.law.villanova.edu/thirdcircuit_2006/1346

This decision is brought to you for free and open access by the Opinions of the United States Court of Appeals for the Third Circuit at Villanova University School of Law Digital Repository. It has been accepted for inclusion in 2006 Decisions by an authorized administrator of Villanova University School of Law Digital Repository. For more information, please contact Benjamin.Carlson@law.villanova.edu. PRECEDENTIAL

UNITED STATES COURT OF APPEALS FOR THE THIRD CIRCUIT

No. 04-4531

DELAWARE RIVER STEVEDORES; LIBERTY MUTUAL INS. CO.,

Petitioners

v.

EDWARD DIFIDELTO; DIRECTOR, OFFICE OF WORKERS’ COMPENSATION PROGRAMS,

Respondents

On Petition for Review of an Order of the Benefits Review Board (BRB No. 03-0705)

Argued October 26, 2005

BEFORE: SLOVITER, FISHER, and GREENBERG, Circuit Judges

(Filed: March 13, 2006)

John E. Kawczynski (argued) Field, Womack & Kawczynski 137 South Broadway Suite B-1 South Amboy, NJ 08879

Attorneys for Petitioners Delaware River Stevedores, Inc. and Liberty Mutual Insurance Company and for Amicus Curiae Weeks Marine, Inc. David M. Linker (argued) Freedman & Lorry 400 Market Street Suite 900 Philadelphia, PA 19106

Attorneys for Respondent Edward DiFidelto

Howard M. Radzely Solicitor of Labor Donald S. Shire Associate Solicitor Mark A. Reinhalter Counsel for Longshore Richard A. Seid (argued) United States Department of Labor Office of the Solicitor 200 Constitution Avenue, N.W. Washington, DC 20210

Attorneys for Respondent Director, Office of Workers’ Compensation Programs

OPINION OF THE COURT

GREENBERG, Circuit Judge.

I. INTRODUCTION

This matter comes on before this court on a petition for review of a disposition of the Benefits Review Board (“Board”) awarding benefits to Edward DiFidelto under the Longshore and Harbor Workers’ Compensation Act (“LHWCA”), 33 U.S.C. §§ 901-950, following his sustaining an injury compensable under the LHWCA. The sole issue in these proceedings is whether Delaware River Stevedores, Inc. (“DRS”), DiFidelto’s employer, had authority under a provision of the LHWCA, 33 U.S.C. § 908(j) (“section 908(j)”), to require DiFidelto to report information regarding his earnings when it

2 was not paying him compensation at the time of its requests.1 Section 908(j) provides that an employer may inform a “disabled employee” of his obligation to report his earnings to the employer from employment or self-employment and further provides that if the employee fails to report or knowingly or willfully omits or understates his earnings, he forfeits his right to compensation with respect to any period during which he was required to file the report. Knowledge of the amount of an employee’s earnings may be useful to an employer as those earnings may enable it to reduce or even eliminate the obligation that it otherwise would have to make payments to a disabled employee on account of a work-related injury.2

II. FACTUAL AND PROCEDURAL HISTORY

The material facts and procedural history with regard to these proceedings are not in dispute. On January 7, 2000, DiFidelto suffered a work-related injury in the course and scope of his employment with DRS entitling him to receive benefits from DRS under the LHWCA. Initially, DRS voluntarily made the payments without an adjudication or order, but on November 19, 2001, it discontinued them as it controverted its obligation to do so on the basis of a medical opinion that DiFidelto had recovered fully from his injuries. When DRS controverted DiFidelto’s claim, it requested the District Director of the Office of Workers’ Compensation Programs to refer the case to the Office of Administrative Law Judges. Not surprisingly, DiFidelto rejected DRS’s position, and thus he prosecuted a claim for benefits under the LHWCA.

After DRS requested a hearing in the case, and at a time that it no longer was making payments to DiFidelto, it sent three Forms LS- 200 to his attorney, pursuant to section 908(j), seeking information about his earnings from employment or self-employment. The Director, Office of Workers’ Compensation Programs (“Director”),

1 Liberty Mutual Insurance Company, which insures DRS, is also a party to these proceedings but as a matter of convenience we will treat DRS and Liberty Mutual as a single party. 2 See 33 U.S.C. § 922; see also Metro. Stevedore Co. v. Rambo, 515 U.S. 291, 296-97, 115 S.Ct. 2144, 2147-48 (1995); Deweert v. Stevedoring Servs. of Am., 272 F.3d 1241, 1247-48 (9th Cir. 2001).

3 adopted Form LS-200 for the reporting of earnings pursuant to section 908(j). The first and second forms that DRS sent on January 25 and February 21, 2002, respectively, identified the reporting period as being from January 7, 2000, to January 21, 2002. Thereafter, on April 22, 2002, DRS sent DiFidelto’s attorney a third Form LS-200 requesting information about DiFidelto’s earnings between January 7, 2000, and April 22, 2002. Although DiFidelto received DRS’s requests, he refused to report his earnings as he contended that he did not have a legal obligation to do so as long as DRS was not paying him compensation.

An administrative law judge (“ALJ”) held a hearing in this case on July 18, 2002, following which on June 2, 2003, he issued his “Decision and Order” awarding DiFidelto benefits. In his June 2, 2003 Decision and Order, the ALJ found, inter alia, that even though DiFidelto was entitled to reinstatement of his compensation payments, he had “forfeited” his right to compensation for the period between January 8, 2000, and April 22, 2002, because he failed to report his earnings as DRS requested.

In reaching this result, the ALJ indicated that forfeiture penalties apply if an employee fails to respond or responds inaccurately to a Form LS-200 request. In considering the applicability of the section 908(j) reporting requirement, the ALJ determined that “the decisive factor is whether earnings information is sought for ‘periods during which an employee’s earnings could affect employer’s liability for compensation.’” App. at 56 (quoting Plappert v. Marine Corps Exch., 31 Ben. Rev. Bd. Serv. 13, 17, aff’d, 31 Ben. Rev. Bd. Serv. 109 (1997) (en banc)). Inasmuch as DRS’s LS-200 request covered a period for which DiFidelto sought and obtained compensation, the ALJ applied the forfeiture to that period and denied him compensation from January 8, 2000, to April 22, 2002.

DiFidelto then filed a timely request with the ALJ to reconsider the June 2, 2003 Decision and Order. In support for his argument against forfeiture, DiFidelto relied on the regulation implementing section 908(j), 20 C.F.R. § 702

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

Related

Cite This Page — Counsel Stack

Bluebook (online)
DE River Stevedores v. DiFidelto, Counsel Stack Legal Research, https://law.counselstack.com/opinion/de-river-stevedores-v-difidelto-ca3-2006.