Fayette County Board of Education v. Phillips

439 S.W.2d 319, 1969 Ky. LEXIS 370
CourtCourt of Appeals of Kentucky
DecidedMarch 28, 1969
StatusPublished
Cited by9 cases

This text of 439 S.W.2d 319 (Fayette County Board of Education v. Phillips) is published on Counsel Stack Legal Research, covering Court of Appeals of Kentucky primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fayette County Board of Education v. Phillips, 439 S.W.2d 319, 1969 Ky. LEXIS 370 (Ky. Ct. App. 1969).

Opinion

DAVIS, Commissioner.

At issue is whether appellee has lost her right to maximum benefits under our Workmen’s Compensation Act by reason of the inadvertent failure to prove an undisputed fact. The Board ruled that the failure of proof was fatal. On appeal the circuit court ruled otherwise; hence, the employer’s present appeal.

Appellee worked full time for appellant as a bus driver. On September 30, 1965, she informed her supervisor that she had accepted employment at Parker Seal Company and arranged to go on a “relief-driver” basis with appellant. Later she was put on full-time bus work, but for the morning routes only. It was fully known [320]*320by her supervisor that her duties at Parker Seal prevented appellee’s working more extensively for appellant.

On February 22, 1966, while in the course of her employment with appellant, the appellee was severely and permanently injured. The insurance carrier for appellant accepted appellee’s claim as a compen-sable one and initiated compensation payments to her, based on the $5.80 daily wage paid by appellant. It seems clear that the insurance carrier’s attorneys and appellee’s attorney were unaware of her employment at Parker Seal during the early stages of the claim. Appellee was so disabled for many weeks following her injury as to preclude any opportunity for her attorney to interview her.

It appears that the first document filed with the Board was an “Employer’s First Report of Injury” in which the relatively small wages paid to appellee by appellant were reported and made the basis for fixing her rate of compensation for total disability. That paper was filed February 28, 1966.

On August 23, 1966, appellee filed her first document with the Board, asserting entitlement to medical allowances in excess of $3500, as provided by KRS 342.020(2). At the hearing set pursuant to that application, the parties stipulated that appellee’s medical expenses exceeded $13,000. No real issue was raised except that appellant sought a ruling from the Board as to how much and to whom medical payments should be paid.

Then, on March 8, 1967, appellee filed an amended application for adjustment of benefits, in which she asserted her entitlement to maximum benefits based on her earnings at Parker Seal, considered with her earnings from her employment by appellant. The amended application specifically alleged that her concurrent employment at Parker Seal had been entered upon with the knowledge of appellant. The basis for appellee’s claim in this respect is found in KRS 342.140(5) which provides:

“When the employe is working under concurrent contracts with two or more employers and the defendant employer has knowledge of such employment prior to the injury, his wages from all such employers shall be considered as if earned from the employer liable for compensation.”

There was never a denial of these allegations. The regulations of the Workmen’s Compensation Board do not require denial, but treat affirmative allegations as controverted. See WCBl-3-d.

Subsequently, appellee testified about her work at Parker Seal and her wages there. There was no direct evidence for appellee that appellant had prior knowledge of her employment at Parker Seal. Her discussion of the matter warrants an inference that her supervisors were fully informed, since her work schedule was materially changed.

With the record in this condition, the case was submitted to the Board. On October 23, 1967, the Board rendered its opinion and award in which it found total, permanent disability, but limited the award to $20 per week based on appellee’s wages from appellant. The same award directed appellant to pay medical expenses of $14,-800. In treating the matter of appellee’s employment at Parker Seal and explaining its basis for denying the claim for enlarged benefits, the Board’s opinion recited in part:

“This record shows that it is peculiar indeed how knowledge of concurrent employment was not in prominence during the period of plaintiff’s association with both the Fayette County Board of Education as a school bus driver and as an employee of the Parker Seal Company; but this, nevertheless, is obviously true.”

The Board’s opinion and award came as a bombshell to appellee’s counsel, who believed and argued in memorandum brief to the Board that direct proof had been offered as to appellant’s “prior knowledge” [321]*321of appellee’s Parker Seal employment. On October 31, 1967, appellee’s counsel filed a motion to reopen, predicated upon “mistake” as mentioned in KRS 342.125. The Board ordered a hearing on that motion. At the hearing it was shown by appellee and her supervisor that appellant had complete “prior knowledge” of appellee’s Parker Seal employment. But the Board overruled the motion to reopen, expressing the view that the inadvertent failure to positively prove the “prior knowledge” was not such a “mistake” as warranted reopening under KRS 342.125.

Appellee appealed to the circuit court where the order of the Board was reversed. The circuit court concluded that it was unnecessary to determine whether counsel’s inadvertent failure to present in evidence by affirmative proof appellant’s prior knowledge of the Parker Seal employment constituted a “mistake” within the purview of KRS 342.125. The circuit court pointed out that KRS 342.285(3) (e) includes, in the scope of the circuit court’s judicial review, determination of whether the Board’s order, decision, or award is arbitrary or capricious or characterized by abuse of discretion or clearly unwarranted exercise of discretion. It was the view of the circuit court that the Board abused its discretion in not considering the testimony of appellee and her supervisor relating to the question of prior knowledge of the Parker Seal employment just as if it had been timely placed in the record before the matter had been submitted and decided. The circuit court felt bolstered in its conclusion by the fact that there had been no controversy or dispute as to appellant’s prior knowledge of the Parker Seal employment.

In seeking reversal of the circuit court’s ruling, the appellant contends that (1) it was error to hold that the Board abused its discretion in failing to regard the proof taken on the motion to reopen as sufficient additional proof to warrant maximum benefits; (2) the circuit court erred in holding that it was unnecessary to determine whether a “mistake” was presented within the purview of KRS 342.125; and (3) the word “mistake” as used in KRS 342.125 does not embrace the mistake of counsel as presented in this record.

Appellant calls to our attention the demanding necessity for some finality in decisions by the Workmen’s Compensation Board.

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Bluebook (online)
439 S.W.2d 319, 1969 Ky. LEXIS 370, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fayette-county-board-of-education-v-phillips-kyctapp-1969.