Koterzina v. Copple Chevrolet, Inc.

542 N.W.2d 696, 249 Neb. 158, 1996 Neb. LEXIS 8
CourtNebraska Supreme Court
DecidedJanuary 26, 1996
DocketS-94-117
StatusPublished
Cited by16 cases

This text of 542 N.W.2d 696 (Koterzina v. Copple Chevrolet, Inc.) is published on Counsel Stack Legal Research, covering Nebraska Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Koterzina v. Copple Chevrolet, Inc., 542 N.W.2d 696, 249 Neb. 158, 1996 Neb. LEXIS 8 (Neb. 1996).

Opinions

Lanphier, J.

The State of Nebraska, Second Injury Fund (the Fund), appealed to the Nebraska Court of Appeals an order of the Douglas County District Court which held the Fund liable for interest on a workers’ compensation award. The district court held that interest was due under Neb. Rev. Stat. § 45-103 (Reissue 1993), the general judgment statute, and under Neb. Rev. Stat. § 48-125(2) (Reissue 1993), which provides for interest accruing on workers’ compensation awards when there is an award of attorney fees. The Court of Appeals reversed the award of interest against the Fund because no award of attorney fees was made. Frank Koterzina seeks further review of that decision of the Court of Appeals.

BACKGROUND

Koterzina originally brought an action in the Nebraska Workers’ Compensation Court to recover disability against his employer, Copple Chevrolet, Inc. The Fund was a third-party defendant in that case. The compensation court entered an award in favor of Koterzina and ordered Copple to pay all medical and hospital services, $140 per week for home health care provided by Koterzina’s wife, $18,376 in construction costs to make Koterzina’s new home handicapped accessible, all of Koterzina’s temporary total disability benefits, and 70 percent of the weekly permanent total disability payments. The compensation court ordered the Fund to pay the other 30 percent of Koterzina’s weekly permanent total disability payments. The award on rehearing in the Workers’ Compensation Court was filed on September 3, 1992.

Koterzina I

Copple appealed the compensation court’s award to the Court [161]*161of Appeals. On July 6, 1993, that court decided Koterzina v. Copple Chevrolet, 1 Neb. App. 1000, 510 N.W.2d 467 (1993) (Koterzina I). Koterzina I modified the initial award, stating that liability should remain with the Fund, but that the Fund should provide 100 percent of the temporary total and weekly permanent total disability benefits. Koterzina was awarded attorney fees against Copple in the amount of $1,500. No attorney fees were assessed against the Fund.

Garnishment Proceeding

On November 24, 1993, Koterzina instituted garnishment proceedings for $5,410.31 in the Douglas County District Court against Copple’s surety, United States Fidelity and Guaranty Company (USF&G), to enforce Koterzina I. That amount represented prejudgment and postjudgment interest Koterzina believed was due and owing him from Copple. On that same day, Koterzina also filed a copy of the Workers’ Compensation Court’s award with the clerk of the Douglas County District Court.

On December 10, 1993, Copple filed a request for hearing regarding the garnishment proceeding. In its motion, Copple asserted that all amounts due and owing Koterzina from Copple pursuant to the compensation court’s September 3, 1992, award, as modified by Koterzina I, had been paid in full. Copple further contended that any amounts due and owing pursuant to the prior award and Koterzina I were the responsibility of the Fund, rather than Copple. Copple stated in its motion that either (1) no interest was due and owing on such awards or (2) any such interest if due and owing was owed to Koterzina by the Fund and not Copple.

On December 29, 1993, the district court determined that the garnishee, USF&G, was liable for interest pursuant to § 45-103 (interest adjustments) in the amount of $2,847.34 and that the Fund was liable for interest pursuant to § 48-125(2) (interest on Workers’ Compensation Court awards).

Koterzina II

The Fund appealed the order of interest against it. Copple also cross-appealed the order of interest against it. Koterzina cross-appealed. The Court of Appeals reversed the garnishment [162]*162order of the district court, Koterzina v. Copple Chevrolet, 3 Neb. App. 695, 531 N.W.2d 1 (1995) (Koterzina II). The Court of Appeals reversed with respect to the Fund’s appeal; made no ruling on Copple’s cross-appeal, which was abandoned; and denied Koterzina’s motion for attorney fees. The Court of Appeals thus disallowed any interest award to Koterzina, stating that the district court’s awards of interest against both the Fund and Copple were improper. The Court of Appeals held that § 48-125(2) was the exclusive interest statute for workers’ compensation awards and only allowed interest where attorney fees were awarded. The Court of Appeals held that since the Fund was not assessed attorney fees, no interest could be assessed.

Koterzina’s petition for further review was granted. By a joint motion, Copple and Koterzina withdrew Copple’s cross-appeal. The sole issue now before us is whether assessment of interest by the district court against the Fund was proper.

ASSIGNMENTS OF ERROR

In Koterzina II, the Fund claimed as a single assignment of error that the district court erred in finding that the Fund was liable for interest accruing under § 48-125(2).

On petition for further review, Koterzina seeks review of two issues decided by the Court of Appeals: (1) The Court of Appeals denied Koterzina his statutorily-entitled interest pursuant to § 48-125(2), and (2) the Court of Appeals denied Koterzina interest payable under § 45-103 for the award from the Workers’ Compensation Court.

STANDARD OF REVIEW

Garnishment is a legal action; to the extent factual issues are involved, the findings of the fact finder will not be set aside on appeal unless clearly wrong; however, to the extent issues of law are presented, an appellate court has an obligation to reach independent conclusions irrespective of the determinations made by the court below. Davis Erection Co. v. Jorgensen, 248 Neb. 297, 534 N.W.2d 746 (1995).

In settling upon the meaning of a statute, an appellate court must determine and give effect to the purpose and intent of the Legislature as ascertained from the entire language of the statute [163]*163considered in its plain, ordinary, and popular sense, it being the court’s duty to discover, if possible, the Legislature’s intent from the language of the statute itself. McCook Nat. Bank v. Bennett, 248 Neb. 567, 537 N.W.2d 353 (1995); George Rose & Sons v. Nebraska Dept. of Revenue, 248 Neb. 92, 532 N.W.2d 18 (1995); State ex rel. Scherer v. Madison Cty. Comrs., 247 Neb. 384, 527 N.W.2d 615 (1995).

ANALYSIS

It is necessary to provide a chronological history in order to undertake an analysis of whether the district court’s interest award against the Fund was proper.

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Koterzina v. Copple Chevrolet, Inc.
542 N.W.2d 696 (Nebraska Supreme Court, 1996)

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Bluebook (online)
542 N.W.2d 696, 249 Neb. 158, 1996 Neb. LEXIS 8, Counsel Stack Legal Research, https://law.counselstack.com/opinion/koterzina-v-copple-chevrolet-inc-neb-1996.