Lawlyes v. Industrial Commission

614 N.E.2d 547, 246 Ill. App. 3d 226, 185 Ill. Dec. 413, 1993 Ill. App. LEXIS 778
CourtAppellate Court of Illinois
DecidedMay 28, 1993
DocketNo. 3-92-0506WC
StatusPublished
Cited by4 cases

This text of 614 N.E.2d 547 (Lawlyes v. Industrial Commission) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lawlyes v. Industrial Commission, 614 N.E.2d 547, 246 Ill. App. 3d 226, 185 Ill. Dec. 413, 1993 Ill. App. LEXIS 778 (Ill. Ct. App. 1993).

Opinion

JUSTICE WOODWARD

delivered the opinion of the court:

Claimant Robert Lawlyes filed an application for adjustment of claim, pursuant to the Workers’ Compensation Act (Act) (Ill. Rev. Stat. 1985, ch. 48, par. 138.1 et seq.). Therein he alleged injuries to his right arm and hip arising out of and in the course of his employment with Huber Brothers (the employer). The case was heard by the arbitrator on September 12, 1990. In the decision entered on June 24, 1991, the arbitrator awarded claimant 621/7 weeks of temporary total disability (TTD) and 70.5 weeks of permanent partial disability (PPD) based on a 30% loss of claimant’s right arm. Regarding claimant’s average weekly wage, the arbitrator stated:

“Petitioner testified he earned $11,729.75 in the year prior to the injury. He testified he earned $11,113.77 between 5/27/86 and 12/31/86, and $616.02 between 1/1/87 and 5/27/87. The Arbitrator finds petitioner’s earnings were $11,729.75 in the year prior to the date of accident. See Section 10 of the Act. Although petitioner may not have worked every day, no evidence was introduced to show actual days worked in the year prior to the accident. There is no evidence to calculate average weekly wage other than actual wages earned as set forth above.”

The total dollar amount awarded by the arbitrator for TTD and PPD was $18,886.51. The arbitrator found that a sum of $22,902.75 had been paid to claimant on account of the subject injury. No review of the arbitrator’s decision was taken by either party, and it became final.

After the decision was entered, claimant requested additional payments from the employer, whose counsel, in a letter dated August 12, 1991, explained that the award was less than the amount already paid, creating an overpayment to claimant. Despite these facts, claimant filed a petition for penalties for nonpayment of award (petition) on November 20,1991.

On January 10, 1992, the Industrial Commission (Commission) entered an order wherein it found that the claimant had been overpaid $4,016.24. The Commission also denied claimant’s petition and found that said pleading was frivolous pursuant to Supreme Court Rule 137 (134 Ill. 2d R. 137). In another order filed the same day, the Commission ordered claimant to repay the employer the sum of $4,016.24 and, pursuant to Rule 137, directed claimant and his counsel to pay the employer’s counsel the $848.57 incurred in defending the petition.

On review, the circuit court upheld the Commission’s order that claimant repay $4,016.24 that the employer overpaid. The circuit court determined that Rule 137 did not apply to the Commission’s proceedings, and it also denied the employer’s motion for additional sanctions.

Both parties appeal the circuit court’s decision. The employer argues that Rule 137 applies to proceedings before the Commission. On cross-appeal, claimant contends that the employer is not entitled to credit for overpayment of TTD benefits and that the employer did not give him sufficient notice of the hearing on the petition for sanctions and repayment which was held on December 13, 1991.

We first address the employer’s contention that Supreme Court Rule 137 applies to Industrial Commission proceedings and that the Commission’s sanctions against claimant and his counsel made pursuant to said rule were proper. In response, claimant argues that the subject petition was not frivolous, and, furthermore, the Commission could not impose sanctions pursuant to Rule 137.

Rule 137 provides:

“Every pleading, motion and other paper of a party represented by an attorney shall be signed by at least one attorney of record in his individual name, whose address shall be stated. A party who is not represented by an attorney shall sign his pleading, motion, or other paper and state his address. Except when otherwise specifically provided by rule or statute, pleadings need not be verified or accompanied by affidavit. The signature of an attorney or party constitutes a certificate by him that he has read the pleading, motion or other paper; that to the best of his knowledge, information, and belief formed after reasonable inquiry it is well grounded in fact and is warranted by existing law or a good-faith argument for the extension, modification, or reversal of existing law, and that it is not interposed for any improper purpose, such as to harass or to cause unnecessary delay or needless increase in the cost of litigation. If a pleading, motion, or other paper is not signed, it shall be stricken unless it is signed promptly after the omission is called to the attention of the pleader or movant. If a pleading, motion, or other paper is signed in violation of this rule, the court, upon motion or upon its own initiative, may impose upon the person who signed it, a represented party, or both, an appropriate sanction, which may include an order to pay to the other party or parties the amount of reasonable expenses incurred because of the filing of the pleading, motion or other paper, including a reasonable attorney fee. All proceedings under this rule shall be within and part of the civil action in which the pleading, motion or other paper referred to has been filed, and no violation or alleged violation of this rule shall give rise to a separate cause of action, or another cause of action within the civil action in question, by, on behalf of or against any party to the civil action in question, and by, on behalf of or against any attorney involved in the civil action in question.
This rule shall apply to the State of Illinois or any agency of the State in the same manner as any other party. Furthermore, where the litigation involves review of a determination of an administrative agency, the court may include in its award for expenses an amount to compensate a party for costs actually incurred by that party in contesting on the administrative level an allegation or denial made by the State without reasonable cause and found to be untrue.
Where a sanction is imposed under this rule, the judge shall set forth with specificity the reasons and basis of any sanction so imposed either in the judgment order itself or in a separate written order.” (Emphasis added.) 134 Ill. 2d R. 137.

We note that nothing in the plain meaning of the rule indicates that it applies to the Commission’s proceedings.

Two cases cited by the employer, Elles v. Industrial Comm’n (1940), 375 Ill. 107, and Chambers v. Industrial Comm’n (1985), 132 Ill. App. 3d 891, actually support claimant’s contention. Both cases state that the Illinois Civil Practice Act and supreme court rules are typically not applicable to Commission proceedings. In Elies, where the issue was the procedure on appealing a Commission award, the supreme court held that since a specific procedure was provided in section 19 of the Act, the Act would govern. The court stated:

“Thus, it is apparent that the provisions of the Civil Practice act and rules of this court do not apply to cases arising under the Workmen’s Compensation act, in so far as or to the extent that the procedure is regulated by section 19 of the Workmen’s Compensation act.” 375 Ill. at 113.

In Chambers v. Industrial Comm’n (1985), 132 Ill. App.

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Bluebook (online)
614 N.E.2d 547, 246 Ill. App. 3d 226, 185 Ill. Dec. 413, 1993 Ill. App. LEXIS 778, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lawlyes-v-industrial-commission-illappct-1993.