National Steel & Shipbuilding Co. v. U. S. Department of Labor office of Workers' Compensation Programs

606 F.2d 875
CourtCourt of Appeals for the Ninth Circuit
DecidedOctober 15, 1979
DocketNo. 77-2480
StatusPublished
Cited by7 cases

This text of 606 F.2d 875 (National Steel & Shipbuilding Co. v. U. S. Department of Labor office of Workers' Compensation Programs) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
National Steel & Shipbuilding Co. v. U. S. Department of Labor office of Workers' Compensation Programs, 606 F.2d 875 (9th Cir. 1979).

Opinion

GOODWIN, Circuit Judge:

National Steel & Shipbuilding Co. appeals, as excessive, an award of disability benefits, and appeals the award of attorney’s fees to its employee, Phillip Holston, under the Longshoremen’s and Harbor Workers’ Compensation Act, 33 U.S.C. §§ 901-950 (1976).

I.

Holston, an electrician for National Steel, injured his right knee while on the job on August 24, 1974. The accident resulted in tom cartilage requiring surgical repair. National Steel, through its insurer, voluntarily provided Holston with medical treatment, including surgery, and paid temporary total disability benefits under the Act. These disability payments lasted from the date of the injury until Holston returned to work on May 5, 1975. During this time, there was no controversy between the parties.

Holston filed an application for permanent partial disability benefits on July 22, 1975. On January 26, 1976, an assistant deputy commissioner of the Department of Labor conducted an informal conference. 20 C.F.R. §§ 702.311-702.319 (1978). The parties were unable to agree on Holston’s average weekly wage or the extent of his disability, and the assistant deputy commissioner, without making a written recommendation, referred the case to the Office of Administrative Law Judges for a formal hearing. 33 U.S.C. § 919(c), (d) (1976); 20 C.F.R. §§ 702.331-702.351 (1978).

At the formal hearing, Holston contended that his average weekly wage was $244.66, and that, in light of the injury’s interference with his job performance, he had been permanently partially disabled to the extent of a 25 percent loss of the use of one leg. The employer and its insurer contend[878]*878ed that the proper average wage figure was $209.44, that Holston had no ratable permanent partial disability, and that, in any event, the disability could be no greater than a 15 percent loss of use of the leg.

The Administrative Law Judge (ALJ) held that Holston’s average weekly wage was, as claimed by Holston, $244.66, that assessment of Holston’s disability at 20 percent of the loss scheduled for one leg was not unreasonable, and that installment payments of permanent partial disability benefits should have commenced as of September 5, 1975.1 The ALJ then assessed an additional 10 percent of the permanent partial disability compensation owed because of the company’s failure either to pay the benefits voluntarily or to file a notice of controversion disputing Holston’s right to the disability benefits. 33 U.S.C. § 914(e) (1976); 20 C.F.R. § 702.251 (1978). The ALJ also ordered National Steel to pay attorney’s fees of $1,200.00, because the prerequisites for limiting its liability for those fees had not been met. 33 U.S.C. § 928(b) (1976).

National Steel’s petition for reconsideration of the 10 percent additional compensation and the award of attorney’s fees was denied by the ALJ. The company and its insurer appealed these issues to the Benefits Review Board (BRB), which affirmed and made an additional award of $1,200.00 in attorney’s fees for counsel’s representation on the appeal.

II.

The claimant suggests that we decline to exercise jurisdiction. Our power to review the BRB decision is established by 33 U.S.C. § 921(c). National Steel & Shipbuilding Co. v. Bonner, 600 F.2d 1288, 1290-91 (9th Cir. 1979). While the employee-claimant urges that the appeal to the BRB of the ALJ’s findings did not raise “a substantial question of law or fact”, as required by 33 U.S.C. § 921(b)(3), we have no choice. In Bonner, a case raising, inter alia, a challenge to the 10 percent additional compensation provision of the Act, we held:

“This court’s jurisdiction under section 921(c) appears to be mandatory: ‘Any person * * * aggrieved by a final order of the Board may obtain a review * * * .’ If the BRB improperly heard the case, then the proper course for this court would be to vacate the Board’s order. However, we defer to the BRB’s implicit indication that the questions posed to it were ‘substantial’. And even if we were to look more closely at the Board’s decision that it had jurisdiction, we would affirm that decision. As will be seen, the issues in this case are complex. The case is full of substantial questions of statutory construction.” National Steel & Shipbuilding Co. v. Bonner, 600 F.2d at 1291.

The considerations mandating the exercise of jurisdiction in Bonner are no less applicable to the instant case, and we similarly hold that we have jurisdiction to review the BRB’s decision.

III.

National Steel and its insurer object to the ALJ’s imposing on them a 10 percent assessment under 33 U.S.C. § 914(e) for failure to comply with the notice requirement of 33 U.S.C. § 914(d). The two subsections provide as follows:

“(d) If the employer controverts the right to compensation he shall file with the deputy commissioner on or before the fourteenth day after he has knowledge of the alleged injury or death, a notice, in accordance with a form prescribed by the Secretary, stating that the right to compensation is controverted, the name of the claimant, the name of the employer, the date of the alleged injury or death, and the grounds upon which the right to compensation is controverted.
[879]*879“(e) If any installment of compensation payable without an award is not paid within fourteen days after it becomes due, as provided in subdivision (b) of this section, there shall be added to such unpaid installment an amount equal to 10 per centum thereof, which shall be paid at the same time as, but in addition to, such installment, unless notice is filed under subdivision (d) of this section, or unless such nonpayment is excused by the deputy commissioner after a showing by the employer that owing to conditions over which he had no control such installment could not be paid within the period prescribed for the payment.”

National Steel contends that the 10 percent assessment was improperly imposed in this ease because the notice requirement refers only to disputes over the “right to compensation” and does not apply where the controversy refers to the amount of compensation that may be due.

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Bluebook (online)
606 F.2d 875, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-steel-shipbuilding-co-v-u-s-department-of-labor-office-of-ca9-1979.