Patrick v. Clark Oil & Refining Co.

965 S.W.2d 414, 1998 Mo. App. LEXIS 502, 1998 WL 119979
CourtMissouri Court of Appeals
DecidedMarch 19, 1998
DocketNo. 21804
StatusPublished
Cited by2 cases

This text of 965 S.W.2d 414 (Patrick v. Clark Oil & Refining Co.) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Patrick v. Clark Oil & Refining Co., 965 S.W.2d 414, 1998 Mo. App. LEXIS 502, 1998 WL 119979 (Mo. Ct. App. 1998).

Opinion

SHRUM, Judge.

This is a workers’ compensation ease that presents two questions:

[415]*415(1) Was the Labor and Industrial Relations Commission (Commission) correct when it ruled that § 287.220.91 (the dual employment statute that implicates the Second Injury Fund) was substantive and not susceptible to retroactive application as Claimant contends?

(2) Did the Commission err when it computed Employee’s average weekly wage?

We answer “yes” to both questions. We affirm in part; we reverse and remand in part.

FACTS

Francis Patrick (Employee) held two employments at the time of his death on August 5, 1998. He had a full-time job as a route salesman for M & M Enterprises. Employee also worked part time for Clark Oil and Refining (Clark) as a convenience store clerk. His job with Clark started on July 22, 1993. Less than two weeks later, on August 5, 1993, at approximately 12:01 a.m., a robber shot and killed Employee while he was at work in Clark’s store.

Deborah Patrick (Claimant), the widow of Employee, sought workers’ compensation benefits from Clark. She also asserted a claim against the Second Injury Fund (Fund) on the theory that she was entitled to additional death benefits pursuant to § 287.220.9, the dual employment statute.

After an evidentiary hearing, an Administrative Law Judge (ALJ) ruled that § 287.220.9 (which was not effective until August 28, 1993) could not be applied retroactively because it was substantive. Consequently, the ALJ’s award did not include benefits from the Fund.

The ALJ found that § 287.250.3 was the “proper section to apply in this situation” and concluded that the proper average weekly wage was $189.38. From that finding, the ALJ ruled that Claimant’s weekly compensation amount was $126.25.

Claimant sought Commission review of the ALJ’s decision. The Commission affirmed the ALJ’s decision that § 287.220.9 was substantive and could not be applied retroactively to give Claimant benefits from the Fund. However, the Commission ruled that the ALJ was wrong in using § 287.250.3 to determine Employee’s “average weekly wage.” The Commission found that § 287.250.1(5) applied. It concluded that Clark had agreed to an hourly wage of $4.50. With that as its premise, the Commission computed Claimant’s weekly death benefit as $88.49. This appeal followed.

DISCUSSION AND DECISION

Point III: Is Dual Employment Statute Substantive or Remedial

Claimant’s third point focuses on the dual employment provision of § 287.220.9. Summarized, § 287.220.9 provides that if an employee with two employers sustains a work related injury, “the employer for whom the employee was working when the injury was sustained shall be responsible for wage loss benefits applicable only to the earnings in that employer’s employment....” The injured employee could file with the Fund “for any additional wage loss benefits attributed to loss of earnings from the [second] employment ...,” but in any event, recovery could not exceed the rate allowed by law on the date of injury.

Claimant concedes that the effective date of § 287.220.9 was August 28, 1993, twenty-three days after Employee was killed. She insists, however, that the Commission erred when it did not award benefits from the Fund via § 287.220.9 as this is a remedial provision that can and should be applied retroactively. We disagree.

In Stark v. Missouri State Treasurer, 954 S.W.2d 645 (Mo.App.1997), the western district held that § 287.220.9 is substantive as it creates a new standard for involving Second Injury Fund liability.

‘“The general rule is that statutes are not applied retroactively.’ In re Estate of Wilkinson, 843 S.W.2d 377, 382 (Mo.App.1992); Article I, Section 13, Mo. Const. Exceptions to the rule are when the legislature ‘shows an intent for retroactive application,’ or “where the statute is pro[416]*416cedural only and does not affect any substantive rights of the parties.’ Wilkinson, 843 S.W.2d at 382. A substantive law relates to rights and duties giving rise to the cause of action, while procedural statutes supply the machinery used to effect the suit. Wilkes v. Missouri Highway and Transportation Comm’n, 762 S.W.2d 27 (Mo.banc 1988); Fletcher v. Second Injury Fund, 922 S.W.2d 402, 407-08 (Mo.App.1996).”
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“As the Administrative Law Judge pointed out, prior to this [1993] amendment [to § 287.220], an injured person had no claim against the Fund for second job wage loss benefits. The amendment did not fine tune an existing right — it created a new cause of action. As such, it is substantive in nature and not susceptible to retroactive application.” (emphasis supplied).

Id. at 647.

This court agrees with the western district. We hold the 1993 amendment that authorized benefits from the Fund for a second employment is substantive rather than remedial. The Commission did not err when it refused to apply § 287.220.9 retroactively and order payment of benefits from the Fund for an accident that occurred August 5,1993.

In reaching this conclusion, we do not ignore Claimant’s argument that the very nature of workers’ compensation law is remedial and therefore retroactive. However, this argument overlooks the fact that Missouri courts have frequently held amendments to the Workers’ Compensation Act to be substantive. Stark is such a case. Other examples are cases holding that the 1993 amendments regarding subrogation, burial expense, and Second Injury Fund thresholds do not apply to injuries occurring before August 28, 1993. See Liberty Mut. Ins. Co. v. Garffie, 939 S.W.2d 484 (Mo.App.1997); Stillwell v. Universal Const. Co., 922 S.W.2d 448 (Mo.App.1996).

Claimant’s argument also ignores what this court said in Smart v. Missouri State Treasurer, 916 S.W.2d 367 (Mo.App.1996): “The 1993 amendment [to § 287.220] is a hodgepodge of words that deal with both procedural and substantive issues.” Id. at 370. Contrary to Claimant’s argument, there is no rule of law to the effect that all workers’ compensation amendments are remedial in the sense that they must always be applied retroactively.

Claimant also argues that § 287.220.9 does not concern vested rights of the parties, but only prescribe the method in which the average weekly wage is to be determined. Consequently, Claimant contends this statute must be viewed as remedial and applied retroactively. To support this contention, Claimant cites Croffoot v. Max German, Inc., 857 S.W.2d 435

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965 S.W.2d 414, 1998 Mo. App. LEXIS 502, 1998 WL 119979, Counsel Stack Legal Research, https://law.counselstack.com/opinion/patrick-v-clark-oil-refining-co-moctapp-1998.