Speedway, LLC v. Kendall Shedd

Indiana Court of Appeals·Decided November 7, 2025·No. 25A-EX-01386·Published

Opinion

FILED

Nov 07 2025, 9:08 am

CLERK

Indiana Supreme Court

Court of Appeals

and Tax Court

IN THE

Court of Appeals of Indiana Speedway, LLC,

Appellant-Defendant

v.

Kendall Shedd,

Appellee-Plaintiff

November 7, 2025

Court of Appeals Case No.

25A-EX-1386

Appeal from the Full Worker’s Compensation Board of Indiana Linda Peterson Hamilton, Chairman Application No.

C-263247

Opinion by Judge Tavitas

Judges Bailey and Kenworthy concur.

Court of Appeals of Indiana | Opinion 25A-EX-1386 | November 7, 2025 Page 1 of 9

Tavitas, Judge.

Case Summary [1] Speedway, LLC (“Speedway”) appeals the order of the full Worker’s

Compensation Board (“the Board”) denying Speedway’s motion to dismiss Kendall Shedd’s application for adjustment of claim. Speedway argues that the Board erred by determining that Shedd did not reach a settlement with the underlying tortfeasor, thereby terminating Speedway’s obligation to provide Shedd with further benefits. We sua sponte conclude that the Board’s order denying Speedway’s motion to dismiss was not a final appealable order. Accordingly, we dismiss this appeal.

Issue [2] We raise one issue sua sponte: whether the Board’s order denying Speedway’s

motion to dismiss was a final appealable order.

Facts [3] The facts of this case appear to be undisputed. On July 17, 2022, Shedd was

employed by Speedway and working at a Speedway store in Fort Wayne. While she was outside the Speedway store on a break, a car driven by Jerry Muzzillo struck Shedd and pinned her body between the outer wall of the store and Muzzillo’s vehicle. Shedd suffered catastrophic injuries as a result, including amputation of her right leg above the knee, significant trauma to her left lower extremity requiring surgery, a severe spinal injury, and psychological injuries. Shedd’s injuries have not yet reached maximum medical improvement.

[4] Speedway determined that Shedd’s worker’s compensation claim was compensable, and Speedway’s worker’s compensation administrator, Sedgwick, provided Shedd with medical benefits and paid temporary total disability (“TTD”) benefits from July 2022 through January 2025, in weekly installments of $317.76, totaling $40,854.86 in TTD benefits. Shedd’s compensable medical expenses have exceeded $590,000.

[5] Shedd retained counsel to file a personal injury claim against Muzzillo. On October 26, 2023, Shedd signed a “Release of All Claims” (“Release”) agreeing to release her claims against Muzzillo in exchange for payment of $500,000— the liability limits of Muzzillo’s policy with Cincinnati Insurance Company (“Cincinnati”). Appellant’s App. Vol. II p. 118. The Release contained standard language acknowledging receipt of payment. Shedd, however, did not receive any payment, and neither Muzzillo nor Cincinnati signed the Release. Shedd did not obtain Speedway’s or Sedgwick’s written consent before signing the Release.

[6] On November 2, 2023, Shedd’s attorney sent the signed Release to Muzzillo’s insurer, Cincinnati. Later that day, Cincinnati’s claims representative emailed Shedd’s attorney and stated that Cincinnati had received notice of Sedgwick’s worker’s compensation lien and asked how the $500,000 settlement check should be made payable, i.e., whether Sedgwick should be included as a payee.

Shedd’s attorney responded later that day, stating: “at this time no check can be deposited as there is no final [worker’s compensation] lien and the [worker’s compensation] treatment is ongoing. It would likely expire before anyone is able to deposit.” Id. at 134-35. When Cincinnati asked whether to hold off on issuing the settlement payment or send the check made payable to multiple parties, Shedd’s attorney responded: “Hold off for now.” Id. at 135. Sedgwick’s adjuster was copied on these email exchanges but did not respond. Accordingly, no settlement check was ever issued by Cincinnati, and Shedd never received any payment from Cincinnati. Neither Shedd nor Cincinnati has taken action to enforce the Release.

[7] On June 21, 2024, Shedd filed an application for adjustment of claim with the Board. One week later, Shedd filed a civil lawsuit alleging negligence against Muzzillo. 1 On October 11, 2024, Speedway and Sedgwick moved to intervene in Shedd’s civil suit, which the court granted on November 18, 2024. This civil case remains pending.

[8] On December 19, 2024, Speedway served State Form 38911 on Shedd. This document notified Shedd of Speedway’s intent to terminate Shedd’s worker’s compensation benefits effective January 2, 2025. Speedway claimed that Shedd had settled her claim against Muzzillo and that, under Indiana Code 22-3-2-

1 Shedd’s action also sought underinsured motorist benefits from her insurer, State Farm. State Farm was subsequently dismissed as a defendant.

Court of Appeals of Indiana | Opinion 25A-EX-1386 | November 7, 2025 Page 4 of 9 13(a) 2 and Smith v. Champion Trucking Co., 925 N.E.2d 362 (Ind. 2010), Speedway’s liability to pay further benefits was terminated by statute. On January 28, 2025, Speedway moved to dismiss Shedd’s worker’s compensation claim on these same grounds.

[9] On January 29, 2025, the Single Hearing Member of the Board held a hearing on Speedway’s motion to dismiss. On February 4, 2025, the Single Hearing Member denied Speedway’s motion to dismiss, finding that no settlement had been made because no payment had been received by Shedd. Speedway then filed an application for review by the Board. On April 28, 2025, the Board held a hearing on the matter and, on May 21, 2025, the Board issued its decision affirming the Single Hearing Member’s denial of Speedway’s motion to dismiss. Speedway filed its notice of appeal on June 4, 2025, and this appeal ensued.

Discussion and Decision [10] Speedway claims that the Board erred by denying Speedway’s motion to

dismiss Shedd’s application for adjustment of claim. We, however, conclude sua sponte that the Board’s order denying Speedway’s motion to dismiss was not a final appealable order.

2 This statute permits an injured worker to sue a third party who caused the injury even though the worker is receiving worker’s compensation benefits. If, however, the worker recovers via judgment or settlement from the third party, he or she must repay the employer (or the employer’s worker’s compensation carrier) for the benefits already received, and future benefits will cease. I.C. § 22-3-2-13(a).

Court of Appeals of Indiana | Opinion 25A-EX-1386 | November 7, 2025 Page 5 of 9

[11] In Means v. State, 201 N.E.3d 1158, 1163 (Ind. 2023), our Supreme Court explained that Indiana appellate courts generally “have jurisdiction only over appeals from judgments either disposing of all claims as to all parties, or which the trial court certifies as lacking any just reason to delay entering judgment as to fewer than all the issues, claims, or parties under Trial Rule 54(B) or Trial Rule 56(C).” (citations modified).

[12] Our Supreme Court has also explained:

An appellate court must have jurisdiction to review a trial court’s order, and a court has a duty to determine whether it has jurisdiction before proceeding to the merits of the case. Appellate jurisdiction cannot be conferred by the parties or the trial court if the order is not appealable either as a final judgment or under Trial Rule 54(B). Whether an order is a final judgment governs the appellate courts’ subject matter jurisdiction. Appellate jurisdiction can be raised at any time and the appellate court may consider the issue sua sponte. Jurisdiction is a question of law we review de novo.

In re Adoption of S.L., 210 N.E.3d 1280, 1282 (Ind. 2023) (citations modified).

[13] At issue here is the Board’s order denying Speedway’s motion to dismiss Shedd’s application for adjustment of claim. The Board’s order did not dispose of all issues as to all parties; it merely denied Speedway’s motion to dismiss Shedd’s application for adjustment of claim. 3 The Board’s order is, accordingly, not a final appealable order. “Generally, the denial of a motion to

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