State Ex Rel. Deluxe Corp. v. Stanley

896 N.E.2d 729, 178 Ohio App. 3d 1, 2008 Ohio 4066
CourtOhio Court of Appeals
DecidedAugust 12, 2008
DocketNo. 07AP-783.
StatusPublished

This text of 896 N.E.2d 729 (State Ex Rel. Deluxe Corp. v. Stanley) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State Ex Rel. Deluxe Corp. v. Stanley, 896 N.E.2d 729, 178 Ohio App. 3d 1, 2008 Ohio 4066 (Ohio Ct. App. 2008).

Opinion

Sadler, Judge.

{¶ 1} Relator, Deluxe Corporation, commenced this original action requesting that this court issue a writ of mandamus ordering respondent Industrial Commission of Ohio to vacate its order awarding respondent John C. Stanley (“claimant”) R.C. 4123.56(B) wage-loss compensation beginning September 18, 2006, and to enter an order denying said compensation.

*3 {¶ 2} Pursuant to Civ.R. 53 and Loc.R. 12(M) of the Tenth Appellate District, this matter was referred to a magistrate who issued a decision including findings of fact and conclusions of law. (The magistrate’s decision is attached as an appendix.) Therein, the magistrate concluded that the commission had abused its discretion and recommended that this court issue a writ of mandamus ordering the commission to vacate its order awarding wage-loss compensation to respondent and to enter a new order denying the compensation. The claimant filed objections to the magistrate’s decision, and relator filed a memorandum opposing the objections. This cause is now before the court for a full review.

{¶ 3} “The purpose of wage-loss compensation is to return to work those claimants who cannot return to their former position of employment but can do other work. Ideally, that other work generates pay comparable to the claimant’s former position. Where it does not, wage-loss compensation covers the difference.” State ex rel. Timken Co. v. Kovach, 99 Ohio St.3d 21, 2003-Ohio-2450, 788 N.E.2d 1037, ¶ 19. Ohio Adm.Code 4125-1-01(A)(9) defines “working wage loss” as “the dollar amount of the diminishment in wages sustained by a claimant who has returned to employment which is not his or her former position of employment. However, the extent of the diminishment must be the direct result of physical and/or psychiatric restriction(s) caused by the impairment that is causally related to an industrial injury or occupational disease in a claim allowed under Chapter 4123 of the Ohio Revised Code.”

{¶ 4} In other words, “[rjeceipt of such compensation hinges on whether there is a causal relationship between injury and reduced earnings, more specifically, on a finding that ‘claimant’s job choice was motivated by an injury-induced unavailability of other work and was not simply a lifestyle choice.’ ” Id. at ¶ 20, quoting State ex rel. Jones v. Kaiser Found. Hosps. (1999), 84 Ohio St.3d 405, 407, 704 N.E.2d 570. In order to ensure the causal relationship between an injured worker’s wage diminishment and his industrial injury, Ohio Adm.Code 4125-1-01(D)(1)(c) provides that “[a] good faith effort to search for suitable employment which is comparably paying work is required * * * of those seeking working-wage loss who have not returned to suitable employment which is comparably paying work.”

{¶ 5} “Comparably paying work” is defined as “suitable employment in which the claimant’s weekly rate of pay is equal to or greater than the average weekly wage received by the claimant in his or her former position of employment.” Ohio Adm.Code 4125-1-01(A)(8). In this case it is undisputed that the claimant works as a security guard earning $7.75 per hour, whereas in his former position he earned $16.19 per hour. Accordingly, the claimant’s current employment is not comparably paying work. Thus, in order to be eligible for working wage loss, he must demonstrate a good faith effort to look for suitable employment that is *4 comparably paying work, unless he is excused from this requirement. The staff hearing officer (“SHO”) excused him from the requirement but did not analyze or explain why he is entitled to working wage loss in the absence of evidence of a good-faith search for comparably paying work.

{¶ 6} The magistrate concluded that, because the record before this court contains no employer contact sheets or other evidence that the claimant has searched for comparably paying work, then under Ohio Adm.Code 4125-1-01(D)(1)(c), the claimant is precluded from receiving working wage loss.

{¶ 7} The magistrate cited Timken, 99 Ohio St.3d 21, 2003-Ohio-2450, 788 N.E.2d 1037, in which the Supreme Court of Ohio explained:

“[I]n some situations, the commission may require a claimant with full-time employment to nevertheless continue looking for ‘comparably paying work.’ ” State ex rel. Yates v. Abbott Laboratories, Inc., 95 Ohio St.3d 142, 2002-Ohio-2003, 766 N.E.2d 956, ¶ 38. For regardless of the character of the work, “the overriding concern in all of these cases — as it has been since the seminal case of State ex rel. Pepsi-Cola Bottling Co. v. Morse (1995), 72 Ohio St.3d 210, 648 N.E.2d 827 — is the desire to ensure that a lower-paying position — regardless of hours — is necessitated by the disability and not motivated by lifestyle choice. And this is a concern that applies equally to regular full-time employment.” Id. at ¶ 37.

(Emphasis sic.) Id. at ¶ 24.

{¶ 8} The Timken court then went on to explain that the approach to determining whether to excuse a search for comparably paying work is not formulaic, but broad:

In determining whether to excuse a claimant’s failure to search for another job, we use a broad-based analysis that looks beyond mere wage loss. This approach was triggered by our recognition that “[w]age-loss compensation is not forever. It ends after two hundred weeks. R.C. 4123.56(B). Thus, when a claimant seeks new post-injury employment, contemplation must extend beyond the short term. The job that a claimant takes may have to support that claimant for the rest of his or her life — long after wage-loss compensation has expired.” [State ex rel.] Brinkman [v. Indus. Comm.], 87 Ohio St.3d [171,] at 174, 718 N.E.2d 897.
In Brinkman, a job search was deemed unnecessary where the claimant secured a part-time job with a high hourly wage and a realistic possibility of being offered a full-time position. Conversely, in [State ex rel.] Yates [v. Abbott Labs., 95 Ohio St.3d 142, 2002-Ohio-2003, 766 N.E.2d 956, ¶ 38], evidence of a good faith job search was required of a claimant with full-time employment who was making drastically reduced postinjury wages. We stressed in Yates that the claimant had voluntarily relocated to a place with a high rate of *5 unemployment and was grossly underutilizing her college degree and real estate license.

(Emphasis sic.) Id. at ¶ 25-26.

{¶ 9} In the instant case, the magistrate concluded that the commission abused its discretion when it excused the claimant from the requirement of a good-faith search for comparably paying work without performing any analysis as to whether he is entitled to be excused from that requirement. The magistrate went on to analyze whether the record warrants excusing the claimant from the requirement of a good-faith search for comparably paying work.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

State ex rel. Ooten v. Siegel Interior Specialists Co.
1998 Ohio 534 (Ohio Supreme Court, 1998)
State ex rel. Pepsi-Cola Bottling Co. v. Morse
648 N.E.2d 827 (Ohio Supreme Court, 1995)
State ex rel. Jones v. Kaiser Foundation Hospitals Cleveland
704 N.E.2d 570 (Ohio Supreme Court, 1999)
State ex rel. Brinkman v. Industrial Commission
718 N.E.2d 897 (Ohio Supreme Court, 1999)
State ex rel. Yates v. Abbott Laboratories, Inc.
95 Ohio St. 3d 142 (Ohio Supreme Court, 2002)
State ex rel. Timken Co. v. Kovach
99 Ohio St. 3d 21 (Ohio Supreme Court, 2003)
State ex rel. Brinkman v. Indus. Comm.
1999 Ohio 320 (Ohio Supreme Court, 1999)
State ex rel. Yates v. Abbott Laboratories, Inc.
2002 Ohio 2003 (Ohio Supreme Court, 2002)
State ex rel. Honda Transm. Mfg. of Am., Inc. v. Indus. Comm.
2002 Ohio 1934 (Ohio Supreme Court, 2002)

Cite This Page — Counsel Stack

Bluebook (online)
896 N.E.2d 729, 178 Ohio App. 3d 1, 2008 Ohio 4066, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-ex-rel-deluxe-corp-v-stanley-ohioctapp-2008.