State v. Industrial Commission, Unpublished Decision (5-30-2003)

2003 Ohio 7035
CourtOhio Court of Appeals
DecidedDecember 23, 2003
DocketNo. 03AP-99.
StatusUnpublished

This text of 2003 Ohio 7035 (State v. Industrial Commission, Unpublished Decision (5-30-2003)) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law.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State v. Industrial Commission, Unpublished Decision (5-30-2003), 2003 Ohio 7035 (Ohio Ct. App. 2003).

Opinion

DECISION
{¶ 1} Relator, John F. Gobich, has filed an original action challenging an interlocutory order in which respondent, Industrial Commission of Ohio ("commission"), ordered a hearing upon a request for reconsideration. Relator sought with this court a writ ordering the commission to vacate its interlocutory order setting the hearing and the final order that followed the hearing.

{¶ 2} The matter was referred to a magistrate of this court pursuant to Civ.R. 53(C) and Loc.R. 12(M) of the Tenth District Court of Appeals. The magistrate issued a decision, including findings of fact and conclusions of law, recommending that this court issue a "limited writ," returning this matter to the commission to vacate its orders of July 2002 and November 2002, and to issue a new order, either granting or denying the request by the Bureau of Workers' Compensation ("bureau") for reconsideration. (Attached as Appendix A.)

{¶ 3} Relator has filed objections to the magistrate's decision, arguing that the issuance of a limited writ is in violation of applicable case law, and that the commission does not have jurisdiction in this case to review the order of a staff hearing officer ("SHO") regarding the issue of permanent and total disability ("PTD") compensation.

{¶ 4} By way of background, relator sustained an industrial injury in 1981, and a claim was allowed for back conditions. In 1991, a second claim was allowed for injuries to relator's arm and shoulder. In 1996, relator filed an application for PTD compensation. A hearing was conducted in January 1998, and an SHO issued an order awarding PTD compensation from July 3, 1996, "and to continue without suspension unless future facts or circumstances should warrant the stopping of the award."

{¶ 5} The bureau subsequently received information that relator had been working during the time he had been declared permanently and totally disabled. Following an investigation, the bureau determined that, relator had worked for Caudill Construction, Inc. ("Caudill Construction") after the time relator submitted his PTD application, and that he continued to work after PTD was awarded. As a result of the investigation, the bureau submitted a motion requesting the commission to terminate PTD compensation and Disabled Workers Relief Fund benefits, to declare fraud, and to order the collection of overpaid benefits. The evidence submitted by the bureau in support of its motion included copies of checks from Caudill Construction to relator.

{¶ 6} On April 22, 2002, the matter was heard by an SHO, who issued a decision finding that relator "was gainfully employed for periods of time subsequently to filing his application for permanent total disability compensation but prior to receiving the order granting his application." The SHO found that relator was overpaid PTD compensation "to the extent that he earned wages for employment, in the amount of $1,815." With the exception of the overpayment cited above, the SHO otherwise denied the bureau's motion.

{¶ 7} The bureau filed an application for reconsideration on the issues of termination of benefits, overpayment of PTD compensation and fraud. In the accompanying memorandum in support, the bureau argued that the SHO erred in finding that relator was not receiving benefits while working, that the SHO failed to give any dates regarding the issue of overpayment, and that the SHO erred in failing to find fraud despite evidence that relator denied working while going through the PTD application process. Counsel for relator filed a response to the bureau's application, arguing that, while relator worked brief periods of time in 1996 and 1997 for Caudill Construction, "[a]t no time after receiving notice of this decision has claimant again performed any paid work of any kind."

{¶ 8} The commission issued an "interlocutory order," mailed July 3, 2002, stating in relevant part:

It is the finding of the Industrial Commission that the Administrator has presented evidence of sufficient probative value to warrant adjudication of the request for reconsideration regarding the alleged presence of a clear mistake of law of such character that remedial action would clearly follow.

Specifically, it is alleged that the injured worker was working and receiving pay for periods when he had been declared to be permanently and totally disabled.

Based on these findings, the Industrial Commission directs that the Administrator's request for reconsideration filed 05/23/2002 is to be set for hearing to determine if the alleged clear mistake of law as noted herein is sufficient for the Industrial Commission to invoke its continuing jurisdiction.

{¶ 9} On October 9, 2002, the commission held a hearing on the application for reconsideration. A majority of the commission found that the order of the SHO "is based on clear mistakes of law of such character that * * * the exercise of continuing jurisdiction is appropriate in this case." Specifically, the commission found that, in "granting the injured worker's application for permanent total disability, the Staff Hearing Officer failed to consider the fact that the injured worker was working immediately prior to, and after, the hearing on 01/22/1998."

{¶ 10} The commission determined that relator "was engaged in remunerative work activity immediately prior to and subsequent to the adjudication of his application for permanent total disability compensation, based on the evidence obtained by and filed with the Administrator's motion." The commission also found that relator had a duty to disclose, to both the commission and the examining physicians, that he was engaged in work activity, and that the failure to do so constituted fraudulent activity. Based upon the findings rendered, the commission granted the bureau's motion, ordered that relator's PTD compensation be terminated as of October 9, 2002, and made a finding that all prior and subsequent PTD compensation, paid to relator since August 26, 1996, be declared an overpayment.

{¶ 11} In general, the lifetime nature of a PTD award "does not * * * mean that the award is completely immune from later review." State exrel. Smothers v. Mimh (1994), 69 Ohio St.3d 566, 567. Rather, if the commission learns the claimant is "working or engaging in activity inconsistent with his permanent total disability status, the commission can use its continuing jurisdiction under R.C. 4123.52 to reopen the matter." Id. at 567-568. This court has previously noted that "[c]ontinuing jurisdiction is not unlimited and can only be exercised if there is evidence of: (1) new and changed circumstances; (2) fraud; (3) clear mistake of fact; (4) clear mistake of law; or (5) error by inferior tribunal." State ex rel. Sitterly v. Indus. Comm., Franklin App. No. 01AP-954, 2002-Ohio-3281, at ¶ 9.

{¶ 12} In the present case, the magistrate, while finding that "the import of the commission's interlocutory order is adequately clear as to the issue for adjudication at the hearing," nevertheless concluded that such order "does not explain the commission's reasoning sufficiently to permit judicial review." In support, the magistrate cited State ex rel.Foster v. Indus. Comm. (1999), 85 Ohio St.3d 320, and State ex rel. Royalv. Indus. Comm. (2002), 95 Ohio St.3d 97. In Foster,

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Related

State Ex Rel. B & C MacHine Co. v. Industrial Commission
1992 Ohio 75 (Ohio Supreme Court, 1992)
State ex rel. Noll v. Industrial Commission
567 N.E.2d 245 (Ohio Supreme Court, 1991)
State ex rel. Nicholls v. Indus. Comm.
1998 Ohio 616 (Ohio Supreme Court, 1998)
State ex rel. Foster v. Indus. Comm.
1999 Ohio 461 (Ohio Supreme Court, 1999)
State ex rel. Royal v. Indus. Comm.
2002 Ohio 1935 (Ohio Supreme Court, 2002)

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Bluebook (online)
2003 Ohio 7035, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-v-industrial-commission-unpublished-decision-5-30-2003-ohioctapp-2003.