Thomas v. Oklahoma Orthopedic & Arthritis Foundation Inc.

1995 OK 47, 903 P.2d 279, 66 O.B.A.J. 1588, 1995 Okla. LEXIS 58, 1995 WL 265152
CourtSupreme Court of Oklahoma
DecidedMay 9, 1995
Docket82462
StatusPublished
Cited by8 cases

This text of 1995 OK 47 (Thomas v. Oklahoma Orthopedic & Arthritis Foundation Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Thomas v. Oklahoma Orthopedic & Arthritis Foundation Inc., 1995 OK 47, 903 P.2d 279, 66 O.B.A.J. 1588, 1995 Okla. LEXIS 58, 1995 WL 265152 (Okla. 1995).

Opinion

KAUGER, Vice Chief Justice:

The question presented is whether the hospital has a valid statutory lien under 42 O.S.1991 § 43 1 against the proceeds of the employee’s third-party personal injury suit. We find that the facts here do not support a finding that the hospital has a valid lien against the settlement proceeds of the personal injury suit.

FACTS

The Oklahoma Orthopedic and Arthritis Foundation, Inc., d/b/a Bone & Joint Hospital (hospital) treated Johnnie L. Thomas (Thomas/employee) for injuries he sustained on March 23, 1989, in a collision with a Burlington Northern Railroad train (railroad) in Grady County, Oklahoma. In June of 1989, Thomas filed a negligence action against the railroad. Attempting to secure payment of Thomas’ $5,263.30 in medical expenses, the hospital, in November of 1989, filed a lien under 42 O.S.1991 § 43 2 against any proceeds Thomas might recover in his suit against the railroad.

After Thomas sought recovery from the railroad and the hospital filed its lien, Thomas filed a claim against his employer on December 20, 1989, for workers’ compensation benefits in the Workers’ Compensation Court, alleging that the accident was work-related. Although the hospital had notice that the employee filed a workers’ compensation claim, it did not file a claim for medical expenses in the Workers’ Compensation Court. 3 Subsequently, Thomas and his employer agreed to settle their dispute by joint petition. On April 25, 1990, a hearing on the proposed joint petition settlement agreement was held; and the Workers’ Compensation Court approved the agreement. The employer, by the joint petition, agreed to pay the medical expenses which Thomas owed the hospital. 4 The hospital did not partici *283 pate in the joint petition settlement proceedings, nor did it have notice of the hearing. 5

On May 11, 1990, the railroad settled with the employee for $80,000.00 in exchange for Thomas’ dismissal of his negligence suit. Because the hospital asserted a lien against the settlement proceeds, the railroad drafted one cheek payable to Thomas for $74,737.00 and another check payable to both Thomas and the hospital for $5,263.30, the amount of medical expenses which Thomas owed the hospital. The employee insisted that the hospital release its hen on the settlement proceeds, but the hospital refused.

Thomas filed an action for declaratory judgment in district court naming the hospital. 6 The employee requested that the court find that he was entitled to all of the settlement proceeds he obtained from the railroad which the hospital was asserting a hen against. The hospital counterclaimed, asking the court to find that it had a vahd hen against the settlement proceeds under 42 O.S.1991 § 43. 7 Pursuant to their requests for declaratory judgment, both parties filed motions for summary judgment.

The trial court entered summary judgment for Thomas and against the hospital. The hospital appealed and the Court of Appeals held that the proceeds from Thomas’ settlement with the railroad could not be impressed with a statutory lien. We granted certiorari on February 28, 1995, to address the question of first impression.

THE FACTS HERE DO NOT SUPPORT A FINDING THAT THE HOSPITAL HAS A VALID LIEN AGAINST THE SETTLEMENT PROCEEDS OF THE PERSONAL INJURY SUIT.

The employee argues that: 1) 42 O.S.1991 § 43 8 authorizes a lien only when a patient is injured by reason of an accident not covered by the Workers’ Compensation Act, 85 O.S. 1991 §§ 1 et seq. (the Act); 2) because the accident was covered by the Act, the hospital must file a claim in the Workers’ Compensation Court to recover for the services it rendered to Thomas; and 3) the joint petition determined that the employer was responsible for Thomas’ medical expenses. The hospital asserts that a hospital lien should be allowed under 42 O.S.1991 § 43 when an employee/patient elects to pursue a third-party common law liability claim pursuant to the Workers’ Compensation Act, 85 O.S.1991 § 44, 9 because the proceeds of the claim are *284 not compensation under the Act. It insists that there is no provision under the Act which mandates that the hospital must seek its remedy in the Workers’ Compensation Court, rather than asserting a hen.

The determination of legislative intent controls statutory interpretation. 10 The intent is ascertained from the whole act in light of its general purpose and objective. 11 In construing statutes, relevant provisions must be considered together whenever possible to give full force and effect to each. 12 To ascertain legislative intent we look to the language of the pertinent statutes. 13 There is no basis for a hospital hen in the absence of a statute. 14 Title 42 O.S.1991 § 43 is a specific statute which authorizes a hospital to assert a hen against any money recovered by a patient if the injury occurs “by reason of an accident not covered by the Workers’ Compensation Act,” and if the patient brings an action against the tortfeasor who caused the person’s injuries. 15 The purpose of a hospital hen statute is to lessen the burden on hospitals imposed by non-paying accident cases. 16

The statute does not distinguish between an action brought by an injured worker against a third-party tortfeasor, who is a stranger to the employment relationship, and an action brought against an employer for workers’ compensation benefits. Nowhere in the hospital hen statute is a hen expressly allowed if an injured worker brings an action against a third-party, but prohibited when the action is against an employer for workers’ compensation benefits. Rather, the hospital hen statute expressly allows hospital hens if a patient brings an action against the tortfeasor who caused the patient injuries unless the accident is covered by the Workers’ Compensation Act. However, the statute does provide that no statutorily created hospital hen is allowed or valid against “any claims for amounts due under the Workers’ Compensation Act.” 17

An accident which gives rise to personal injuries is covered by the Act unless: 1) an employment relationship does not exist; 18 2) an employee or an employer is excluded from the Act; 19 or 3) the injury by accident does not arise out of and in the course of employment. 20

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Cite This Page — Counsel Stack

Bluebook (online)
1995 OK 47, 903 P.2d 279, 66 O.B.A.J. 1588, 1995 Okla. LEXIS 58, 1995 WL 265152, Counsel Stack Legal Research, https://law.counselstack.com/opinion/thomas-v-oklahoma-orthopedic-arthritis-foundation-inc-okla-1995.