certified for publication has reviewed
a principle that keeps confusing
practitioners in regards to payment of
penalties. This case deals with the
calculation of a penalty on attorney's
fees.
L.A. V.
WCAB
(JONES)
(WCJ) determined that the applicant
in this case was entitled to temporary
disability, permanent disability, and
future medical care treatment. The
WCJ also determined that the County
unreasonably delayed both temporary
and permanent disability. A 10%
penalty was assessed against the
entire specie of benefit unreasonably
refused or delayed. The attorneys
were awarded $8,696 plus 15% of the
total
Avalon Bay Foods V. WCAB (1998)
18 Ca. 4th 1165.
Code section 5814 a penalty is not a
separate class of benefits. A penalty
related to medical treatment goes
against all of the medical treatment
and is increased by any prior penalty
awards. However, the award of
attorney's fees is a separate class of
benefits for calculation of penalty
purposes.
must be assessed a penalty on the entire
attorney's fees awarded not just the
portion delayed. Thus, the penalty 'was
awarded on (1) $2850.00 plus 15% of
the total amount of penalties; (2) award
of $900.00; (3) award of $2,850.00;
and the (4) award of $1000.00
alleging the county unreasonably
delayed medical treatment The parties
entered into a stipulation with request
for reward, settling this penalty issue.
This stipulation called for an attorney
fee of $900.00. On the same date the
judge approved a settlement of
$2850.00 for the prior attorney fees on
the prior penalty. The settlement
indicated there would be no penalty or
interest if paid within 30 days.
paid within 30 days. The WCJ imposed
a penalty on the amount of ail medical
treatment. The County's petition for
reconsideration was denied and the
Workers' Compensation Appeals Board
(WCAB) also awarded reasonable
attorney fees under Labor Code section
5814.5. This amount was $1000.00 plus
2% of medical treatment expense.
court was the correct computation of
the payment for the penalty on the
attorney's fee award.
Gallamore v. WCAB (1979), 23 Cal.
3d 81$, Miner v. WCAB (1993) 4
Valenzuela, Brown
Editor: Harvey Brown
Address: 441 Old Newport Blvd
105 Newport Beach, CA 92663
Phone: 949 574-7835
COUNTY OF LA. V. WCAB
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