21A-12WC. Debra Morrisseau v. Hannaford Brothers.

• Court: Vermont

Vermont Workers Compensation 2012. 21A-12WC. Debra Morrisseau v. Hannaford Brothers Debra Morrisseau v. Hannaford Brothers(August 9, 2012)STATE OF VERMONT DEPARTMENT OF LABORDebra Morrisseau v. Hannaford BrothersOpinion No. 21A-12WCBy: Phyllis Phillips, Esq. Hearing Officer For: Anne M. Noonan CommissionerState File No. BB-00676RULING ON CLAIMANT'S PETITION FOR COSTS AND ATTORNEY FEES RELATED TO SETTLEMENT OF CLAIMED PSYCHOLOGICAL INJURY Claimant seeks an award of costs and attorney fees incurred in reaching a pre-hearing settlement with Defendant regarding coverage for psychological treatment allegedly necessitated by her compensable physical injury. When a claimant prevails at formal hearing, Vermont's workers' compensation statute, 21 V.S.A. §678(a), has long provided for an award of costs and attorney fees as follows:

Necessary costs of proceedings under this chapter shall be assessed by the commissioner against the employer or its workers' compensation carrier when the claimant prevails. The commissioner may allow the claimant to recover reasonable attorney fees when the claimant prevails. Costs shall not be taxed or allowed either party except as provided in this section.

The commissioner has discretion to award costs and fees in claims that are resolved short of formal hearing as well. As to attorney fees specifically, 21 V.S.A. §678(d) provides:

In cases for which a formal hearing is requested and the case is resolved prior to formal hearing, the commissioner may award reasonable attorney fees if the claimant retained an attorney in response to an actual or effective denial of a claim and thereafter payments were made to the claimant as a result of the attorney's efforts.

As to both costs and attorney fees, Workers' Compensation Rule 10.1300 provides further guidance:

Awards to prevailing claimants are discretionary. In most instances awards will only be considered in proceedings involving formal hearing resolution procedures. In limited instances an award may be made in a proceeding not requiring a formal hearing where the claimant is able to demonstrate that:

10.1310 the employer or insurance carrier is responsible for undue delay in adjusting the claim, or

10.1320 that the claim was denied without reasonable basis, or

10.1330 that the employer or insurance carrier engaged in misconduct or neglect, and

10.1340

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