Olson v. Canterbury West, Ltd., 020599 MNWC,

Case DateFebruary 05, 1999
CourtMinnesota
MARIA A. OLSON, Employee,
v.
CANTERBURY WEST, LTD., and WAUSAU INS. CO., Employer-Insurer/Appellants.
Minnesota Workers Compensation
Workers' Compensation Court of Appeals
February 5, 1999
         HEADNOTES          MEDICAL EXPENSES & TREATMENT - SURGERY. Where the employee's treating physicians recommended a repair of a failed fusion, where conservative treatment had been ineffective and where the employee testified the repair surgery helped her condition, the compensation judge was supported by substantial evidence in finding the repair surgery to be reasonable and necessary.          PENALTIES; SETTLEMENT - INTERPRETATION. Where the employer and insurer executed a stipulation for settlement which the compensation judge interpreted to require the employer and insurer to pay for certain of the employee's medical expenses, the employer and insurer's failure to pay those expenses justified the imposition of a penalty, payable to the assigned risk safety account, under Minn. Stat. § 176.221, subds. 3 and 3a.          Affirmed.           Determined by Wheeler, C.J., Pederson, J., and Hefte, J.           Compensation Judge: Joan G. Hallock.           OPINION           STEVEN D. WHEELER, Judge          The employer and insurer appeal from the compensation judge's determination that the employee had not attained maximum medical improvement as of April 15, 1997, that the fusion repair surgery performed on July 3, 1997 was reasonable and necessary, that the employee was entitled to temporary total disability benefits after July 15, 1997, and that penalties were appropriate as a result of the nonpayment of medical bills by the employer and insurer. We affirm.          BACKGROUND          The employee, Marie A. Olson, sustained a work-related low back injury while working for the employer, Canterbury West, as a live-in caretaker on August 21, 1991. At the time the employee was 55 years of age. The employee slipped and fell on some stairs, landing on her buttock and experienced low back pain with right lower extremity discomfort which subsequently developed into numbness in both lower extremities. The employee was seen by her physician, Dr. Steven McCabe, on August 22, 1991. Dr. McCabe initially diagnosed a low back strain, but eventually the employee was referred to Dr. Leo J. de Souza, an orthopedic surgeon. Initially she was treated conservatively with physical therapy and medication. The employee received temporary total disability benefits from August 22, 1991 through February 28, 1992.          In early March 1992 the employee returned to work as an in-home caregiver for an elderly woman. This position ended in late 1992. The employee found another in-home caregiver position in January 1993. While in this employment, on November 23, 1993, the employee fell forward, landing on her stomach, while helping her patient. This incident did not change the employee's back symptoms. Because the employee had significant pain and feared putting her patient at risk, she left this employment on November 23, 1993 and sought the payment of temporary total disability benefits from the employer and insurer. (Unappealed Findings and Order of 7/18/94.) The employer and insurer resisted this payment, alleging that the 1991 injury was merely a temporary aggravation of underlying preexisting back problems which had originated from prior injuries in 1975 and 1977. The disputed matter came on for hearing before a compensation judge at the Office of Administrative Hearings on July 12, 1994. In Findings and Order, issued July 18, 1994, which were not appealed by the employer and insurer, the compensation judge determined that the employee was entitled to temporary total disability benefits from November 23, 1993 and continuing and that the employer and insurer were liable for the expenses of a TENS unit as a result of the August 1991 injury.          In reaching her decision in 1994, the compensation judge noted in her memorandum that while the employee did sustain back injuries in 1975 and 1977, each of which was followed by fusion surgery, the employee had recovered from these incidents and indicated that her back was "fantastic" after the second fusion. The compensation judge noted that no evidence to the contrary was presented at the hearing. The compensation judge specifically indicated that she found the employee's testimony credible in all respects, including the fact that following her injury of August 21, 1991 she experienced constant pain in her low back and numbness and cramping in her legs, with the right leg being worse than the left. The employee testified that her toes had felt numb for at least the last year and that the right leg had no feeling in it at all. The employee testified that she was provided with physical therapy which provided no relief and that two injections had offered her only temporary relief. The compensation judge further credited the employee's testimony that her symptoms had become progressively worse since the date of the 1991 injury and that she was in constant pain, slept poorly and could move only slowly. (Findings and Order of 7/18/94, pp. 3-4.)          Following the compensation judge's order, the employee was paid temporary total disability benefits from November 23, 1993 continuously through July 25, 1997. (Resp. Ex. 1, NOID of 7/30/97.)          Following the compensation judge's decision, the employee continued to be treated on a conservative basis by Dr. de Souza. A lumbar discogram and CT scan from July 29, 1994 indicated that "[a]ll discs were morphologically abnormal and post-diskography CT scanning revealed a circumferential annular...

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