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A03293 Summary:

BILL NOA03293
 
SAME ASNo Same As
 
SPONSORConrad
 
COSPNSR
 
MLTSPNSR
 
Amd §29, Work Comp L
 
Relates to recoveries from a third-party action; provides that liens on recoveries shall be limited to lost wages or medical expenses.
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A03293 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          3293
 
                               2025-2026 Regular Sessions
 
                   IN ASSEMBLY
 
                                    January 27, 2025
                                       ___________
 
        Introduced by M. of A. CONRAD -- read once and referred to the Committee
          on Labor
 
        AN ACT to amend the workers' compensation law, in relation to recoveries
          from a third-party action
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Subdivision 1  and  the  fifth  undesignated  paragraph  of
     2  subdivision  5  of section 29 of the workers' compensation law, subdivi-
     3  sion 1 as amended by chapter 805 of the laws  of  1984  and  as  further
     4  amended  by section 104 of part A of chapter 62 of the laws of 2011, and
     5  the fifth undesignated paragraph of subdivision 5 as amended by  chapter
     6  246 of the laws of 1967, are amended to read as follows:
     7    1.  If  an  employee  entitled  to  compensation under this chapter be
     8  injured or killed by the negligence or wrong of another not in the  same
     9  employ,  such  injured employee, or in case of death, [his] such employ-
    10  ee's dependents, need not elect whether to take compensation and medical
    11  benefits under this chapter or to pursue [his]  such  employee's  remedy
    12  against  such  other but may take such compensation and medical benefits
    13  and at any time either prior thereto or  within  six  months  after  the
    14  awarding  of compensation or within nine months after the enactment of a
    15  law or laws creating, establishing or  affording  a  new  or  additional
    16  remedy  or  remedies,  pursue  [his] such employee's remedy against such
    17  other subject to the provisions of this chapter. If such injured employ-
    18  ee, or in case of death,  [his]  such  employee's  dependents,  take  or
    19  intend  to  take  compensation,  and  medical benefits in the case of an
    20  employee, under this chapter and desire to  bring  action  against  such
    21  other, such action must be commenced not later than six months after the
    22  awarding  of compensation or not later than nine months after the enact-
    23  ment of such law or laws creating, establishing or affording  a  new  or
    24  additional  remedy or remedies and in any event before the expiration of
    25  one year from the date such action accrues.  In  such  case,  the  state
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD06763-01-5

        A. 3293                             2
 
     1  insurance  fund, if compensation be payable therefrom, and otherwise the
     2  person, association, corporation or insurance  carrier  liable  for  the
     3  payment  of  such compensation, as the case may be, shall have a lien on
     4  the  proceeds of any recovery from such other, to the extent such recov-
     5  ery is for lost wages or medical expenses, whether by judgment,  settle-
     6  ment  or  otherwise, after the deduction of the reasonable and necessary
     7  expenditures, including attorney's  fees,  incurred  in  effecting  such
     8  recovery,  to  the  extent  of  the total amount of compensation awarded
     9  under or provided or estimated by this chapter for  such  case  and  the
    10  expenses  for  medical  treatment  paid  or to be paid by it and to such
    11  extent such recovery shall be deemed  for  the  benefit  of  such  fund,
    12  person,  association,  corporation  or  carrier.  Should the employee or
    13  [his] such employee's dependents secure  a  recovery  from  such  other,
    14  whether  by  judgment,  settlement or otherwise, such employee or depen-
    15  dents may apply on notice to such lienor to the court in which the third
    16  party action was instituted, or to a court of competent jurisdiction  if
    17  no  action  was instituted, for an order apportioning the reasonable and
    18  necessary expenditures, including attorneys' fees, incurred in effecting
    19  such recovery. Such expenditures shall be equitably apportioned  by  the
    20  court  between  the employee or [his] such employee's dependents and the
    21  lienor. Notice of the commencement of such action shall be given  within
    22  thirty  days  thereafter  to  the [chairman] chair, the employer and the
    23  insurance carrier upon a form prescribed by the [chairman] chair. Any of
    24  the foregoing providers of compensation and/or  medical  benefits  which
    25  has  recovered  a  lien  pursuant  to  the provisions hereof against the
    26  recovery of a person  injured  on  or  after  February  first,  nineteen
    27  hundred  seventy-four  and  before July first, nineteen hundred seventy-
    28  eight, through the use or operation of a motor vehicle  in  this  state,
    29  shall notify such person by certified mail in a manner to be approved by
    30  the [chairman] chair and the superintendent of financial services of the
    31  responsibility  of an "insurer" (as defined in subsection (g) of section
    32  five thousand one hundred two of the insurance law), to  reimburse  such
    33  person  under  such  circumstances to the extent that the recovered lien
    34  represent first party benefits as defined in article  fifty-one  of  the
    35  insurance law.
    36    A  copy  of the papers to be used on the application to compromise and
    37  settle the claim must be served as directed by the court or in the  same
    38  manner  as  provided in the civil practice law and rules for a notice of
    39  motion upon the commissioners of the state insurance fund or such  offi-
    40  cer  thereof  designated by them or upon the person, association, corpo-
    41  ration, or insurance carrier, whose written  approval  would  have  been
    42  required  to  compromise  such  cause of action by the employee or [his]
    43  such employee's dependents. This notice shall afford them  the  opportu-
    44  nity  to  submit affidavits and to be heard by the court on the applica-
    45  tion. A petition may also be filed pursuant to this subdivision allocat-
    46  ing a portion of the third-party recovery  to  only  lost  wages  and/or
    47  medical treatment.
    48    § 2. This act shall take effect immediately.
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