Under Massachusetts’ Workers’ Compensation Act (the Act), employers have an obligation to provide employees with workers’ compensation benefits if they are hurt on the job. In most instances, employers obtain coverage for such benefits from insurance companies. It is not uncommon for said insurance companies to place liens against any recovery an employee might have via third-party claims. As discussed in a recent Massachusetts case, such liens do not extend to damages for pain and suffering. If you suffered harm while working, you could be owed benefits for your lost wages and medical expenses, and it is advisable to consult a Massachusetts workers’ compensation lawyer as soon as you can to talk about your rights.
Factual Background of the Case
It is reported that the plaintiffs, two employees, suffered work-related injuries, received workers’ compensation benefits, and subsequently settled claims with third parties, including damages for pain and suffering. Both employees had the same workers’ compensation insurer. The insurer sought reimbursement under Massachusetts law from the employees’ settlements, arguing that their liens extended to damages for pain and suffering.
It is alleged that in the first employee’s case, the court rejected a settlement agreement preventing the insurer’s lien on pain and suffering damages. The first employee appealed, relying on precedent that held the insurer’s lien did not attach to such damages. In the second employee’s case, a similar settlement was approved by a different judge, and the insurer appealed. Continue reading →