What the panel ordered
Petition for Reconsideration dismissed as premature and matter returned to trial level for further proceedings.
Applicant filed a Petition for Reconsideration of the December 10, 2021 Order Approving Compromise and Release (OACR) and request to set aside the order.
What was disputed, and how it came out
Each issue the panel decided, with the reasoning it gave. An outcome is what this panel did on this record — not a rule, and not a prediction.
The Petition was dismissed as premature because the WCJ did not hold a hearing or create a complete record addressing the Hartman formula addendum and Medicare set aside arrangements, denying the parties a fair hearing and due process.
From the decision · page 1Applicant seeks reconsideration of the December 10, 2021, Order Approving Compromise and Release (OACR) wherein the workers' compensation administrative law judge (WCJ) approved of the parties' settlement agreement. Applicant also made a request to set aside the order approving the compromise and release (C&R).
The facts that decided it
What the panel treated as outcome-determinative, and which side it favoured.
No hearing was held and no Minutes of Hearing or Summary of Evidence (MOH/SOE) were filed, resulting in an incomplete record.
Favours Applicant prevailed
This prevented the WCJ from assessing the parties' understanding of the settlement and deprived the parties of a fair hearing and due process.
From the decision · page 3Because no hearing was held, the WCJ did not have the opportunity to assess the basis of the parties' understanding of the C&R. There is no MOH/SOE in the record. Therefore, we cannot make a decision without giving the parties an opportunity to be heard and for the WCJ to create a complete record for our review.
The rules the panel named
Authorities as the decision cited them, with how this panel applied each one.
Gangwish v. Workers' Comp. Appeals Bd. (2001) 89 Cal.App.4th 1284
A fair hearing includes the opportunity to call and cross-examine witnesses, introduce and inspect exhibits, and offer evidence in rebuttal.
Applied to emphasize fair hearing requirements.
From the decision · page 3Furthermore, all parties in workers' compensation proceedings retain their fundamental right to due process and a fair hearing under both the California and United States Constitutions. (Rucker v. Workers' Comp. Appeals Bd. (2000) 82 Cal.App.4th 151, 157-158 [65 Cal.Comp.Cases 805] (Rucker).) A fair hearing includes, but is not limited to, the opportunity to call and cross- examine witnesses; introduce and inspect exhibits; and to offer evidence in rebuttal. (Gangwish v. Workers' Comp. Appeals Bd. (2001) 89 Cal.App.4th 1284, 1295 [66 Cal.Comp.Cases 584]; Rucker, supra, 82 Cal.App.4th at pp. 157-158, citing Kaiser Co. v. Industrial Acc. Com. (1952) 109 Cal.App.2d 54, 58 [17 Cal.Comp.Cases 21]; Katzin v. Workers' Comp. Appeals Bd. (1992) 5 Cal.App.4th 703, 710-712 [57 Cal.Comp.Cases 230].)
Cal. Code Regs., tit. 8, 10700(b)
The Workers' Compensation Appeals Board shall inquire into the adequacy of all Compromise and Release agreements and Stipulations with Request for Award, and may set the matter for hearing to take evidence when necessary to determine whether the agreement should be approved or disapproved, or issue findings and awards.
Applied to require review and hearing on settlement adequacy.
From the decision · page 2"The Workers' Compensation Appeals Board shall inquire into the adequacy of all Compromise and Release agreements and Stipulations with Request for Award, and may set the matter for hearing to take evidence when necessary to determine whether the agreement should be approved or disapproved, or issue findings and awards." (Cal. Code Regs., tit. 8, § 10700(b).) We observe that contract principles apply to settlements of workers' compensation disputes. Stipulations between the parties must be interpreted to give effect to the mutual intention of the parties it existed at the time of contracting, so far as the same is ascertainable and lawful. (County of San Joaquin v. Workers' Compensation Appeals Bd. (Sepulveda) (2004) 117 Cal.App.4th 1180, 1184 [69 Cal.Comp.Cases 193], citing Civ. Code, § 1636.)
County of San Joaquin v. Workers' Compensation Appeals Bd. (Sepulveda) (2004) 117 Cal.App.4th 1180
Stipulations between the parties must be interpreted to give effect to the mutual intention of the parties it existed at the time of contracting, so far as the same is ascertainable and lawful.
Applied to interpret settlement documents including the Hartman formula addendum.
From the decision · page 2"The Workers' Compensation Appeals Board shall inquire into the adequacy of all Compromise and Release agreements and Stipulations with Request for Award, and may set the matter for hearing to take evidence when necessary to determine whether the agreement should be approved or disapproved, or issue findings and awards." (Cal. Code Regs., tit. 8, § 10700(b).) We observe that contract principles apply to settlements of workers' compensation disputes. Stipulations between the parties must be interpreted to give effect to the mutual intention of the parties it existed at the time of contracting, so far as the same is ascertainable and lawful. (County of San Joaquin v. Workers' Compensation Appeals Bd. (Sepulveda) (2004) 117 Cal.App.4th 1180, 1184 [69 Cal.Comp.Cases 193], citing Civ. Code, § 1636.)
Cal. Code Regs., tit. 8, 10803
A proper record enables any reviewing tribunal to understand the basis for the decision, including pleadings, minutes of hearing, transcripts, evidence, and findings.
Applied to require a complete record for review.
From the decision · page 3appeal, to understand the basis for the decision." (Hamilton v. Lockheed Corporation (2001) 66 Cal.Comp.Cases 473, 475 [2001 Cal. Wrk. Comp. LEXIS 4947] (Appeals Bd. en banc).) The Appeals Board's record of proceedings is maintained in the adjudication file and consists of: the pleadings, minutes of hearing and summary of evidence, transcripts, if prepared and filed, proofs of service, evidence received in the course of a hearing, exhibits marked but not received in evidence, notices, petitions, briefs, findings, orders, decisions, and awards, and the arbitrator's file, if any.... Documents that are in the adjudication file but have not been received or offered in evidence are not part of the record of proceedings. (Cal. Code Regs., tit. 8, § 10803.)
Rucker v. Workers' Comp. Appeals Bd. (2000) 82 Cal.App.4th 151
All parties retain their fundamental right to due process and a fair hearing under both the California and United States Constitutions, including the opportunity to call and cross-examine witnesses and offer evidence.
Applied to emphasize due process and fair hearing rights.
From the decision · page 3Furthermore, all parties in workers' compensation proceedings retain their fundamental right to due process and a fair hearing under both the California and United States Constitutions. (Rucker v. Workers' Comp. Appeals Bd. (2000) 82 Cal.App.4th 151, 157-158 [65 Cal.Comp.Cases 805] (Rucker).) A fair hearing includes, but is not limited to, the opportunity to call and cross- examine witnesses; introduce and inspect exhibits; and to offer evidence in rebuttal. (Gangwish v. Workers' Comp. Appeals Bd. (2001) 89 Cal.App.4th 1284, 1295 [66 Cal.Comp.Cases 584]; Rucker, supra, 82 Cal.App.4th at pp. 157-158, citing Kaiser Co. v. Industrial Acc. Com. (1952) 109 Cal.App.2d 54, 58 [17 Cal.Comp.Cases 21]; Katzin v. Workers' Comp. Appeals Bd. (1992) 5 Cal.App.4th 703, 710-712 [57 Cal.Comp.Cases 230].)
What proof carried it
The evidence the panel weighed, by kind.
No hearing was held and no Minutes of Hearing or Summary of Evidence (MOH/SOE) were filed, resulting in an incomplete record.
From the decision · page 3Because no hearing was held, the WCJ did not have the opportunity to assess the basis of the parties' understanding of the C&R. There is no MOH/SOE in the record. Therefore, we cannot make a decision without giving the parties an opportunity to be heard and for the WCJ to create a complete record for our review.
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About this page
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