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This summary was computer-generated without any editorial revision. It is not official, has not been checked for accuracy, and is NOT citable.

Facts

  • A worker employed as a meat cutter by Albertsons, Inc. developed carpal tunnel syndrome and lateral epicondylitis in both wrists and elbows due to repetitive movements required by his job duties. Despite the need for surgery to correct his condition, the worker chose not to undergo surgery to avoid losing his health insurance benefits during the recovery period. The worker continues to experience constant pain but must work full-time to maintain his health insurance benefits (paras 2-3).

Procedural History

  • Workers’ Compensation Administration, Shanon S. Riley, Workers’ Compensation Judge: The Workers' Compensation Judge (WCJ) denied the worker's motion for summary judgment and entered an amended compensation order after a trial on the merits, which the worker appealed.

Parties' Submissions

  • Worker-Appellant: Argued that a binding settlement agreement was reached at the mandatory mediation, which the WCJ erred in not enforcing. Also contended that the WCJ erred in determining the worker suffers a 20 percent partial loss of use to each of his elbows (para 1).
  • Employer/Insurer-Appellees: Argued that the agreement reached at mediation was only "tentative" and not binding until both parties accepted the recommended resolution or failed to reject it within thirty days of its issuance. They considered the recommended resolution and determined that 100 percent total loss of use compensation was not appropriate since the worker was "back at work" (paras 6, 9).

Legal Issues

  • Whether a binding agreement was reached between the worker and the employer at the mandatory mediation conference resolving the worker’s Scheduled Injury benefits claim (para 9).

Disposition

  • The Court of Appeals held that the Workers' Compensation Judge erred in failing to enforce the settlement agreement reached by the parties at the mandatory mediation. The court reversed and remanded with instructions to vacate the amended compensation order and enter a second amended compensation order consistent with the parties’ settlement agreement (para 1).

Reasons

  • M. MONICA ZAMORA, Chief Judge, with JENNIFER L. ATTREP, Judge, and MEGAN P. DUFFY, Judge concurring, found that the mutual assent necessary to form a binding contract was present at the mediation. The court concluded that the parties formed a valid and enforceable oral contract, and the WCJ’s determination that the agreement was "tentative" was not supported by substantial evidence. The court also addressed the employer's argument regarding the mediation process, stating that the process does not obligate parties to settle but aims to bring parties together to attempt to settle disputed issues. The court emphasized that allowing the employer to rescind the agreement would undermine the state's public policy favoring the settlement of disputed claims (paras 12-22).
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