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Michael Hutson v. Ultimate Electronics, Inc.

Decision date: August 18, 2011Injury #03-04213916 pages

Summary

The Commission affirmed the ALJ's denial of the employee's claim for enhanced permanent partial disability benefits against the Second Injury Fund. The employee failed to provide evidence that his preexisting right shoulder disability combined with the primary injury to result in greater overall disability than would have resulted from the primary injury alone.

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Third-Party Injury Check

This workers' comp decision may point to a separate injury claim.

  • A driver, contractor, property owner, or equipment company may share fault.
  • The injury involved a vehicle, unsafe premises, defective equipment, or a non-employer vendor.
  • A serious injury or death may need both benefits review and civil-claim analysis.

Caption

FINAL AWARD DENYING COMPENSATION
Injury No.: 03-042139
Employee:Michael Hutson
Employer:Ultimate Electronics, Inc. (Settled)
Insurer:Liberty Mutual Fire Insurance Co. (Settled)
Additional Party:Treasurer of Missouri as Custodian of Second Injury Fund
The above-entitled workers' compensation case is submitted to the Labor and Industrial Relations Commission (Commission) for review as provided by § 287.480 RSMo. ${ }^{1}$ Having reviewed the evidence, read the briefs, and considered the whole record, the Commission finds that the award of the administrative law judge (ALJ) is supported by competent and substantial evidence and was made in accordance with the Missouri Workers' Compensation Law. Pursuant to § 286.090 RSMo, the Commission affirms the award of the ALJ dated January 21, 2011, by issuing a separate opinion denying compensation in the above-captioned case.
Preliminaries
Employee settled his claim against employer and proceeded to final hearing against the Second Injury Fund. The ALJ heard this matter to consider the nature and extent of any Second Injury Fund liability.The ALJ found that employee’s claim against the Second Injury Fund is denied because employee’s alleged preexisting disabilities do not meet the appropriate threshold for Second Injury Fund liability.Employee appealed to the Commission alleging that the ALJ erred in denying him enhanced permanent partial disability benefits against the Second Injury Fund.The only issue currently before the Commission is the nature and extent of any Second Injury Fund liability.
Findings of Fact
The findings of fact and stipulations of the parties were accurately recounted in the award of the ALJ and, to the extent they are not inconsistent with the findings listed below, they are incorporated and adopted by the Commission herein.Employee was deposed in February 2006. During said deposition, employee apparently provided testimony regarding his prior right shoulder injury. This February 2006 deposition was not admitted as evidence in this case.
Conclusions of Law
The ALJ’s conclusion that employee’s preexisting right shoulder disability does not meet the appropriate threshold for Second Injury Fund liability was based primarily on a

[^0] [^0]: ${ }^{1}$ Statutory references are to the Revised Statutes of Missouri 2002 unless otherwise indicated.

finding that employee is not credible. However, the only basis the ALJ had for finding employee incredible were alleged discrepancies between employee's trial testimony and his testimony from the February 2006 deposition.

We find that the ALJ erred in relying on employee's February 2006 deposition testimony because it was not made part of the record. Evidence not admitted or made part of the record cannot be considered or relied upon.

Despite the aforementioned, we still agree with the ALJ's ultimate conclusion that employee's claim against the Second Injury Fund should be denied. However, we find that employee's failure to prove all material elements of his claim is the proper basis for denial.

To establish a claim for enhanced permanent partial disability against the Second Injury Fund an employee must show that a preexisting partial disability combined with a disability from the primary injury to result in a greater disability than that which would have resulted from the last injury by itself. See Gassen v. Lienbengood, 134 S.W.3d 75, 79 (Mo.App. W.D. 2004).

In this case, employee provided no evidence establishing that primary disabilities and the disability from his preexisting shoulder injury combine to produce substantially greater overall disability than the simple sum.

Because the burden is on employee to prove all material elements of his claim, including Second Injury Fund liability, and because there is no evidence of how the primary injury combines with the alleged preexisting conditions, we find that employee has not met his burden of proving Second Injury Fund liability.

Award

We affirm the ALJ's denial of Second Injury Fund liability for the reasons set forth herein.

The award and decision of Administrative Law Judge John K. Ottenad, issued January 21, 2011, is attached and incorporated to the extent it is not inconsistent with this final award.

Given at Jefferson City, State of Missouri, this $\qquad 18^{\text {th }} \qquad$ day of August 2011.

LABOR AND INDUSTRIAL RELATIONS COMMISSION

William F. Ringer, Member

Alice A. Bartlett, Member

Curtis E. Chick, Jr., Member

Attest:

AWARD

Employee: Michael Hutson

Injury No.: 03-042139

Dependents: N/A

Employer: Ultimate Electronics, Inc. (Settled)

Additional Party: Second Injury Fund

Insumer: Liberty Mutual Fire Insurance Co. (Settled)

Hearing Date: October 19, 2010

Before the

Division of Workers'

Compensation

Department of Labor and Industrial

Relations of Missouri

Jefferson City, Missouri

Checked by: JKO

FINDINGS OF FACT AND RULINGS OF LAW

  1. Are any benefits awarded herein? No
  2. Was the injury or occupational disease compensable under Chapter 287? Yes
  3. Was there an accident or incident of occupational disease under the Law? Yes
  4. Date of accident or onset of occupational disease: April 18, 2003
  5. State location where accident occurred or occupational disease was contracted: St. Louis County
  6. Was above employee in employ of above employer at time of alleged accident or occupational disease? Yes
  7. Did employer receive proper notice? Yes
  8. Did accident or occupational disease arise out of and in the course of the employment? Yes
  9. Was claim for compensation filed within time required by Law? Yes
  10. Was employer insured by above insurer? Yes
  11. Describe work employee was doing and how accident occurred or occupational disease contracted: Claimant worked as a delivery and warehouse employee for Employer, when he fell down stairs while delivering a big screen television and injured his neck, low back and body as a whole.
  12. Did accident or occupational disease cause death? No Date of death? N/A
  13. Part(s) of body injured by accident or occupational disease: Body as a Whole-Neck, Low Back and Psychiatric Disability
  14. Nature and extent of any permanent disability: 20 % of the Body as a Whole-Cervical Spine, 20 % of the Body as a Whole-Lumbar Spine and 26\% of the Body as a Whole-Psychological Disability
  15. Compensation paid to-date for temporary disability: $\ 3,246.36
  16. Value necessary medical aid paid to date by employer/insurer? $\ 9,173.81

Employee: Michael Hutson Injury No.: 03-042139

  1. Value necessary medical aid not furnished by employer/insurer? N/A
  2. Employee's average weekly wages: Sufficient to result in the applicable rates of compensation
  3. Weekly compensation rate: $\ 282.14 for TTD/ $\ 282.14 for PPD
  4. Method wages computation: By agreement (stipulation) of the parties

COMPENSATION PAYABLE

  1. Amount of compensation payable:

Employer previously settled its risk of liability

  1. Second Injury Fund liability:

Claim denied $\ 0.00

TOTAL: $\mathbf{\$ 0 . 0 0}$

  1. Future requirements awarded: None

Said payments to begin immediately and to be payable and be subject to modification and review as provided by law.

The compensation awarded to the claimant shall be subject to a lien in the amount of 25 % of all payments hereunder in favor of the following attorney for necessary legal services rendered to the claimant: Evan J. Beatty.

FINDINGS OF FACT and RULINGS OF LAW:

Employee: Michael Hutson

Injury No.: 03-042139

Dependents: N/A

Employer: Ultimate Electronics, Inc. (Settled)

Additional Party: Second Injury Fund

Insurer: Liberty Mutual Fire Insurance Co. (Settled)

Before the

Division of Workers' Compensation

Department of Labor and Industrial

Relations of Missouri

Jefferson City, Missouri

Checked by: JKO

On October 19, 2010, the employee, Michael Hutson, appeared in person and by his attorney, Mr. Evan J. Beatty, for a hearing for a final award on his claim against the Second Injury Fund. The employer, Ultimate Electronics, Inc., and its insurer, Liberty Mutual Fire Insurance Company, were not present or represented at the hearing since they had previously settled their risk of liability in this case. The Second Injury Fund was represented at the hearing by Assistant Attorney General Karin Schute. At the time of the hearing, the parties agreed on certain stipulated facts and identified the issues in dispute. These stipulations and the disputed issues, together with the findings of fact and rulings of law, are set forth below as follows:

STIPULATIONS:

1) On or about April 18, 2003, Michael Hutson (Claimant) sustained an accidental injury arising out of and in the course of his employment that resulted in injury to Claimant.

2) Claimant was an employee of Ultimate Electronics, Inc. (Employer).

3) Venue is proper in the City of St. Louis.

4) Employer received proper notice.

5) The Claim was filed within the time prescribed by the law.

6) At the relevant time, Claimant earned an average weekly wage sufficient to result in the applicable rates of compensation of $\ 282.14 for total disability benefits and $\ 282.14 for permanent partial disability (PPD) benefits.

7) Employer paid temporary total disability (TTD) benefits in the amount of \3,246.36, representing a period of time of 114 / 7 weeks.

8) Employer paid medical benefits totaling \ 9,173.81.

9) Claimant agrees not to pursue permanent total disability (PTD) benefits against the Second Injury Fund and in exchange, the Second Injury Fund agrees not to contest the synergistic combination of the injuries.

ISSUES:

1) What is the nature and extent of Claimant's permanent partial disability attributable to this injury?

2) What is the liability of the Second Injury Fund?

EXHIBITS:

The following exhibits were admitted into evidence:

Employee Exhibits:

A. Stipulation for Compromise Settlement in Injury No. 03-042139 between Claimant and Employer

B. Medical report of Dr. David Volarich dated October 27, 2004

C. Medical/Psychiatric report of Dr. Richard Anderson dated August 29, 2006

D. Records of the Division of Workers' Compensation including medical reports and the Stipulation for Compromise Settlement between Claimant, employer and the Second Injury Fund in Injury Number 91-057531

Second Injury Fund Exhibits:

Nothing admitted at the time of trial

Note: Any stray marks or handwritten comments contained on any of the exhibits were present on those exhibits at the time they were admitted into evidence, and no other marks have been made since their admission into evidence on October 19, 2010.

FINDINGS OF FACT:

Based on a comprehensive review of the evidence, including Claimant's testimony, the expert medical and psychological opinions, the medical records, and the Stipulations for Compromise Settlement, as well as based on my personal observations of Claimant at hearing, I find:

1) Claimant is a 44-year-old, currently unemployed individual, who last worked for Ultimate Electronics, Inc. (Employer) in 2003 as a home delivery and warehouse employee. Claimant was terminated by Employer in July 2003.

2) Claimant testified that his highest level of education was eighth grade. He began working for Employer in April or May of 2001.

3) Prior to working for Employer, in 1991, Claimant testified that he injured his right shoulder while working for Vess Soda Company. Claimant testified at trial that he was working on the line and a bottler machine grabbed hold of his shirt and pulled him over the machine, resulting in right shoulder pain and problems. Claimant testified that he received a cortisone shot and physical therapy from Dr. Farley.

4) Claimant testified that after the shoulder injury he suffered from stiffness, swelling and limited reaching overhead because of his right shoulder injury. He said that he would have to take over-the-counter medications to take the edge off the right shoulder pain. Claimant said that he did not have to perform any overhead work for Employer, but if he would have had to work overhead,

Full decision text continues in the plain-text archive copy.

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