Monday, August 27, 2018

Commission strips pre-judgment interest on medical fee dispute

The Commission affirmed a default award for  the balance on a medical bill of a partially paid charge for an MRI, attorney's fees, and reversed an award for pre-judgment interest.

The claimant required an MRI.  The employer paid about 1/3 of the original charge of $3598.40 for an MRI.  The balance remained unpaid 811 days later at the time of the hearing.  The provider put forth its own evidence that it regarded its fees as reasonable.  The employer failed to appear at the hearing to defend the case. The balance was awarded.

The ALJ awarded an additional $750 in legal fees at $250 an hour and found the case was defended on unreasonable grounds when the defense did not appear.   Counsel indicated his own rate was reasonable.

The ALJ awarded an additional $480.60 in interest.

The Commission found no statutory basis to award prejudgment interest under 287.140 for medical fee disputes, although prejudgment interest could be awarded in other contexts. 

The employer contends its notice was deficient as the case was set in less than 30 days before its answer was due, and the division's notes indicated it would not be set for 8 weeks and then set in 24 days.   A 2-1 majority found that the employer had "due time to act" and basically waived any objections to the earlier setting based on the confusing nature of the notice provided by the Division.  One commissioner would have remanded the case to determine whether the employer had good cause for its failure to appear.

Goss v City of Crestwood Fire Department (SLAIT) , DOLR 8-16-2018
https://labor.mo.gov/sites/labor/files/decisions_wc/GossWendell14-101759081618.pdf