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Dalka v. American Family Mutual Insurance
799 N.W.2d 923
Wis. Ct. App.
2011
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Background

  • Dalka received worker's compensation benefits for his workplace injuries from Zurich American Insurance Company.
  • A second non-work-related motor vehicle accident led to additional injuries; Zurich was not involved in that case.
  • Dalka filed tort actions against drivers of other vehicles in both accidents; the insurer joined the first case.
  • Before trial, the driver/insurer offered a total settlement of $8,500 for both cases; Dalka refused.
  • The circuit court, noting the offer value exceeded the case value, compelled Dalka to accept under Wis. Stat. § 102.29(1); Dalka appealed.
  • The court ultimately affirmed the order, applying Bergren v. Staples to hold that the settlement-authorization and waiver provisions apply to either plaintiff.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether § 102.29(1) waives the right to jury trial. Dalka argues the statute violates the Wisconsin Constitution by depriving him of a jury trial. Zurich defends that the statute creates a contractual waiver among employees and insurers. Waiver of jury trial is authorized under Bergren; no constitutional violation.

Key Cases Cited

  • Bergren v. Staples, 263 Wis. 477 (Wis. 1953) (insurer may seek settlement and waiver applies to both insurer and employee)
  • Campion v. Montgomery Elev. Co., 172 Wis. 2d 405 (Ct. App. 1992) (rights under § 102.29(1) are distinct from subrogation; employee not required to be a party)
  • Threshermens Mut. Ins. Co. v. Page, 217 Wis. 2d 451 (Wis. 1998) (insurer can recover for employee's pain and suffering; rights under act exist)
  • Huebner, 2000 WI 59 (Wis. 2000) (issues must be preserved for appellate review; forfeiture rule discussed)
  • Cook v. Cook, 208 Wis. 2d 166 (Wis. 1997) (courts bound by Bergren interpretation and related principles)
Read the full case

Case Details

Case Name: Dalka v. American Family Mutual Insurance
Court Name: Court of Appeals of Wisconsin
Date Published: May 24, 2011
Citation: 799 N.W.2d 923
Docket Number: No. 2010AP1428
Court Abbreviation: Wis. Ct. App.