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Fay E. Johnson v. The Home Depot USA, Inc.
106 A.3d 401
| Me. | 2014
Read the full case

Background

  • Fay E. Johnson, a Home Depot employee, was awarded workers’ compensation benefits by a 2010 consent decree; benefits had been designated for delivery to her attorney and later increased to 100% after surgery.
  • Johnson disappeared in March 2012; a Probate Court later appointed her daughter temporary conservator with authority over workers’ compensation matters.
  • In June 2012 Home Depot filed two petitions with the Workers’ Compensation Board: (1) review of incapacity (seeking to stop benefits) and (2) forfeiture for failure to attend a §207 exam. Both petitions were served by certified mail on Johnson’s attorney only, not on Johnson or her daughter.
  • Home Depot also filed a certificate reducing benefits to the prior 50% rate, citing that Johnson’s whereabouts were unknown.
  • The hearing officer ordered Home Depot to hold future benefit payments in a segregated account pending decision, later granted the petition for review and suspended benefits until Johnson reappeared and petitioned for reinstatement (with retroactivity if she returns); the forfeiture petition was dismissed as moot.
  • The Board Appellate Division affirmed; the Law Court granted review and affirmed the Board’s decision.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether service of petitions under 39-A M.R.S. § 307(2) was defective because served only on plaintiff’s attorney, not the missing employee or her conservator Johnson: service on counsel was insufficient because counsel lacked authority to accept service for her and statute requires service on the parties named Home Depot: service on the long‑standing attorney who continued to represent Johnson satisfied the statute Service on the attorney was sufficient in these circumstances; Board’s interpretation was reasonable and entitled to deference
Whether the hearing officer had authority to order benefits held in escrow and later suspend payments pending reappearance Johnson: hearing officer lacked authority to divert benefits from the employee or her designee and to suspend ongoing benefits Home Depot: ordering escrow and suspension was appropriate to protect employer interests when employee is missing Court upheld the escrow-then-suspension approach as reasonable, protective of both parties, and within Board’s discretionary authority

Key Cases Cited

  • Scott v. Fraser Papers, Inc., 65 A.3d 1191 (Me. 2013) (statutory construction and deference to Board interpretations)
  • Buckley v. S.D. Warren Co., 997 A.2d 747 (Me. 2010) (deference to Board’s statutory interpretation)
  • Hackett v. W. Express, Inc., 21 A.3d 1019 (Me. 2011) (Board expertise in construing the Act)
  • Doucette v. Hallsmith/Sysco Food Servs., Inc., 21 A.3d 99 (Me. 2011) (legislative intent to delegate interpretive authority to the Board)
  • Bridgeman v. S.D. Warren Co., 872 A.2d 961 (Me. 2005) (Act contains "gray areas" requiring flexible solutions)
  • Estate of Joyce v. Commercial Welding Co., 55 A.3d 411 (Me. 2012) (encouragement to let Board fill statutory gaps and deference to its determinations)
  • Foley v. Verizon, 931 A.2d 1058 (Me. 2007) (upholding pragmatic, common-sense Board actions that further the Act’s purposes)
Read the full case

Case Details

Case Name: Fay E. Johnson v. The Home Depot USA, Inc.
Court Name: Supreme Judicial Court of Maine
Date Published: Dec 11, 2014
Citation: 106 A.3d 401
Docket Number: Docket WCB-14-54
Court Abbreviation: Me.