Olivier v. City of Eunice
92 So. 3d 630
| La. Ct. App. | 2012Background
- Olivier, a firefighter for the City of Eunice from 1985 to 2007, sustained a 2006 back injury leading to disability; he had a prior chest pain in 2004 and was diagnosed with bicuspid aortic valve stenosis, undergoing valve replacement surgery in 2010.
- The City denied treatment and expenses for his heart condition as work-related; Olivier used Blue Cross for unapproved medical costs paid by the insurer; he submitted these expenses to Blue Cross and to the City for reimbursement.
- In 2008 Olivier filed a workers’ compensation action seeking medical treatment authorization and reimbursement under the Heart and Lung Act, plus penalties and attorney fees for denial of benefits.
- Expenses related to the heart condition totaled $121,247.48 (Blue Cross paid $115,653.17; Olivier paid $5,594.31 in deductibles/co-pays); he also incurred $2,260.86 in lodging, meals, and mileage.
- The WCJ denied the prescription issue, found that the Heart and Lung Act presumption applied, ordered an offset under La.R.S. 23:1212(A) of $74,596.29, and awarded Olivier various amounts including a $2,000.00 penalty and $12,600.00 in attorney fees; City sought post-trial relief which led to an Amended Judgment.
- The Third Circuit ultimately reversed part of the award and affirmed the rest, concluding the collateral source rule does not apply and that the City and Blue Cross are solidary obligors; the court reversed the $41,056.88 medical expense award to Olivier and awarded appellate attorney fees.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Burden of proof to rebut Heart and Lung Act presumption | Olivier argues City bears the burden with proper standard | City contends WCJ used incorrect burden requiring positives to rule out employment | Assignment on burden is without merit |
| Whether City rebutted the Heart and Lung Act presumption | Olivier contends medical evidence fails to rebut presumption | City argues evidence showed no link to employment | WCJ correct to find presumption not rebutted |
| Reconsideration of prescription exception | Olivier asserts law-of-the-case denial should stand | City seeks reconsideration at trial | Law-of-the-case rule applied; assignment lacking merit |
| Offset for medical expenses and collateral source rule | Olivier seeks reimbursement proportionate to premium payments | City/Blue Cross should not be offset against WCA expenses; 1212/1205 interplay | Collateral source rule does not apply; City and Blue Cross are solidary obligors; reversal of $41,056.88 award |
Key Cases Cited
- McClure v. City of Pineville, 944 So.2d 795 (La.App. 3 Cir. 2006) (Heart and Lung Act presumption burden)
- Meche v. City of Crowley Fire Department, 688 So.2d 697 (La.App. 3 Cir. 1997) (Equivocal causation evidence insufficient to rebut presumption)
- Bryant v. New Orleans Pub. Serv., Inc., 414 So.2d 322 (La.1982) (Collateral-source/offset doctrine prior to 1212 evolution)
- Theriot v. Am. Employees Ins. Co., 482 So.2d 648 (La.App. 3 Cir. 1986) (Pre-1212 offset rulings)
- Woolsey v. Cotton Bros. Bakery Co., Inc., 535 So.2d 1119 (La.App. 2 Cir. 1988) (Collateral source rule pre-1212)
- McKenzie v. City of Bossier City, 585 So.2d 1229 (La.App. 2 Cir. 1991) (Pre-1212 offset framework)
- Chailland Business Consultants v. Duplantis, 897 So.2d 117 (La.App. 1 Cir. 2004) (Guidance on insurer offsets under 1212/1205)
- Ryan v. Blount Bros. Construction, Inc., 927 So.2d 1242 (La.App. 2 Cir. 2006) (Insurer offset considerations under 1212/1205)
- Bellard v. American Central Insurance Co., 980 So.2d 654 (La.4/18/08) (Collateral source rule not applied; solidary obligors identified)
- Cutsinger v. Redfern, 12 So.3d 945 (La.4/22/09) (Collateral source rule not applied; solidary obligors analysis)
- Parfait v. Gulf Island Fabrication, Inc., 733 So.2d 11 (La.App. 1 Cir. 1999) (Credit under 1212 limited to premium-based proportion)
- Principal Mutual Life Insurance Co. v. Progressive United Corp., 674 So.2d 1073 (La.App. 2 Cir. 1996) (Retroactivity considerations for 1205/1212)
