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Richard J. Borja v. Fara St. Bernard Parish Government
218 So. 3d 1
| La. | 2016
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Background

  • Borja, a firefighter for St. Bernard Parish, filed a 2004 disputed claim for knee, heart, and lung issues arising from a June 2, 2002 injury and related occupational diseases.
  • The 2004 dispute led to mediation resulting in back-pay and ongoing weekly indemnity (SEBs) at maximum benefits; a settlement/dismissal occurred on October 9, 2008.
  • In November 2013 Borja filed a new disputed claim citing knee, heart, and lung injuries and seeking permanent total disability and related medical benefits.
  • A workers’ compensation judge granted res judicata as to the knee and prescription as to the heart-and-lung claim in December 2014, and the court of appeal affirmed in a nonpub. opinion.
  • The Louisiana Supreme Court reversed the rulings on both issues, holding that neither res judicata nor prescription barred Borja’s 2013 heart-and-lung and permanent-disability claims and remanded for further proceedings.
  • The decision clarifies that indemnity payments can interrupt prescription for separate, related occupational-disease claims and that a prior dismissal does not automatically extinguish later, differently framed disability claims.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Borja’s 2013 permanent and total disability claim under the Fireman’s Heart and Lung Act prescribed. Borja contends payments interrupted prescription and thus the claim is timely. St. Bernard argues prescription ran, as prior benefits concluded and the 2013 claim is for a distinct, prescribed occupational claim. Not prescribed; payments interrupted prescription for the heart-and-lung claim.
Whether Borja's 2013 claims are barred by res judicata due to the 2008 settlement/dismissal. Borja asserts the 2008 dismissal did not resolve permanency issues and res judicata does not bar renewed claims. St. Bernard argues the 2008 resolution extinguished related indemnity issues as to the knee and heart-lung claim. Not barred; 2008 dismissal did not constitute a final judgment denying benefits or resolve all issues; res judicata does not preclude later modification or anew claim.
Whether Borja’s medical benefits under the heart-and-lung statute prescribed. Borja contends medical benefits under 33:2581 were timely within the one-year/three-year framework. St. Bernard argues medical benefits were prescribed because no post-2009 medical payments were shown under the act. Not prescribed; medical-benefit prescription did not commence until entitlement was determined and payments were made, consistent with Perrodin and Olivier.
What is the proper treatment of indemnity payments in interrupting prescription for a separate heart-and-lung claim? Indemnity payments for disability can interrupt prescription for the heart-and-lung claim. Payments were for knee only, not for heart-and-lung disability; thus no interruption for the heart-lung claim. Indemnity payments were for disability related to both knee and heart-lung; they interrupted prescription for the heart-and-lung claim.

Key Cases Cited

  • Giroir v. South Louisiana Medical Center, Div. of Hospitals, 475 So.2d 1040 (La. 1985) (prescription aims to protect against stale claims and lost proof)
  • Lopez v. City of New Orleans, 377 So.2d 77 (La. 1979) (payments by employer do not always end prescription as to related claims)
  • Leblanc v. Lafayette Consolidated Government, 983 So.2d 1022 (La. App. 3 Cir. 2008) (health-insurance payments do not interrupt prescription for workers’ compensation medical benefits under 23:1209(C) as interpreted in Leblanc)
  • Olivier v. City of Eunice, 92 So.3d 630 (La. App. 3 Cir. 2012) (health insurer payment interactions with workers’ comp; solidary obligations and windfall concerns)
  • Perrodin v. Lafayette City, 879 So.2d 1136 (La. App. 3 Cir. 2004) (rejects prescriptive-aid arguments; supports treatment of medical benefits under heart-and-lung statute staying proceedings until entitlement determined)
  • Madere v. W.S. Life Ins. Co., 845 So.2d 1222 (La. App. 5 Cir. 2003) (modification/ongoing disability rights within workers’ comp scheme)
  • Falgoust v. Dealers Truck Equip. Co., 748 So.2d 399 (La. 1999) (employees’ modification rights under workers’ comp; res judicata limits when appropriate)
  • Terrebonne Fuel & Lube, Inc. v. Placid Refining Co., 666 So.2d 624 (La. 1996) (res judicata applicability in WC context; focus on scope of first action)
Read the full case

Case Details

Case Name: Richard J. Borja v. Fara St. Bernard Parish Government
Court Name: Supreme Court of Louisiana
Date Published: Oct 19, 2016
Citation: 218 So. 3d 1
Docket Number: 2016-C -0055
Court Abbreviation: La.