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S. Kry-Puy v. WCAB (C&A Labor, Inc.)
2525 C.D. 2015
| Pa. Commw. Ct. | Oct 11, 2016
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Background

  • Claimant Samedy Kry-Puy filed a workers’ compensation claim for right forearm/hand/finger injuries sustained at work on Nov. 20, 2012; Employer initially denied, then issued a Notice of Compensation Payable (NCP) on Aug. 16, 2013.
  • Claimant alleged Employer unreasonably contested the claim from filing (Mar. 14, 2013) until the NCP (Aug. 16, 2013).
  • Claimant’s counsel sought a 20% attorney fee of both indemnity benefits and medical bill payments ($234,902 in medical bills).
  • WCJ found Employer’s contest was unreasonable only for the period Mar. 14–Aug. 15, 2013; awarded 20% of indemnity benefits for that period but denied 20% of medical benefits as unreasonable based on limited attorney time (≈1.5 hours) and average difficulty.
  • The Board affirmed; claimant’s counsel appealed to this Court, arguing she was automatically entitled to 20% of medical benefits and/or a larger fee. The Commonwealth Court affirmed the Board and WCJ.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether counsel is entitled to 20% of medical benefits as part of an unreasonable-contest fee under §440 Counsel: 20% of medical benefits is appropriate (relying on precedent) Employer/WCJ: 20% of medical benefits would be unreasonable given limited work and partial contest Held: Fee may include medical benefits only if reasonable; here 20% of medical bills was unreasonable and denied
Whether the contingency fee agreement’s 20% charge on medical bill payments must be approved under §442 Counsel: Contingency agreement should be approved in full (including 20% of medical) WCJ/Board: §442 requires separate reasonableness analysis for medical fees; approval can be limited Held: WCJ properly approved 20% of indemnity (per se reasonable) but declined 20% of medical benefits after quantum meruit analysis
Whether WCJ abused discretion in relying on documented attorney time and difficulty to deny 20% of medical fees Counsel: Should receive higher fee based on work performed WCJ/Board: Counsel documented ~1.5 hours of standard/average work; $46,980.40 for minimal work is unreasonable Held: No abuse of discretion; record supports WCJ’s findings and denial of medical-fee portion

Key Cases Cited

  • Koszowski v. Workmen’s Compensation Appeal Board, 595 A.2d 697 (Pa. Cmwlth.) (discussing contingent fees and medical-bill percentage awards)
  • Raulston v. Workmen’s Compensation Appeal Board, 606 A.2d 668 (Pa. Cmwlth.) (addressing contingent fee awards including medical expenses)
  • Wommer v. Workmen’s Compensation Appeal Board, 479 A.2d 661 (Pa. Cmwlth.) (holding percentage-of-compensation fees including medical expenses may be appropriate but must be reasonable)
  • Piergalski v. Workmen’s Compensation Appeal Board, 621 A.2d 1069 (Pa. Cmwlth.) (clarifying that 20% of indemnity is per se reasonable but medical-fee percentage requires separate inquiry)
  • Elite Carpentry Contractors v. Workmen’s Compensation Appeal Board, 636 A.2d 250 (Pa. Cmwlth.) (deference to WCJ when fee is reasonably related to amount and difficulty of work)
  • Righter v. Workers’ Compensation Appeal Board, 141 A.3d 628 (Pa. Cmwlth.) (recently articulating that WCJ must assess intent and reasonableness for medical-fee percentages and perform a quantum meruit analysis)
Read the full case

Case Details

Case Name: S. Kry-Puy v. WCAB (C&A Labor, Inc.)
Court Name: Commonwealth Court of Pennsylvania
Date Published: Oct 11, 2016
Docket Number: 2525 C.D. 2015
Court Abbreviation: Pa. Commw. Ct.