Worker's Compensation Claim of McMasters v. State of Wyoming ex rel. Wyoming Workers' Safety & Compensation Division
2012 WY 32
| Wyo. | 2012Background
- McMasters sustained an L1 compression fracture in 2008 while working as an HVAC journeyman and sought permanent total disability (PTD) benefits under the odd-lot doctrine.
- Division denied benefits, contending preexisting psychological issues and weak job-seeking efforts explained lack of employment; Medical Commission upheld denial.
- McMasters introduced multiple medical and psychological evaluations over several years showing combined physical impairment and mental health issues affecting employability.
- The district court affirmed; on appeal, the Wyoming Supreme Court reversed, holding the odd-lot prima facie case was established and the Division failed to prove available light work.
- Court found credibility determinations and the Division’s reliance on preexisting psychological conditions were not supported by substantial evidence.
- Remand was ordered for entry of an order awarding McMasters permanent total disability benefits.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Did the Panel err in denying PTD under the odd-lot doctrine? | McMasters satisfied prima facie odd-lot criteria. | Panel correctly found no PTD under odd-lot. | Yes; McMasters met prima facie and Panel erred. |
| Did the Division carry burden to show available light work? | Division failed to identify concrete, available work. | White's report showed potential jobs that could be performed. | No; Division did not meet burden. |
| Were the Commission's credibility findings proper? | Credibility determinations were unsupported and tainted by error. | Commission properly assessed credibility. | No; credibility determinations were improper. |
| Does preexisting psychological condition bar PTD when disability arises from combination with work injury? | Combination of physical injury and psychological conditions warrants PTD. | Psychological preexisting condition precluded PTD. | No; combination effects can support PTD; not precluded by preexisting mental health alone. |
Key Cases Cited
- Nagle v. State ex rel. Wyo. Workers' Safety & Comp. Div., 190 P.3d 159 (Wyo. 2008) (odd-lot burden shifting and employability framework)
- Pickens v. State ex rel. Wyo. Workers' Safety & Comp. Div., 134 P.3d 1231 (Wyo. 2006) (odd-lot prima facie elements and burden on employer)
- Schepanovich v. United States Steel Corp., 669 P.2d 522 (Wyo. 1983) (burden-shifting under odd-lot doctrine; light-work availability)
- Moss v. State ex rel. Wyo. Workers' Safety & Comp. Div., 232 P.3d 1 (Wyo. 2010) (credibility and substantial-evidence review under Wyo. APA)
- Kenyon v. State ex rel. Wyo. Workers' Safety & Comp. Div., 247 P.3d 845 (Wyo. 2011) (standard of review for agency findings of fact and law)