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Mieras v. Dyncorp
925 P.2d 518
N.M. Ct. App.
1996
Check Treatment

*1 Rodriguez 10. As we stated 925 P.2d 518 Co., 127, 133, Windsor Ins. MIERAS, Claimant-Appellee Rochelle (1994): Cross-Appellant, Despite judicial strength policy in, Jimenez, ... e.g., as discussed DYNCORP and National Union Fire In- 794-96, may N.M. at 757 P.2d at Company, Employer-Insurer- surance give possible truly effect to a unam- Cross-Appellees. clause, biguous antistacking provided it Nos. plainly only notifies the insured that one premium charged has been for one insur- Appeals Court of of New Mexico. coverage, ance coverage provides that the personal accident insurance that cannot be Aug. regardless stacked of the number of vehi- Sept. Certiorari Denied policy, cles covered and that insured should bear this feature in mind purchasing

when insurance. explained Stone, As we in Allstate Ins. v.Co. (1993), concern- ing “repugnancy” of irreconcilable exclu-

sionary language, exclusionary “when ‘an simply grant’

clause coverage, nullifies the apply this Court will ‘refuse to the clause deprives the insured of the insurance coverage which the reasonably insured un- ” policy.’ derstood was afforded Id. at (quoting 863 P.2d at 1088 Federal Ins. Ass’n., Century Co. v. Fed. Sav. & Loan (1992)). Stone, we held that when the clear and un-

ambiguous language purporting preclude stacking is apparent irreconcilable with the grant coverage exclusionary language given no stacking effect. Id. Whether proper question is thus a of contract inter-

pretation, interests, not one of fundamental governed by Virginia therefore law. For

these reasons we reverse.

IT IS SO ORDERED. MINZNER, JJ.,

FRANCHINI and concur. *3 Lane, Lane, P.C.,

Wendell B. Overstreet & NM, Alamogordo, Appellee/Cross-Appel- lant. Jr., Christopher Babington,

William R. W. Nickels, Curran, Sager, Sturges Tepper, & P.C., Cruces, NM, Appellants/Cross- Las Appellees.

OPINION

DONNELLY, Judge.

1. This case in- appeal cross-appeal. Dyn- volves an and a carrier, corp National and its insurance Un- Company (Appellants), ion Fire Insurance argue that: the workers’ (WCJ) allowing judge an out-of-state erred decedent, including Dr. Donald treated the provider, care who had never treated health (the Miller, decedent), Jerry Draney to testi- F. and Dr. board- Worker W. the deceased hearing fy cardiologist. hired Dr. the workers’ certified concerning Ramo, cardiologist, Barry substantive issue causation a board-certified leading expert, decedent’s expert. between events as their medical performed; Mittleman, death and work Murray is a of Bos- Dr. resident finding ton, that the decedent suffered WCJ’s Massachusetts. myocardial infarction as natural

fatal and. sup- employment is not direct result his THE AP- OF NOTICE OF TIMELINESS n ported substantial evidence. PEAL cross-appeal of decedent’s surviv- initially address threshold issue 6. We *4 (Claimant) challenges the constitu- ing widow ap- Appellants’ timeliness directed to the of 1978, tionality of NMSA peal. contends that this Court Claimant (effective 1991), 1, (Repl.Pamp.1991) Jan. jurisdiction does not have to consider $12,500 general cap of establishes a which appeal Appel- issues in this because raised of com- an award fees workers’ of properly lants not file their notice did eases. affirm the decision of pensation We appeal. Appellants originally filed their no- as to of the issues raised the WCJ each Compensa- appeal tice of with the Workers’ cross-appeal. appeal (WCA). Although tion Administration appeal that a Claimant concedes notice of FACTS timely of the Court was filed with Clerk Dyn- employed by 3. The decedent was Appeals, of of Claimant claims the notice Air Force as an eorp at Holloman Base appeal the same was deficient because was repair aircraft mechanic and structural tech- originally notice with the WCA that was filed 1, 1992, the nician. On December decedent caption and it and case contained WCA assigned to T- launch and recover three was number. recovery jet aircraft. The launch present distinguishable case 7. The by Dyncorp on procedure utilized the date ap where a notice of from those situations normally performed by question was one wrong not peal place filed in the or was was two individuals. Bloom, timely Lowe v. 110 N.M. filed. See During launch the the first decedent (1990) 555, (notice appeal of 798 P.2d assisted a co-worker. The launch was tribunal); timely in the must filed correct be recovery proceeded opera- at the normal Furr’s, Inc., 220, Singer 804 P.2d N.M. recovery pace. During phase of tional (workers’ compensation 411 (Ct.App.1990) launch, appeared the decedent out the second timely ap file notice of claimant’s failure recovery, the After the decedent of breath. Appeals of peal deprived of Court Court Approximately to the rest room. went men’s .Appeals jurisdiction appeal even of over later, thirty employees minutes noise heard a though appeal filed of with claimant notice The a bathroom stall. decedent was inside thir Division within floor of found half-dressed on the one of the dismissal). ty days of Cardiopulmonary bathroom stalls. resuscita- to the decedent and he tion was administered Appellants notice did file a 8. Since Air Base was transferred to Holloman Force appeal of of with the Clerk of the Court pronounced' Hospital where he was dead. Appeals specified deadline and within compen- filed a claim for workers’ Claimant substantially complied provisions with the Appellants. against sation benefits 1996, 12-601(B), conclude NMRA we jurisdiction this conflicting this Court has to resolve 5. The medical evidence was Serrano, id.; Trujillo appeal. cause An See as to the of the decedent’s death. 276, 369, 273, (ap N.M. 871 P.2d autopsy performed. was Air Force liberally pellate so listed rules should construed physician who attended decedent merits permit appeal resolution possible myocardial as the cause death as efficient previously result is consistent with physicians Two had where such ischemia. justice); 324, (order administration of Mitchell v. Dona (Ct.App.1995) of WCA Ass’n, Ana Sav. & Loan 111 N.M. awarding attorney director fees held ap (attorney’s 804 P.2d failure pealable). agree Ap Claimant that prosecute appeal in own name did not pellants failed to raise concerning issue deprive appellate jurisdiction); court admissibility of Dr. Mittleman’s testimo County Board Ogden, Comm’rs v. below; ny hence the preserved. issue was not N.M. (Ct.App.) 870 P.2d 1996, 12-216(A); NMRA Moly Cisneros v. (notice appeal held despite sufficient tech Inc., corp, 107 N.M. nical deficiencies where violations did not (failure (Ct.App.) preserve non-juris rights affect parties), substantive de cert. dictional error below pur waives issue for nied, (1994); 870 P.2d 753 poses review), appellate denied, Assocs., Cooley Brewster v. & (work 412 (Ct.App.1993) ers’ claimant did not have to could preserved have appeal file notice of both with district court alleged error objecting specific parts of WCA; enough with the it was that claim deposition testimony of Dr. Mittleman. ant copy served a of her appeal notice of Instead, Appellants’ attorney specifically in agency). formed the objection WCJ that he had no *5 the deposition admission of the testimony of ADMISSIBILITY OF EXPERT TESTIMO- Dr. Appellants argue Mittleman.1 any that NY objection light would have been futile Appellants 9. contend that the WCJ decision, the director’s and that the WCJ’s Mittleman, in allowing erred Dr. willingness to testimony admit the by shown expert, provide medical expert testimony approval his request of Claimant’s to amend because Dr. Mittleman was not the dece discovery the order underscores their claim treating dent’s physician, see NMSA concerning futility objecting the to the 52-l-51(C) (effective (Repl.Pamp.1991). deposition admission of such testimony at 1, 1991), Jan. nor was Dr. Mittleman a li- Appellants trial. argue also that Kerr- censed New Mexico health provider. care McGee Corp. Nuclear v. New Mexico Envi (Cum. Under NMSA Board, Improvement ronmental 97 N.M. Supp.1996), the director of the WCA can approve any person (Ct.App.), quashed, 45 facility provides or that (1981), health-related services as a 97 N.M. pro- supports health care case, vider. In this approved the director their objection contention that further Dr. Mittleman as a health provider, care part their would have been in vain or futile. subject to “the determination of the [WCJ] disagree. concerning admissibility credibility [the] and 11. The facts of the instant case are dis- testimony.” result, of [such] As a the di- tinguishable from the situation in Kerr- properly rector left to the WCJ the determi- timely objection, McGee because a if offered deposition testimony nation whether the dining WCJ, the trial before the would have Dr. Mittleman should be admitted. Claimant preserved alleged pursuant error to the argues Appellants that preserve failed to this New Mexico Admin- appeal issue for and that the decision of the Regulations istration Rules appealable. director was not See 92.3.13 Sun Coun- (1992). try Physical Therapy Assocs. v. The New Mexico order of the WCA director ex- Fund, 248, 250, pressly N.M. provided that the issue of the admis- Self-Insurers’ by following colloquy Judge Griego: As shown the record any objection Is there to the ten- occurred: deposition der of the of Dr. Mittleman with Judge Griego: any deposi- Mr. Lane are there attachments? you No, tions wish me to consider? Babington: your Mr. Honor. Yes, Honor, your deposition Mr. Lane: of Dr. Judge Griego: Deposition of Dr. Mittleman with Murray Mittleman with attached exhibits attachments will be received. deposition and the sealed of Dr. Mittleman provided you morning. this infarction. See Herman v. Miners’ cardial sibility credibility of Dr. Mittleman was 550, 553, Hosp., N.M. P.2d determination WCJ. left argue that Appellants also upon his 14. Based data obtained from duty to evaluate admission WCJ had study, Dr. indi- Mittleman concluded that an testimony expert sponte Dr. Mittleman’s sua activity engages heavy physical who vidual 1996, 11-702 and that such under NMRA week, two who between one to times satisfy testimony failed to the test enunciated a heart attack within one hour then suffers Alberico, 156, 167, 861 State v. 116 N.M. activity engaging after at a level of MET (1993), admissibility of P.2d for the higher, or there about a 95% likelihood cite scientific evidence. do activity physical that strenuous was any authority for their contention triggered Dr. factor which the heart attack. required disregard conces was their WCJ if the lev- Mittleman testified that decedent’s testimony deposition could sion that prior to his death consis- el exertion was objection. admitted into evidence without description provided him tent Stewart, See Wilburn witness, lay probability then (“Issues raised triggered the attack physical exertion heart unsupported cit appellate briefs are between was somewhere 90% 95%. authority ... on will not be reviewed ed Moreover, agree appeal.”). party may Although Appellants present to the admission evidence and thereafter testimony, duty conflicting expert ed her own action. See from his claim error of the fact finder to resolve conflicts Ray, McCauley v. P.2d Gomez, evidence. 192, 197 (1968). testimony at 44. WCJ reviewed the witnesses, including expert that of Dr. *6 OF THE EVIDENCE SUFFICIENCY Mittleman, testimony and heard from several witnesses, lay including one who witnessed additionally con job perform immedi the decedent his duties is no tend that there substantial evidence ately preceding testimony This his death. the support that the WCJ’s determination finding concerning supports the of the WCJ myocar cause of the decedent’s death was a issues the of whether the decedent suffered Dyn dial infarction related to his work with myocardial infarction a natural and direct as corp. challenge to the suffi review the employment of the cause his and whether ciency of evidence under whole-record decedent’s death was a natural and direct v. standard of review. Gomez Bernalillo employment. of result his County Office, Clerk’s 118 N.M. (court (Ct.App.1994) will not dis OF LIMITATION CONSTITUTIONALITY findings supported by if sub turb of WCJ ATTORNEY ON FEES whole). on record as a stantial evidence testimony cross-appeal challenges of is a conflict 16. Claimant’s Where there 52-1-54(1) constitutionality pro the medical evidence of the health care Section Act, viders, Compensation argues or for the fact finder to reconcile and it is $12,500 weight given each to be that limitation determine 44; attorney may See id. opinion. at 882 P.2d at total fees that be award Inc., Constructors, Lucero Los legal by Alamos awarded for the services rendered Equal (Ct.App. attorney Protec- worker’s violates the 1969). federal requirement The causation of NMSA tion Clauses of state and constitu- Specifically, Claimant that (Repl.Pamp.1991) Section 52-1-28 tions.2 contends equal by proof protection stress violates be satisfied that work-related Section impermissible contributing myo guarantees by creating was a factor to worker’s States Equal The Clause of the New Mexi- Amendment to the United Constitution Protection Constitution, II, any provides deny ”[n]o declares State shall ... co Article Section that pro- person jurisdiction equal protec- person its shall be ... denied within ”[n]o Similarly, tection laws.” the Fourteenth tion of the laws.” Order, treating attorney classification and fees so that complex highly awards of con any claimants with Claimant should relieved from re- differently from tested claims claimants with sponsibility any portion paying of her relatively simple Equal 52-l-54(F)(4). claims. Protec pursuant fees to NMSA tion Clauses the United States contained WHEREFORE, ORDERED, IT IS AD- and the New Constitutions Mexico are sub JUDGED AND DECREED that counsel stantially interpreted identical and have been attorneys for Claimant is awarded fees of providing protections. as same Garcia $12,500.00, tax, plus gross receipts to be Albuquerque of Educ., Bd. Pub. Sch. paid by [Appellants]. 100% (Ct.App.1980), statutory provision, 20. The quashed, 52-1-54(1), limiting amount of an award attorney fees force the time of the attorney petition filed Claimant’s her death, applicable decedent’s part: stated compensation for workers’ rep- benefits and Attorneys’ I. including, but not during proceed- resented her mediation to, services, paralegal limited the costs of ings, pretrial discovery preparation, trial legal clerk services and other related merits, during post-trial proceed- legal services costs on a claimant behalf of ings. petition As shown and affidavit employer single or an accidental herein, filed Claimant’s the attor- claim, injury including representation be- ney expended a 124.50 in rep- total of hours the workers’ adminis- fore resenting proceed- Claimant in the contested appeal, tration and the courts shall not ings attorney presented below. Claimant’s exceed twelve thousand hundred dol- five indicating evidence he has extensive ex- ($12,500). lars applies This limitation law, perience in workers’ employer whether the claimant has one regular billing his per rate $100 $120 attorneys representing or more him and hour, and that the value the benefits se- applies as a cumulative limitation on com- $215,110, cured pensation legal for all services rendered in interest, plus costs $870.63. proceedings all other directly matters 18. The Claimant WCJ awarded single injury related to a accidental to a $12,500, plus gross fees in the amount of claimant. The workers’ receipts thereon, legal tax for the services judge may exceed the maximum amount *7 legal rendered on her behalf. The award for awarding stated in in this subsection pretrial preparation services for and trial attorneys’ reasonable fee if he finds that a permitted work reached maximum limit claimant, employer or an an insurer acted by 52-1-54(1), Section and does not include regard handling in bad faith with legal the value of services rendered on injured injured worker’s claim and the appeal. Claimant’s behalf to this incident employer worker or has suffered economic awarding attorney 19. The WCJ’s order However, loss in as a result. no case shall attorney fees to Claimant for services of her this additional amount exceed two thou- part: recited in ($2,500). sand five hundred dollars [Em- by WCJ] 1. That [the constrained phasis added.] 52-1-54(1) NMSA to award Section attor- Appellants argue 21. that Claimant lacks $12,500.00; neys exceeding fees not standing to assert this issue her cross- imposed by But for the limitation appeal because she has not demonstrated 52-1-54(1), NMSA WCJ would injured that she has as a result of been attorneys award Claimant’s counsel fees attorney limitation on the award of exceeding $12,500.00; argue fees. also Claimant 3. That counsel served on injury any arising has failed to from show [Appellants] counsel for an Offer of Com- such limitation. pensation days prior Order more than five matter, to the trial of this that Offer believe Claimant has standing following was for less than the amount awarded to raise this claim because 408 Supreme she Our Court in evalu trial on the merits in which dicial review. a contested or, equal protection chal ating process obtaining of death due award

was successful lenge state under the federal or constitutions compensation pro in this workers’ benefits constitutionality tradi to the of a statute has ceeding, found that reasonable the WCJ tionally applied one three standards of of of her in ob value the services of scrutiny, scrutiny review: strict intermediate taining at the trial level was the award Marrujo v. New or the rational-basis test. $12,500; statutory limitation excess Highway Transp. Dep’t, 118 Mexico State hence, the statuto under such circumstances 753, 757, 747, (1994); 751 see N.M. 887 P.2d prohibits any ry cap further Chavez, 732, 738-39, v. also Alvarez pay for fees and bars Claimant 461, (Ct.App.1994) (recogniz 886 P.2d 467-68 at any for ment additional “heightened ing rational basis” as standard torney sustaining defending fees review). applicable re standard of v. appeal. award on See Corn New Mexico specific governed by in a view case is 199, Union, N.M. Educators Fed. Credit 119 in importance nature of the individual (where (Ct.App.1994) 889 237 P.2d relationship terests asserted between precluded paying from counsel for claimant is statutorily-created classification and necessary services, legal claimant additional governmental involved. importance of the interest claims), standing has to assert constitutional ujo, P.2d Marr N.M. at denied, 889 P.2d 751; Trujillo City Albuquer v. at see also (1995); Fleming see also Pedrazza Sid 621, 627, que, 110 798 P.2d N.M. Inc., Contractor, N.M. (1990). reviewing employed for The tests (1980) (purpose Equal Protection equal protection challenges generally the are protect individuals from unrea Clause is and federal same under both New Mexico treatment). disparate sonable Carnegie Library Res law. Richardson this held that the stat Com Court taurant, Inc., 688, 693, P.2d utory limit on the award of (1988). 1153, 1158 legal of a claimant’s services value scrutiny 25. Under the strict stan legal limitation on the the absence (the scrutiny), highest level dard differen employer of an services rendered behalf only upheld tial will be treatment when discouraged representation workers question compelling statute advances guaran counsel and violated constitutional necessary legislation state and the interest protection. at tees of Id. to the See achievement of interest. Although legislature at 242-43. Richardson, 107 N.M. at provisions of amended the 1158; see also Kramer v. Union Free Sch. infirmity ad remedy the constitutional No. 395 U.S. Dist. S.Ct. Com, challenge as specific dressed L.Ed.2d present serted in the case was not raised prior this decision and constitutes Court’s *8 review, A level 26. second impression. v. Mt. matter of first See Garcia heightened that of or standard intermediate Millwork, Inc., 20-21, 17, Taylor 111 N.M. review, applies process a due chal when 87, (declining (Ct.App.1989) 801 P.2d 90-91 upon in lenge impinges important individual constitutionality of to address limitation upon imposes terests or a class of burden attorney failure to issue fees due to brief sufficiently harm persons “sensitive” asserted), 282, quashed, 110 795 cert. N.M. Richardson, at which asserted. 107 N.M. (1990). P.2d 87 693, 763 P.2d at The intermediate scrutiny heightened standard of review or LEVEL APPLICABLE OF SCRUTINY legislation implicating apply tests some that, although necessarily funda analyzing interest not mental, significance as equal protection challenge to constitu is nevertheless of such scrutiny study tionality on the to be afforded more than the of the limitation fees, applied we basis minimal amount of her counsel’s under rational or Alvarez, 738, ju- scrutiny N.M. 886 identify appropriate standard of test. 118 at first

409 See Alvarez, by 738, recently N.M. at P.2d at 467. As observed basis test. 118 886 Supreme (noting “heightened P.2d at 467 United Court in United rational- States — U.S. -, -, formally 116 basis” standard has Virginia, States v. never been 2264, adopted by 2275, Supreme un either the States S.Ct. 135 L.Ed.2d 735 United Court). standard, Supreme the New Court or Mexico heightened “[t]he der the review justification upholding an [for burden of test, 29. Under the rational-basis demanding equal protection challenge] is and proof party challeng the burden is on the entirely the State.” rests ing validity legislation “to demon challenged legislation strate that the is clear equal protection When the unreasonable, ly arbitrary just and not that it challenge does not a fun to a statute affect Richardson, possibly so.” 107 N.M. at right suspect create a classifi damental or 693, 1158; Gallegos 763 P.2d at v. Homestake cation, impinge upon important nor an indi Co., 722, 717, Mining 281, 97 N.M. 643 P.2d interest, applicable vidual standard of (Ct.App.1982). 286 review is the basis or minimal scru rational tiny test. Because we conclude that objective general 30. The un challenged legislation in the instant ease derlying compen the enactment of workers’ implicate right or does fundamental legislation sation “is to that the in ensure classification, a suspect apply create we carry dustry compensating the burden of rational basis standard review. Cole See injuries suffered workers the course Constructors, Inc., Eng’rs man v. United & employment.” Shumate Romero v. Con 47, 51, 996, 118 N.M. 878 P.2d Inc., structors, 119 N.M. 888 P.2d (holding process equal protection due or (Ct.App.1994), overruled on other challenge to statute of limitations for actions Servs., grounds by Harger v. Structural injuries resulting or un from defective (1996). Inc., 121 N.M. physical improvements safe conditions of legislative The Act is the result of a balanc property real ra properly evaluated under involving subjection ing employers test); Marrujo, tional at basis liability inju without fault for work-related (evaluating P.2d at constitu by workers, ries a limitation suffered process equal protection tional due restricting employers against other actions challenge requirement to tort claims notice exclusivity provisions under contained test). relationship under But rational see Servs., therein. Johnson Controls World Corn, at 119 N.M. at 238- P.2d Barnes, Inc. v. N.M. review, i.e., 39 (applying fourth standard of denied, (Ct.App.), “heightened rational-basis” to due test Correspondingly, 847 P.2d process protection challenge equal purpose adopting limitation of at fees limitation award of attor legal torney is to avoid excessive costs fees ney compensation proceed fees in workers’ unduly employers so as to burden Alvarez, ings); 118 N.M. at insurers, injured protect and to their (applying “heightened rational-basis” without restriction on an worker who some protection challenge standard to might have his or award of statutory provisions prohibiting state substantially legal her award reduced county being officials from bail bondsmen Co., Phillips Petroleum fees. Woodson deriving bail-bonding from benefits busi (1985); ness). Corn, 119 N.M. at 889 P.2d at see also *9 Corn, adopting leg in in appropri-

28. determine 239. As observed Because we regulating attorney in ate standard of review in the instant case is islation fees workers’ test, cases, legislature we need not address “the has a rational-basis reducing in question “heightened legitimate of ra- cost of whether interest recog- proceeding, deterring in tional-basis” continue to an administrative test should be claims, lowering or and in the cost of process nized as a fourth level of due frivolous review, disadvantaged financially for liti protection litigation or such whether Id., 208, reality at gants.” a 119 N.M. at standard is in facet of the rational- 410 monetary recovery. Lar See 4 Arthur designed to ful total enacting legislation In son, Compensation, objective, must Law the means selected Workmen’s

fill this of (Jan. 1994). 18B, legitimate Ev relationship App. B-18B-1 a rational Table bear Nevada, state, places equally persons to all with some re goals apply ery except (citing Murphy attorney v. Com class. Id. amount of fees in such striction Accidents, 415 Dep’t Indus. in missioner be recovered workers’ can of of (1993)). 218, 1149, specifi 1156 612 N.E.2d Id. A of also Mass. cases. number states of attor cally authorize an additional award constitution reviewing a When representation of ney fees for the successful statute, validity we challenge al to the of See, injured appeal. e.g., Alas worker on in favor of the indulge every presumption in (Oct. 1990); § Ark.Code ka Stat. 23.30.145 statute, not be validity of and the Act will 11-9-715(a)(3) (Michie Repl.1996); § Ann. clearly unless court declared invalid (Cum.Supp.1995); § 8-43-403 Colo.Rev.Stat. overstepped its legislature satisfied that (1995); § 656.388 S.D.Codified Or.Rev.Stat. leg authority enacting constitutional (1993 rev.); § Ann. Vt.Stat. Laws 62-7-36 Richardson, 107 N.M. at islation. (1987 Cum.Supp.1995); tit. 21 & Ann. 678 P.2d at 763 1158-60. (1994 ed.). Al § 51.52.130 Wash.Rev.Code statutory challenges 32. Constitutional authorizing though provision an additional on awards or administrative restrictions attorney necessary of reasonable and award attorney equal protection fees based appeal adopted has fees for services on been when grounds have met with little success states, legislatures of a number of jurisdic by the courts in other considered 52-1- provision of such omission Section Comm’n, v. tions. See Rhodes Industrial 54(1) Compen of the New Mexico Workers’ (1993); 139, 467, P.2d 470 125 Idaho 868 Act statute on sation does not invalidate the 219, Hilt, 541, N.E. Buckler v. 209 Ind. 200 v. Doe equal protection grounds. See Heller Servs., Inc., (1936); 567 Ayotte 221 v. United Doe, 312, 320-21, 113 rel. 509 U.S. S.Ct. ex 430, (Me.1989); Employ Burris v. A.2d 434 (1993) (under 2642-43, 125 2637, L.Ed.2d 257 Div./Dep’t & In ment Relations Labor review, will rational-basis standard of statute (1992); dus., 376, 639, 252 Mont. practice stricken because results be Bd., State, Crosby v. Workers inequality); v. M.M. in some Sanchez cf. (1981), A.D.2d 445 N.Y.S.2d Co., Constr. Sundt 680, 442 aff'd, 57 N.Y.2d N.Y.S.2d (Ct.App.1985) (merely P.2d because (1982); Texas Com N.E.2d 1191 provide every for contin legislation fails to Garcia, pensation v. 893 S.W.2d Comm’n or act unreasonable gency does not render IBM, (Tex.1995); 659 A.2d Miller v. arbitrary). 1126, 1128 (Vt.1995); Dist. No. Seattle Sch. Indus., Department Labor & examining provisions (en Wash.2d legislative establishing a banc); Virginia see also Hudock State attorney limit on the fees that amount Bar, 233 Va. 355 S.E.2d cases, awarded in workers’ has cases Each the courts above although legislation we conclude that equal protec process the due evaluated preclude may under circumstances certain involving limitations challenges tion attorney any additional award of fees compen awards fees workers’ legal when maximum appellate services under the rational-basis stan sation cases legal has services limit been attained dard of review. level, nevertheless, at the trial rendered regula- has to establish that the stat Claimant failed 33. Our review imposing cap at- on awards of tory provisions governing amount of ute existing here is torney compensa- under the circumstances fees fees authorized support no that a devoid of rational or serves cases in states indicates so tion other governmental interest as amount to majority jurisdictions limitations valid impose Richardson, restricting caprice. on a mere claimant’s *10 the chosen P.2d at Unless means percentage of the worker’s the fee award to

4H by legislature implement legisla- surance, premiums higher the to can also affect arbitrary by reducing tion is shown to be and unreason- money the available workers — able, imposed by under the limitation the for employee salaries and other benefits. In separation powers, response state constitutional premiums concerns about the may inquire insurance, courts the compensation into wisdom of workers’ leaders statutory policy or their agreed substitute views re- labor and business have various design garding compensation of workers’ modifications of New Mexico law. On the Gallegos, 97 legislation. assumption premiums N.M. at drop would if 286-87; Valdez, Eturriaga lowered, legislature P.2d see also costs were has tried (1989) to reduce maintaining acceptable costs while (courts may not their substitute view for benefit levels. policy by legisla- substantive choices made (39) Some cost reductions are achieved

ture). above, For the reasons discussed we by placing upon limits the benefits workers hold that Section survives Claim- can high receive. how No matter the work- challenge, ant’s statute does not vio- salary, compensation er’s benefits cannot ex- process guar- protection late due or average weekly wage ceed 85% the in the antees the United or States the New (Cum. § state. See 52-1-41 NMSA Mexico Constitutions. Supp.1995). disability If results from a primary impairment, mental see NMSA CONCLUSION 52~1-24(B) (definition § (Repl.Pamp.1991) “primary impairment”), affirm the mental WCJ’s worker can receive benefits for no order. 52-Hl(B). more than 100 weeks. Section IT SO IS ORDERED. The total duration benefits for other dis- weeks, ability cannot exceed 700 NMSA ALARID, J., concurs. 1978, § (Repl.Pamp.1991), 52-1-47 except for id.; concurs). 52-l-41(A), § HARTZ, disability, total (specially which in- J. only permanent cludes “the and total loss or HARTZ, Judge (specially concurring.) loss of use of or both hands both arms or join I legs eyes concur the result and both or feet both or both majority 52-l-25(A) portion opinion affirming § two of them.” NMSA decision below as each (Repl.Pamp.1991). of the issues raised Workers receive no addi- Appellants’ appeal. separately I pain suffering. write tional benefits for explain my rejecting short, reasons for the constitu- the worker receive far less than challenge to tional the fee restriction. would in tort be recoverable action.

(38) First, because attempts Claimant contends The Act to achieve addi- (not rights by that it is the savings reducing workers attor- tional cost the transac- neys) by assessing that are violated the limitation on tional costs what benefits are fees, attorney’s devoting provisions, it worth a mo- due a is worker. Some such as the put requirement this limitation ment context of of informal conferences to re- by placed disputes, 1978, § other limitations workers solve see NMSA 52-5-5 (Cum.Supp.1995), Act. The Act cre- should have no effect on injured system ates an insurance recovery by for workers the amount of obtained however, scope Others, employment. the course their worker. could affect the typical privately acquired ability As insur- For example, recover benefits. ance, partial disability benefits are not unlimited. The is determined a formula objective reason for the limit on benefits the same uses criteria: im- worker’s (based why pairment people as the reason most do obtain American Medical Asso- 52-l-24(A)), § coverage guidelines, the maximum amount of insurance ciation modified possible money. Although points deriving age, costs from the worker’s edu- —insurance worker, employer, cation, pays physical than capacity. rather See NMSA 52-1-26(0 premiums in- (Repl.Pamp.1991). There *11 special is to constitutional certainly computa- this assistance entitled cases in which

will be protection. But there is no evidence in before significantly understates the reduction tion attorney’s in us the limitation on that work —the former capacity the worker’s to Compensation deprives any benefits, Act the Workers’ disability to see used set measure of (effective 1991). of access to the courts. Because workers Of § until Jan. 52-1-26 her to Act challenge Claimant bases the effect, are greater practical workers perhaps protection, I alleged equal devel- an denial potentially in use of favorable restricted their analysis op my in context. 1978, Sec- expert Under NMSA witnesses. 52-l-51(C) only (Repl.Pamp.1991) the tion (43) protection clauses of the testify con- providers who health care Mexico Constitutions United States and New (1) cerning injury who have the are those require us to determine whether statute the under the Act to treat authorized been classes, improperly persons into two divides (2) by the one selected worker favorably treating one class more than the compensation judge an official list of from Typically, identi other. the two classes are providers to conduct health care authorized example, question. fied in the statute in For examinations, § 52- independent see medical in Educators Federal Corn New Mexico 1-51(B). (It apparent how is not me Union, Credit expert in this case witnesses denied, 168, 889 either (Ct.App.1994), cert. but, statutory requirement, as satisfied (1995), P.2d 203 we held that majority opinion, that issue explained improperly Act discriminated preserved appeal.) for was not review respect employers between workers and paid attorney’s to what fees. The could be (41) from limita- savings Further derive employers are, and two classes—workers — paid to assist tions on what can be those who course, throughout Act. distinguished injured payments No whatsoever workers. (44) case, however, present In longer permitted any reha- are vocational attorney’s statutory provision fees does § See NMSA 52-1- services. bilitation (effective explicitly not name classes are be (Repl.Pamp.1991) until Jan. employers All 1991). distinguished. workers fees are set for health care Maximum $12,500 subject are to the same limitation of (Cum.Supp. § providers, 52-4-5 NMSA 52-1-54(1). attorney’s fees. See Nev- 1995), witnesses, 1978, § expert NMSA 52- ertheless, is Claimant contends that there an 5-4(C) attorneys, (Repl.Pamp.1991), and implicit classification. The classification is 1978, § (Cum.Supp.1995). NMSA upon or not the worker is based whether employer (Ordinarily, each the worker injured attorney’s statutory limit on attorney’s fee. pay one half of the worker’s (1) words, are fees. In other the two classes 52-l-54(J).) (2) injured by statutory those limit and (42) speculate regarding which could One Or, injured by not the limit. those the most harm to statutory limitations cause (1) in- precise, more the classes are those practical as a matter. Given workers jured specific way limit choice, prefer an increase would workers (2) injured by limit. those so benefits, from opportunity to receive care (45) us, clarify To the issue before is doctors, opportunity or the higher-paid important identify specific type first to attorneys? for their If the limita- pay more injury distinguish at issue. One must be- unconstitutional, attorney’s tion on fees is (1) obtaining tween interest the worker’s all the limitations are constitution- then other possible legal representation with the best (1) the ally suspect, unless service of respect to a claim and worker’s extent, is, at least some constitu- (2) obtaining ade- the worker’s interest tionally restricting earn- special and begin by I quate legal representation. dis- ings attorneys special harms that service. cussing the first interest. met, my view, first condition but would, aside, any litigant one. To the extent that the assis- Cost the second course, possible necessary at- for the want to obtain best tance of an courts, every torney devote to the have worker obtain access

413 possibly malpractice cases); bit of time and resources that could medical v. Johnson St. litigant achieving in assist the the most fa- 374, Hosp., 585, Vincent 273 Ind. 404 N.E.2d Undoubtedly, cap vorable result. on attor- (1980) (same); Crosby 602-03 v. State Work ney’s injures Gerry fees interest. Bd., 810, Compensation ers’ 85 A.D.2d 445 Spence unlikely is to if take a ease the maxi- (1981) (restrictions 634 N.Y.S.2d on attor $12,500. mum fee is Even the skilled attor- ney’s cases), in compensation fees workers’ neys, attorney, such as Claimant’s who take 305, aff'd, 680, 57 N.Y.2d 456 N.Y.S.2d 442 unlikely many cases to these are devote (1982); Cox, N.E.2d 1191 v. Newton 878 computer legal hours to research. 105, (Tenn.) S.W.2d (percentage 109-10 limi (47) having But the interest in the best contingency tations on in fees medical mal possible legal representation is entitled to practice cases), denied, 869, 513 U.S. little, very any, protection. if constitutional 189, 130 (1994); 115 S.Ct. L.Ed.2d 122 Texas protects The constitution no more a worker’s Garcia, v. Comm’n in possible legal representa interest the best (Tex.1995) 504, 893 (percentage S.W.2d 533 protects tion it than the worker’s interest in on contingency limitation in fees workers’ possible expert best medical care or wit cases); compensation Dep’t United States cf. Even those capital nesses. accused of of 715, Triplett, Labor v. 494 110 S.Ct. U.S. constitutionally are fenses not entitled 1428, (1990) 701 (regulation 108 L.Ed.2d Otherwise, possible best representation. we attorney’s lung fees in black cases does not justify providing every would need to process); violate due v. Coleman United Simpson defendant with the O. Dream J. Constructors, Eng’rs & Recognition right Team. of a to the best (1994) 996, (equal-protection chal possible representation require raising would lenge procedural recovery on limitation pay public to that of senior defenders test); reviewed under rational-basis Miller v. partners major in firms slashing law IBM, (Vt.1995) (upholding cap 659 A.2d 1126 their caseloads at the same It time. would per attorney’s hour for in work $35 fees require paying attorneys, contract when the cases); compensation ers’ Ann. tit. Del.Code conflict, public higher defender has a at much ($2250 § (Repl.1995) cap on attor Likewise, present. rates than at fees for cases); ney’s in compensation fees workers’ guardians ad litem would need be in (Baldwin 1994) Ky.Rev.Stat.Ann. § 342.320 10-113(E). creased. See NMRA The ($15,000 cap attorney’s in fees workers’ obtaining in possible legal interest the best cases); Minn.Stat.Ann. sufficiently uncompelling counsel is a one (West 1996) ($13,000 pocket part 176.081 simple public that it can be overcome cap attorney’s compensa fees workers’ Thus, reducing equal-pro interest costs. cases); (1995) tion Utah 568-1-7 Admin.R. objections to attorney’s tection limitations on ($2500 cap attorney’s success; fees have met with little all that has eases). required v. been is that But Carson the limitation be ration cf. Maurer, Group, al. See Roa v. Lodi Medical N.H. 424 A.2d 838-39 77, 83-86, Cal.Rptr. Cal.3d 164, 170-72 (percentage limitations on contin (48) representa in adequate interest cases), gency malpractice ap fees medical significant tion is more A interest. statute dismissed,

peal 474 U.S. 106 S.Ct. deprives ability someone to obtain (1985); Khoury 88 L.Ed.2d 352 v. Carvel could, litigation adequate representation in South, (Fla.Dist.Ct. Homes So.2d 1043 sense, very deprive person real of a App.1981) (percentage limitations on contin right v. of access to the courts. See Walters gency eases), fees in worker’s Survivors, National Assoc. Radiation denied, (Fla.1982); review So.2d 467 305, 334-35, 3180, 3196-97, U.S. 105 S.Ct. Comm’n, Rhodes Industrial 125 Idaho (1985); Triplett, L.Ed.2d 220 (1993) U.S. (same); 470-71 Bernier 721-26, Burris, Consequently, 110 S.Ct. at 1432-35. 113 Ill.2d 100 Ill.Dec. operates deny repre if adequate a statute (per 497 N.E.2d 777-79 centage contingency particular persons, limitations on fees in to a sentation class subjected they benefits have to a do obtain increased well been class worker, if surprising not be those equal protection. would that violates

discrimination willing attorneys accept the risk same are do, however, fads to Claimant What cap will result their time that the identify are a class workers who *13 being compensated at less than on a case representation of adequate because denied least, ordinary At there is rates. the their attorney’s statutory cap on fees. Her the is presume no us that there a reason for to statutory that the appeal brief on contends compensation of cases for class workers’ complex and con- cap “treats workers adequate repre- which workers cannot obtain differently workers whose claims from tested class, In the of such a sentation. absence relatively simple or whose claims claims are argument equal-protection must Yet, no presents she evi- can be settled.” course, such a fail. Of if the existence of complex, contested that workers with dence be at an class of cases could demonstrated workers) (or even a subclass of such claims hearing, equal-protection the evidentiary adequate representation, are unable to obtain reexamined. claim would need to be persuasive argument a nor does she make (51) to above discussion relates the why question so. The is The that should be ease cap representation of the worker the as statutory result of the there whether as a however, argue, a that the which no whole. One could are workers’ cases impact representation attorney regard, cap particular has a on this qualified will take. may appear a will recognize cap appeal. the on It that worker important it is that representation appeal attorney only inadequate on an to refuse a case receive would cause already attorney if has attorney tell the that it the been awarded the if the could at outset statutory require maximum fee for work before the likely more work than could be would Compensation compensated cap. under the Workers’ Administration. adequately attorney agrees represent a Once an only if But this concern is valid the client, knowing cap that the statute sets a on obligation pro- attorney violates the ethical attorney charged, can the fee that the adequate representation the client with vide diligent client efforts and cannot owes the stated, appeal. already attorney As an representation on the withdraw from the case with no- takes workers’ ground required the turned out to that work statutory cap the that there is a fee tice anticipated. was Claimant has exceed what accepts the could risk at shown that there exist cases that the attorney’s customary hourly be below clearly as complex are so to cause all outset required if work rate substantial additional is attorneys reject qualified them. appeal. at trial level or on either merely sure, possibility appellate which duties is one To be there are cases for compen contingencies attorney an attorney, several the efforts of worker’s hourly rates, deciding into justify at would a must take consideration sated normal Moreover, represent a greater cap. The whether to worker. fee than has a financial self-interest compensation judge found this to be often likely appeal. appellee, If is (although that much of in the the worker such case of the award time of Claimant’s related to unsuccessful defense attor- testimony by expert apparent could result reduction witnesses who worker testify ney’s appeal fee If the is on ly under the on remand. were not authorized to worker, Act, Compensation the worker’s see 52-1- behalf 51(C)). only may larger obtain a fee as a result But we know of such cases Thus, again, is no hindsight. According appeal. relied there reason to statistics Corn, presume, is no evidence to estab- this reasonable and there upon Court lish, statutory cap attorney’s statutory cap prevents that the class fee exceeds the Corn, adequate repre- obtaining from only one out of 500 cases. See workers claims, sentation for their either at level 889 P.2d at Given that attorneys Administra- representing workers take the risk of Workers’ receive, appeal. if tion or they will no fee whatsoever (53) Finally, I to empha- policy add few words under banner constitutional principles. proposition many size a that too over- To affirm constitutionality

look. of a approve policy grounds. statute not to it on Unfortunately, fortunately, judges are not legislature.

ex officio members should refrain imposing from our views of

Case Details

Case Name: Mieras v. Dyncorp
Court Name: New Mexico Court of Appeals
Date Published: Aug 16, 1996
Citation: 925 P.2d 518
Docket Number: 16572, 16376
Court Abbreviation: N.M. Ct. App.
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