STATE of Wisconsin (Work Injury Supplemental Benefit Fund), Plaintiff-Appellant, v. DEPARTMENT OF INDUSTRY, LABOR & HUMAN RELATIONS and McKinley Cowden, Defendants-Respondents.
No. 80-917
Supreme Court of Wisconsin
April 29, 1981
Motion for reconsideration denied, without costs, on June 23, 1981.
102 Wis. 2d 1 | 304 N.W.2d 758
For the respondent Department of Industry, Labor and Human Relations, there was a brief and oral argument by Floyd F. Tefft, of Madison.
For the respondent McKinley Cowden there was a brief by Herbert S. Bratt and Zubrensky, Padden, Graf & Bratt, and oral argument by Philip L. Padden, all of Milwaukee.
We conclude that the department was so authorized and affirm the judgment of the circuit court.
McKinley Cowden (claimant) worked as a pipefitter for Rexnord, Inc., from 1941 until his retirement in 1966. On October 26, 1978, Mr. Cowden filed an application, which was served on November 3, 1978, to receive benefits pursuant to
The claimant and the state, representing the supplemental fund, stipulated that the claim against his former employer, Rexnord, for worker‘s compensation benefits expired in 1972. He pursued his claim to recover payments from the supplemental fund pursuant to
The claimant and the state submitted the matter to the department on a written stipulation of facts.5
On April 26, 1979, the department‘s hearing examiner issued an order dismissing claimant‘s application against Rexnord on the basis that his claim against the employer was barred by the statute of limitations and against the state on the ground that the department lacked jurisdiction because:
Sec. 102.66(1), Stats. 1975 , was not in effect at the time of the claimant‘s injury; andSec. 102.66(1), Stats. 1975 , was not made retroactive in its application.
On May 3, 1979, the claimant petitioned the department for review of the hearing examiner‘s order pursuant to
“. . . that it was the intention of the legislature to direct payment of claims, such as that of this applicant by the State of Wisconsin from the Work Injury Supplemental Benefit Fund to all workers within the class described in Section 102.66(1), Stats., (1975) as of December 30, 1975, whose claims for occupational disease would otherwise be uncompensated.”
On September 19, 1979, the state of Wisconsin, representing the supplemental fund, commenced this action against the department and the claimant (defendants) to set aside the commission‘s findings and order.
On March 19, 1980, the circuit court filed a memorandum decision affirming the commission‘s order, stating in part:
“We conclude that secs. 102.17(4) and 102.66(1), Stats. 1975, enunciated the meritorious policy of this state that workers who have suffered, and can prove, work-inflicted occupational diseases shall be compensated from the state fund, regardless of when that injury was incurred.”
Judgment was entered on April 12, 1980, affirming the commission‘s order directing payment from the supplemental fund to claimant in the amount of $2,375.44.
The state of Wisconsin on behalf of the supplemental fund filed a notice of appeal from the judgment in the circuit court on May 15, 1980. This court granted the state‘s petition to bypass the court of appeals on October 17, 1980.
As a result of the stipulation of facts, only a question of law remained for commission determination which is not binding on the court and is reviewable by the circuit court and by this court on appeal. Larson v. ILHR Department, 76 Wis.2d 595, 602, 252 N.W.2d 33 (1977).
“. . . does defer to some extent to the legal construction and application of a statute by the agency charged with enforcement of that statute . . . [and] will not reverse a determination made by the enforcing agency where such interpretation is one among several reasonable interpretations that can be made, equally consistent with the purpose of the statute.” Larson, supra, 76 Wis. 2d at 603. (Quoting De Leeuw v. ILHR Dept., 71 Wis.2d 446, 449, 238 N.W.2d 706 (1976).)
The question is whether the commission has the authority to award the payment of $2,375.44 from the state fund pursuant to
The state contends that claimant‘s claim expired in 1972 under
The claimant contends that
“In the event . . . , the department may in lieu of worker‘s compensation benefits direct payment from the work injury supplemental benefit fund under sec. 102.65 . . . .” (Emphasis added.)
We conclude that
Construction here involves two separate but related statutes.
“. . . in the event that there is an otherwise meritorious claim for occupational disease barred solely by the statute of limitations under sec. 102.17(4). . . .”
Both statutes were created by ch. 147, Laws of 1975, and both were made effective on the same date, December 30, 1975. Where statutes of such direct and immediate linkage are passed under identical circumstances, they must be considered in pari materia and harmonized if possible. State v. Wachsmuth, 73 Wis.2d 318, 325, 243 N.W.2d 410 (1976).
Construed together, the language found within
The old version of
“In the event that there is an otherwise meritorious claim for occupational disease barred solely by the statute of limitations under s. 102.17(4), the department may in lieu of worker‘s compensation benefits direct payment . . . .”
Because amended
A prospective application of
In addition, the rule of prospective application ordinarily does not apply to remedial statutes. In Steffen v. Little, 2 Wis.2d 350, 357-358, 86 N.W.2d 622 (1957), this court stated that the doctrine of prospective application of statutes:
“. . . is not understood to apply to remedial statutes, which may be of a retrospective nature, provided that they do not impair contracts or disturb absolute vested
rights, and only go to confirm rights already existing and in furtherance of the remedy, by curing defects and adding to the means of enforcing existing obligations.‘” Cited with approval in Mosing v. Hagen, 33 Wis.2d 636, 641, 148 N.W.2d 93 (1967).
The Worker‘s Compensation Act is a remedial statute. Jaeger Baking Co. v. Kretschmann, 96 Wis.2d 590, 602, 292 N.W.2d 622 (1980). The purpose of
The state contends that
By contrast,
Even if this court did accept the state‘s argument that
It is argued in dissent, that
In those circumstances, the new statute of limitations applies to actions accruing after its effect and the repealed act remains in force as a limitation on actions where it has already commenced to run.
The dissenting opinion states that its writer “can see no difference between repealing a limitation period entirely and substituting a different period.” That distinction is no more elusive than any difference between
It is widely known that occupational diseases, unlike worker injuries, may produce symptoms only after a long period of time. Rather than attempt to establish a limitation on actions appropriate to each occupational disease, the legislature chose to ensure that workers who develop work-induced disease should receive compensation, no matter how distant in time the disease develops after its occupational cause.
We hold, therefore, that
By the Court.—Judgment affirmed.
WILLIAM G. CALLOW, J. (concurring). I concur in the majority opinion because I conclude that the legislature, in creating
It is important to recognize, however, that the employers themselves cannot be assessed for additional fi-
COFFEY, J. (dissenting). The majority holds that
“A prospective application of
sec. 102.66(1), Stats. , would render its language relating to the barred claims undersec. 102.17(4) meaningless since the event which triggers the department‘s payment of funds, a barred claim for occupational disease, can not occur undersec. 102.17(4), Stats. 1975 . The department, therefore, would be forever precluded from directing payment to any claimant undersec. 102.66(1), Stats. 1975 .” Supra, at 404.
“In any case when a limitation or period of time prescribed in any act which is hereby repealed for the acquiring of any right or the barring of any remedy or for any other purpose shall have begun to run and a limitation or period of time for such purpose shall be prescribed in these revised statutes, the limitation or period prescribed by these statutes shall be held to apply only to such rights or remedies as shall accrue subsequently to the time when the same shall take effect; and the act repealed shall be held to continue in force and operative to determine all such limitations and periods of time, which shall have previously begun to run, unless in special cases in these revised statutes a different rule shall be prescribed.”
A similar provision is contained in
The majority rejects the state‘s argument that only those claims where the period of limitation expired after the effective date of the 1975 act are included within
“[T]he legislature could have included express provisions within the statute, specifying such a limited retroactive application, if that had been its intent.” Supra at 405.
There was no need for the legislature to include any express provisions. The legislature was entitled to rely on
The majority also holds that the Worker‘s Compensation Act is a remedial statute, and therefore the rule of prospective application does not apply.
The claim of McKinley Cowden is based upon a set of operative facts constituting a cause of action which was barred by the running of the six-year period provided by the former
In light of this court‘s decision in Haase v. Sawicki, 20 Wis.2d 308, 121 N.W.2d 876 (1963), I am unable to conclude that the result obtained by the majority or the reasoning of the concurring opinion is in accord with the due process clause of either the state or federal constitutions.
McKinley Cowden‘s claim against his employer accrued in 1966. The parties agree that under then existing law, his claim was extinguished in 1972 with the running of the applicable statute of limitations. The constitutional question presented by this controversy is whether the subsequent enactment of
As noted, it is well established in Wisconsin that the expiration of the limitations period absolutely extinguishes a claimant‘s right and remedy. Maryland Casualty Co. v. Beleznay, 245 Wis. 390, 393, 14 N.W.2d 177 (1944). Once a statute of limitations has run, the legislature is without authority to revive the barred claim. See: e.g., Estate of Peterson, 66 Wis.2d 535, 225 N.W.2d 644 (1975); Heifetz v. Johnson, 61 Wis.2d 111, 115, 211 N.W.2d 834 (1973); Haase v. Sawicki, supra.
In Haase v. Sawicki, supra, the court considered the validity of an attempt to retroactively change the statute of limitations applicable to claims for wrongful death. By virtue of legislation effective in 1962, the legislature sought to alter the limitations period for all claims arising on or after July 1, 1955. Id. at 310. The plaintiff commenced an action in 1962 which, but for the statutory amendment, would have been barred some time in 1961.
“The legislature may not constitutionally enact retrospective laws creating new obligations with respect to past transactions. [Citations omitted.] If a statute of limitations extinguishes the right as well as the remedy, then a statute which attempts to reinstate a cause of action that has been barred is constitutionally objectionable under the foregoing rule. This is because the statute seeks to impose a new duty or obligation even though none existed when the retrospective statute was enacted.” Id. at 312.
As construed by the majority,
For these reasons, I would reverse the judgment of the trial court.
I am authorized to state that Mr. Chief Justice BRUCE F. BEILFUSS and Mr. Justice DONALD W. STEINMETZ join in this dissent.
Notes
“102.65. Work injury supplemental benefit fund (1). The moneys payable to the state treasury under ss. 102.49 and 102.59, together with all accrued interest, shall constitute a fund to be known as the ‘Work Injury Supplemental Benefit Fund.’
“(2) For proper administration of the moneys available in the fund the department shall by order, set aside in the state treasury suitable reserves to carry to maturity the liability for benefits under ss. 102.44, 102.49, 102.59 and 102.66. Such moneys shall be invested by the investment board in securities authorized in s. 206.34.
“(3) If the balance in the fund on any June 30 exceeds 3 times the amount paid out of such fund during the fiscal year ending on such date, the department shall by order direct an appropriate proportional reduction of the payments into such fund under ss. 102.49 and 102.59 so that the balance in the fund will remain at 3 times the payments made in the preceding fiscal year.”
“That applicant‘s right to recover worker‘s compensation from respondent and its insurer was time barred by operation of Section 102.17(4), Stats. 1965, when his application for payment under Section 102.55 [sic], Stats., was filed on November 3, 1978; that applicant‘s claim for payment based on occupational hearing loss is a claim for payment based on occupational disease; that said claim is otherwise meritorious; that Section 102.66(1), Stats. 1975, provides for direct payment from the Work Injury Supplemental Benefit Fund in lieu of worker‘s compensation benefits for such claims of such compensation and medical expenses as would otherwise be due, based on the date of injury to or on behalf of the injured employe; that applicant is entitled to such payment in the sum of $2,375.44.”
