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D.C. Municipal Regulations (Last Updated: September 13, 2017) |
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Title 7. EMPLOYMENT BENEFITS |
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Chapter 7-1. [DELETED] |
Section 7-143. SUBROGATION AND ADJUSTMENT AFTER RECOVERY FROM THIRD PARTY
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143.1If the Program determines that an injury or death for which indemnity compensation is payable under this chapter is caused under circumstances creating a legal liability on the part of a third party to pay the District or the employee damages, the Program may:
(a) Require the claimant to assign to the District of Columbia government any right of action he or she may have to enforce the liability;
(b) Require the claimant to assign to the District of Columbia any right that he or she may have to share in money or other property received in satisfaction of that liability; or
(c) Require the claimant to prosecute the action in his or her own name.
143.2If the Program identifies one of the circumstances enumerated in § 143.1 or § 143.6, it shall notify the claimant in writing of the District’s right to compensation, as well as the claimant’s obligations under this section.
143.3 The Program may refer to the OAG for civil prosecution a cause of action assigned to the District of Columbia government under paragraph 143.1(a).
143.4If the Program recovers on a cause of action prosecuted pursuant to § 143.3, it shall deduct from the settlement or judgment the total amount of compensation already paid to the claimant in workers’ compensation benefits, as well as the total amount of the expenses of the civil prosecution. The deducted amount shall be deposited into the Employees’ Compensation Fund. The claimant is entitled to not less than one-fifth (1/5) of the net amount of a settlement or recovery remaining after expenses have been deducted.
143.5If there are any funds remaining after the deductions and payments made pursuant to § 143.4, the Program shall deposit the remaining funds into the Employees’ Compensation Fund and the funds shall be used to pay the claimant future compensation payable for the same injury.
143.6If a claimant prosecutes a third party for an injury or death for which compensation is payable under this chapter and recovers money or other property in satisfaction of the third party’s liability, the claimant, after deducting the costs of the prosecution, reasonable attorneys’ fees, and one-fifth (1/5) of the net amount of money or property remaining after payment of expenses and attorneys’ fees, shall pay to the Program the amount of compensation already paid by the Program to the claimant under this chapter. The payment shall be credited to the Employees’ Compensation Fund. If there are any funds remaining after the claimant’s payment to the Program, the remaining sum shall be a credit for the same amount of future payments of compensation by the Program that the claimant is eligible for, for the same injury. The Program shall not pay the claimant the number of future payments that totals the amount of the credit.
143.7No court, insurer, attorney, or other person shall pay or distribute to the claimant or his or her designee the proceeds of such suit or settlement without first satisfying or assuring satisfaction of the interest of the District of Columbia government pursuant to § 143.6.
143.8If a claimant refuses to assign or prosecute an action in his or her own name when required to do so by the Program pursuant to § 143.1, the Program may suspend or terminate the claimant’s indemnity compensation, pursuant to § 127 of this chapter.
143.9If a claimant refuses to pay the Program the payment owed pursuant to § 143.6, the Program may withhold the amount due from the claimant’s indemnity compensation payments.
143.10If a claimant returns to work and is then required to appear as a party or witness in the prosecution of an action under this section, the claimant shall be considered to be in an active duty status while so engaged.