Defense Base Act Lawyers discuss compensation and settlement in a DBA case

Our qualified Defense Base Act Lawyers are here to help you with any questions you have regarding your  DBA case.  Here are some very interesting facts and case summaries regarding compensation and settlement in a DBA or Longshore case coming directly from the Longshore Deskbook from the Benefits Review Board.  Let our experienced Defense Base Act Attorneys answer your questions.  The Longshore Desk Book is a searchable website which is a public record. According to the Longshore Deskbook:
Section 15(a) prohibits agreements by an employee with employer or carrier to contribute towards an insurance policy or fund, the proceeds from which would provide compensation or medical benefits under the Act.
Section 15(b) provides that any agreement by an employee to waive his right to compensation under the Act is invalid. Section 15(b) is complemented by Section 16, which states that no assignment, release or commutation of compensation shall be valid, except as provided by this Act. Section 8(i) permits the settlement of claims upon approval by the deputy commissioner/district director or administrative law judge.
Thus, the sole exception to Section 15(b) is a settlement agreement approved under Section 8(i) of the Act. Absent an approved settlement under Section 8(i), a claimant may not withdraw a claim in exchange for a sum of money; under the regulation governing withdrawal of a claim, 20 C.F.R. §702.225, the withdrawal must be for a “proper purpose” and receipt of a sum of money in exchange for a withdrawal would violate Section 15(b). See Gutierrez v. Metropolitan Stevedore Co., 18 BRBS 62 (1986); Rodman v. Bethlehem Steel Corp., 16 BRBS 123 (1984); Graham v. Ingalls Shipyard/Litton Systems, Inc., 9 BRBS 155 (1978). See Section 8(i).
Referring to Section 15(b), the Board rejected the argument that retirement benefits from a fund set up by a contract between employer and claimant’s union and entirely funded by employer should be considered in determining claimant’s loss of earning capacity. The Board rejected the argument that receiving compensation under the Act and retirement benefits amounts to a double recovery, stating that making compensation benefits depend on a contract of which claimant was a third party beneficiary would, in effect, force claimant to waive his right to compensation. Adkins v. Safeway Stores, Inc., 6 BRBS 513 (1977).
Any stipulation constituting an agreement to waive the right to additional compensation under Section 14 of the Act—for example, stipulating that a timely notice of controversion was filed under Section 14(d) when in fact there was no clear indication such notice was filed—is invalid under Section 15(b). McNeil v. Prolerized New England Co., 11 BRBS 576 (1979), aff’d sub nom. Prolerized New England Co. v. Benefits Review Board, 637 F.2d 302, 12 BRBS 809 (1st Cir. 1980); Harris v. Marine Terminals Corp., 8 BRBS 712 (1978); Moore v. Newport News Shipbuilding & Dry Dock Co., 7 BRBS 1024 (1978).
Section 15(b), however, does not prohibit a voluntary stipulation as to average weekly wage where the average weekly wage stipulated to is based on a reasonable method of computation pursuant to the Act and no inconsistency with the Act has been shown. Fox v. Melville Shoe Corp., Inc., 17 BRBS 71 (1985).
Additionally, Section 15(b) prohibits an employer from conditioning its approval of a third party settlement under Section 33(g) on the claimant’s agreeing to waive his right to compensation under the Act. Rodriguez v. California Stevedore & Ballast Co., 16 BRBS 371 (1984).
If you are a contractor who has been injured on the job while working overseas in Iraq, Afghanistan or on any military base across the world, your case is covered by the Defense Base Act which is an extension of the Longshore and Harbor Workers’ Compensation Act. At the Law Offices of Gillis, Mermell & Pacheco, P.A., our qualified defense base act lawyers have a combination of over 43 years of experience in representing injured workers covered by the Defense Base Act and the Longshore and Harbor Workers’ Compensation Act. Let us put our years of experience and our reputation to work for you today! Contact us today at mail@gmpcomplaw.com, or go on our website at www.dbalawyers.com and fill out our form on the contact us page, or call us at 305 595 3350.
If you have a question about compensation and settlement or any other question in your DBA or Longshore case, contact our qualified defense base act attorneys today at mail@gmpcomplaw.com, or go on our website at www.dbalawyers.com and fill out our form on the contact us page, or call us at 305 595 3350.

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