 |
 |
to fill out a simple form to connect to Personal Injury Lawyers in your area.
|
|
|
|
|
Gordon v. WCAC Henry Ford Health System11/18/2003
UNPUBLISHED
This case is remanded to us from the Supreme Court on leave granted, Gordon v Henry Ford Health Sys , 467 Mich 889; 654 NW2d 326 (2002). Plaintiff Jeannette Gordon appeals a decision of the Worker's Compensation Appellate Commission (WCAC) to the extent it reversed the magistrate's decision denying defendant Henry Ford Health System's petition to recoup wage loss benefits. We affirm.
The issue before this Court is whether the profits plaintiff received as the owner/operator of two group homes can be set off from her wage loss benefits for a previous work-related injury with defendant. Because plaintiff actively participates in the operation of her business, we agree with the WCAC that MCL 418.371(1) entitles defendant to credit for the portion of plaintiff's profits stemming from her efforts.
I. Facts and Procedural History
Plaintiff began receiving wage loss benefits from defendant in June 1992. In September 1998, defendant petitioned to stop these benefits and recoup benefits overpaid, given plaintiff's earnings as the owner/operator of two group homes. Plaintiff established these homes after her work-related injury with defendant. She explained that her operating license requires her to actively participate in the operation of the homes. To this end, plaintiff visits the homes frequently to ensure that the staff is treating residents properly and to address any complaints. Plaintiff also hires and fires the group home employees, sets staff wages, and exercises control over the employees. On occasion, plaintiff will transport patients and deliver supplies and food to the homes. Plaintiff receives profits each year from these homes.
Defendant argued that plaintiff's income from the group home enterprise constitutes earned income and that it should be permitted to prorate plaintiff's yearly income to a weekly basis and set it off against weekly wage benefits, pursuant to subsection 371(1). This provision of the Worker's Disability Compensation Act (WDCA) provides:
The weekly loss in wages referred to in this act shall consist of the percentage of the average weekly earnings of the injured employee computed according to this section as fairly represents the proportionate extent of the impairment of the employee's earning capacity in the employments covered by this act in which the employee was working at the time of the personal injury . The weekly loss in wages shall be fixed as of the time of the personal injury , and determined considering the nature and extent of the personal injury. The compensation payable, when added to the employee's wage earning capacity after the personal injury in the same or other employments, shall not exceed the employee's average weekly earnings at the time of the injury.
Noting that subsection 371(1) refers to post-injury wage-earning capacity and that defendant failed to claim that plaintiff's "post-injury income established a post-injury wageearning capacity or that the income affected the existence of plaintiff's disability," the magistrate concluded that the provision does not apply in this case. He further found that plaintiff's income from her group homes does not represent wages, but rather investment or ownership income. Thus, he concluded that defendant may not setoff plaintiff's group home income against her weekly wage loss benefits and denied defendant's petition to recoup.
Defendant appealed to the WCAC, which reversed this decision. While the WCAC found the magistrate's factual findings supported by competent, material, and substantial evidence on the record, it found that he erred in analyzing whether plaintiff's earnings can be set off against benefits
Page 1 2 3 4 Michigan Personal Injury Attorneys
Personal Injury Lawyers
|
| |
to fill out a simple form to connect to Personal Injury Lawyers in your area.
|
|