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Taylor v. State3/28/2002
ble attorney fees for the prosecution and collection of such claims.
In Parfait, 97-2104 at 16-17, 733 So.2d at 24, this court discussed when an award of penalties and attorney fees was warranted:
Penalties are not to be assessed when the employee's right to such benefits has been reasonably controverted by the employer or insurer. A claim is reasonably controverted if the employer or insurer had sufficient factual and medical information to reasonably counter the factual and medical information presented by the claimant. An employee has the burden of proving his entitlement to statutory penalties.
An award of attorney fees is appropriate when the employer and/or insurer has acted arbitrarily, capriciously, or without probable cause in failing to pay workers' compensation benefits. The applicable statute requires a finding that the defendant acted arbitrarily, capriciously, or without probable cause before attorney fees can be assessed. A refusal to pay compensation will not be held to be arbitrary or capricious when this decision is based on competent medical advice. A determination of whether a denial of compensation benefits is arbitrary, capricious, or without probable cause depends primarily on the facts existing and known at the time that benefits are denied. The realistic standard for making this determination is whether there was a "reasonable" basis for a dispute as to the employee's entitlement to benefits.
These statutes allowing recovery of attorney fees and penalties are penal in nature and must be strictly construed. Whether the refusal to pay or the discontinuation of benefits warrants the imposition of penalties and attorney fees is a factual question which will not be disturbed upon review in the absence of manifest error. (Citations omitted.)
We have thoroughly reviewed the record and the evidence in this case and conclude that the State's failure to pay medical bills was not arbitrary, capricious, or unreasonable in light of the medical evidence that was present. Thus, Taylor was not entitled to penalties and attorney fees pursuant to La. R.S. 23:1201(F) and 23:1201.2.
For the above and foregoing reasons, the judgment of the WCJ is affirmed. Costs of this appeal in the amount of $345.16 are to be paid equally by plaintiff and defendant.
AFFIRMED.
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