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SMITH v. S.C. DEPT. OF MENTAL HEALTH

11/24/1997

fter the 1992 injury. There is some dispute as to whether there is a position for Smith at DMH that he is qualified to perform, given his medical restrictions and physical limitations.


At a hearing held in March 1993, DMH sought to terminate its payment to Smith of temporary partial disability benefits on the ground that Smith had reached maximum medical improvement. Smith argued that DMH was not entitled to stop payment of his benefits because it had not shown that a suitable job was available for Smith. He also argued that he had not reached maximum medical improvement, or, alternatively, that in light of his work history and his mental and physical limitations, his
On August 19, 1993, the single commissioner issued an order finding that Smith had reached maximum medial improvement and that DMH was entitled to stop payment of Smith's temporary partial disability payments. The single commissioner determined that Smith had suffered a 35% permanent disability to his back. Smith appealed to the full Workers' Compensation Commission. The Commission reduced the percentage of disability to Smith's back from 35% to 12%, but otherwise affirmed the findings of the single commissioner. The circuit court affirmed the Commission's order.
II.


On appeal, Smith argues that DMH should not have been allowed to proceed on its stop-payment application because DMH had not complied with the statutory and regulatory requirements of the Workers' Compensation Act (the Act). We disagree.


In accordance with the mandate of S.C. Code Ann. ยง 42-9-260, regulations 67-504 and 67-507 set forth the procedure for suspending or terminating workers' compensation benefits. Regulation 67-504 provides, in part:


    A. An employer's representative shall neither
  reduce, suspend, nor terminate temporary total or
  temporary partial compensation benefits except as
  provided in this regulation or R. 67-507.

    B. Disability is presumed to continue until the
  employee is able to return to work without
  restriction for fifteen calendar days or fifteen
  calendar days from the date the claimant agrees he or
  she was able to return to work.

    C. When the claimant reaches maximum medical
  improvement and the authorized health care provider
  reports the claimant is able to return to work
  without restriction to the same  job  or other suitable
  job, and such a job is provided by the employer, or
  the claimant agrees he or she is able to return to
  work without restriction, the employer's
  representative may suspend compensation benefits by
  complying with section D below.

    D. Prepare a Form 17, Receipt for Compensation,
  and, if all compensation payments are current, the
  employer's representative may:

      (1) Suspend temporary compensation benefits
    during the fifteen day period in subsection D(2)
    below; and
      (2) Submit the Form 17 to the claimant for his or
    her signature after the claimant has returned to
    work without restriction for fifteen calendar days
    or fifteen calendar days from the date the claimant
    agreed he or she was able to return to work without
    restriction.

      (3) When the claimant signs the Form 17,
    compensation benefits may be terminated by filing
    with the Commission's Claims Department the signed
    Form 17 no later than thirty-one days from the date
    the claimant returned to work or agreed he or she
    was able to return to work. Failure to file a Form
    17 within thirty-one days from the date the
    claimant returned to work or agreed he or she was
    able to return to wor

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