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R. J. Corman Railroad Construction v. Haddix

11/24/1993

Opinion OF THE COURT


Claimant was injured while taking out a railroad crossing when he was struck from behind by a tamping machine. In his Form 101 application for adjustment of claim he indicated injuries to his right ribs, right side of face, L3-L4 back injury, and concussion. Through medical testimony it was suggested that claimant may also have developed a psychological problem as the result of the accident.


In an opinion rendered March 29, 1991, the Administrative Law Judge (ALJ) awarded temporary total disability benefits and medical benefits but dismissed the claim for permanent occupational disability on the grounds that claimant had not sustained an injury of appreciable proportions. Regarding the psychological aspect of the claim, the ALJ summarily concluded that any psychological problems were not part of this claim and that there was no indication that they were particularly work-related.


There are three issues in this case: (1) whether the ALJ made sufficient findings of fact, (2) whether the ALJ properly relied upon a disputed medical report, and (3) whether the employer waived any objection to the payment of medical bills not challenged within 30 days.


The Board summarized its holding as follows:


We conclude that the finding by the ALJ that Haddix' psychological problems were not part of his claim, nor were they work-related was error in the face of uncontradicted medical evidence to the contrary. We further conclude that the admission by the ALJ, of the "Brooks/Bean" letter report as evidence was in contradiction of 803 KAR 25:011, Section 13(3). Lastly, we conclude that the 30-day time period for the payment of medical bills submitted under KRS 342.020(1) apply at any time following a work-related injury, during litigation of a claim, and to post-award disputes.


The Board reversed and remanded the claim to the ALJ for a determination of occupational disability, if any, resulting from Haddix's psychological claim, and for a determination of which medical bills were submitted to the employer that were not challenged or paid within 30 days of receipt of same.


The Court of Appeals affirmed the decision of the Board citing Western Baptist Hospital v. Kelly, Ky., 827 S.W.2d 685 (1992).


Claimant failed to make a specific allegation of a psychological condition on the initial application, and the ALJ simply stated that although from "some of the evidence, it is suggested that plaintiff may be having some psychological problems, . . . these are not part of the claim and there is no indication that they are particularly work-related." The Board concluded, however, that the ALJ's failure to address uncontradicted medical and lay evidence of claimant's psychological condition constituted a compelling reason to reverse. The Board noted, citing Equitable Bag Company v. Hamblin, Ky. App., 478 S.W.2d 722 (1972), that strict rules of construction are not required in Kentucky Workers' Compensation proceedings, and therefore any claim for a psychological condition had not been waived.


On appeal to this Court, the employer, R. J. Corman Railroad Construction (Corman), notes that in reversing the ALJ the Board stated that the evidence was "clearly contradictory" to the Conclusion reached by the ALJ. Because the test on appeal for a losing claimant is whether or not the evidence compelled a different result, Roberts v. Estep, Ky., 845 S.W.2d 544 (1993), Corman insists that the Board employed an incorrect standard of review.


The Board stated that it agreed with claimant's position

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