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Mississippi Insurance Guaranty Association v. Brewer7/26/2005
NATURE OF THE CASE: CIVIL - WORKERS' COMPENSATION
DISPOSITION: REVERSED AND REMANDED - 07/26/2005
BEFORE LEE, P.J., BARNES, AND ISHEE, JJ.
. An employer and workers' compensation carriers filed a motion to intervene in a negligence action brought by an employee against a third-party tortfeasor. The circuit court denied the motion. Finding error, we reverse and remand.
STATEMENT OF FACTS
. Dot Brewer (Brewer) was employed by the Riverboat Corporation of Mississippi (Riverboat) and worked at the Isle of Capri Casino in Vicksburg. In November 1994, she sustained an injury to her back while performing her job duties at the casino. Brewer subsequently sought treatment from Daniel Dare, M.D. (Dr. Dare) and the River Region Medical Corporation (River Region). In December 1994, Dr. Dare performed back surgery on Brewer in order to alleviate her back pain. Brewer became a paraplegic as a result of the surgery, and she subsequently initiated a negligence action against Dr. Dare and River Region in August 1996.
. At the time of Brewer's initial injury, Riverboat was self-insured up to $250,000. They had also secured workers' compensation coverage under a policy written by the Home Insurance Company (Home Insurance). Home Insurance, however, subsequently went into receivership and Brewer's workers' compensation claim was transferred to the Mississippi Insurance Guaranty Association (MIGA) pursuant to Miss. Code Ann. § 83-23-1 et seq. (Rev. 1999).
. Following her initial back injury at work, Brewer filed a claim with Riverboat for workers' compensation benefits. Riverboat and Home Insurance denied her claim. The Workers' Compensation Commission (Commission), however, determined in June 1998 that Brewer's November back injury was compensable. The Commission further ruled that Riverboat and Home Insurance were obligated to pay for the surgical aggravation of Brewer's compensable back injury, and the Commission ordered Riverboat and Home Insurance to pay for all of Brewer's medical expenses. Riverboat and Home Insurance failed to timely appeal and the Commission's decision became final.
. Riverboat and Home Insurance thereafter began making payments for workers' compensation benefits and medical expenses in accordance with the Commission's order. Additionally, Riverboat and Home Insurance sought to intervene in Brewer's negligence action against Dr. Dare and River Region in order to subrogate any monies received by Brewer pursuant to Miss. Code Ann. § 71-3-71 (Rev. 2000). Brewer filed a motion to dismiss Riverboat and Home Insurance's motion to intervene after she had reached a settlement in a confidential amount with Dr. Dare and River Region in the negligence action.
. In November 2003, the Circuit Court of the First Judicial District of Hinds County granted Brewer's motion to dismiss and refused to allow Riverboat and Home Insurance to intervene in the action or to subrogate any of the settlement monies. The circuit judge's decision was based on his determinations that the surgery and the resulting paraplegia were independent, intervening injuries, and that Brewer had not been "made whole" by the amount agreed to in the settlement. Riverboat, Home Insurance, and MIGA's motions to reconsider were denied. Aggrieved by the circuit court's decision regarding their right to intervene, Riverboat, Home Insurance, and MIGA now appeal asserting the following: (1) whether the circuit court erred in denying the employer and workers' compensation carriers' motion to intervene in the employee's negligence action for the purpose of protecting their subrogation interests under Miss. Code Ann. § 71-3-71; and (2) whet
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