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What's Hot in Workers' Comp

Board denies petition for increased infusion treatment bills under theory that Delaware Fee Schedule did not apply; Board should order payment of “reasonable cost” of treatment. Board held that treatment in accordance with §2322B(7) was correctly paid.

Taylor v. State of Delaware, (IAB No. 1447456) (Sep. 6, 2022)

October 1, 2022

by Benjamin K. Durstein

Ms. Taylor was injured in a compensable work accident on September 16, 2016, and subsequently developed Complex Regional Pain Syndrome (CRPS) of her right upper and right lower extremities. Beginning in 2017, she regularly received ketamine infusion procedures from a surgery center in Pennsylvania as part of her treatment plan. The infusion procedure typically takes multiple hours before the patient is ready for discharge. The amount billed by the surgery center for each infusion was $8,700. The employer, the State of Delaware, initially paid a higher amount but later corrected the reimbursement to around $547, per the Delaware Fee Schedule. The charge versus payment disparity prompted the claimant to file a petition to determine whether the employer was paying the correct amount.

The Industrial Accident Board held that 19 Del. C. § 2322B(7) applied because the surgery center was an out-of-state provider not licensed in Delaware or certified under the Delaware workers’ compensation payment system. Further, the Delaware Fee Schedule was the appropriate mechanism to determine the payment, and the employer’s medical coding/billing expert established that the specific procedure codes at issue were reimbursed correctly. The Board rejected the claimant’s argument that the “reasonable cost” provision of 19 Del. C. § 2322(b) applied pursuant to the Quaile v. National Tire and Battery decision (summarized in the September 2022 edition of this newsletter). The Board reasoned that this was not refused or contested treatment because the employer had made payments and agreed to the compensability. The Board explained that the proper forum to obtain a higher rate for ketamine infusions was the Workers’ Compensation Oversight panel established pursuant to the Delaware Workers’ Compensation Act. The petition was denied.

 

What’s Hot in Workers’ Comp, Vol. 26, No. 10, October 2022 is prepared by Marshall Dennehey to provide information on recent legal developments of interest to our readers. This publication is not intended to provide legal advice for a specific situation or to create an attorney-client relationship. We would be pleased to provide such legal assistance as you require on these and other subjects when called upon. ATTORNEY ADVERTISING pursuant to New York RPC 7.1 Copyright © 2022 Marshall Dennehey, all rights reserved. No part of this publication may be reprinted without the express written permission of our firm. For reprints or inquiries, or if you wish to be removed from this mailing list, contact tamontemuro@mdwcg.com.

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Appellate Division Affirms Dismissal of Legal Malpractice Counterclaim Against Martin Law Firm

In Martin v. Loury, 2026 N.J. Super. Unpub. LEXIS 1617 (App. Div. July 15, 2026), Martin Law Firm represented Kirk Loury in an employment matter Mr. Loury filed against his former employer, Concord Equity Group Advisors LLC (“Concord”). The allegations included, among other things, that Loury was not fairly compensated for his employment with Concord. After a bench trial finding in Loury’s favor, the Appellate Division remanded this matter in February 2016 for a second trial. During the second trial, Concord CEO, Lee Argush, testified to lower compensation estimate than first trial. On remand, the second trial judge awarded Mr. Loury the same damages as the first judge, finding Mr. Argush not credible. After the findings during the second trial, Martin Law Firm filed an action against Mr. Loury to recover legal fees and costs of representing Mr. Loury in a second bench trial and Mr. Loury filed a counterclaim against Martin Law Firm for legal malpractice, alleging he should have received an even higher award in the second bench trial. In this allegation, Mr. Loury, through his expert, claimed that Martin Law Firm should have recalled Mr. Loury to the stand to rebut Mr. Argush’s testimony to allege an alternative theory of damages. Mr. Loury’s expert admitted that the second judge already rejected Mr. Argush's theory and accepted Loury's damages theory. The trial court barred Mr. Loury’s expert and dismissed Loury's counterclaim with prejudice before convening the collection trial, and the jury ruled in Martin Law Firm’s favor. Mr. Loury appealed the trial court's pretrial rulings barring his liability expert from testifying in support of his legal malpractice counterclaim, denying his motion for summary judgment on that counterclaim, and denying his motion to amend his counterclaim by adding attorney Joseph A. Martin as a codefendant. In affirming the trial court’s decision, the Appellate Division held that the trial court properly excluded Loury’s expert testimony in the counterclaim against Martin Law Firm because the expert could not explain how calling Loury as a rebuttal witness would have increased damages when the second judge already rejected Mr. Argush's testimony and accepted Loury's damages theory, making the expert’s causation opinion speculative. The Appellate Division also held that the trial court properly denied Mr. Loury's summary judgment motion on his malpractice counterclaim because reasonable minds could differ on whether Mr. Martin's alleged failures would have changed the second judge's damages award, given the judge already found Mr. Argush not credible, creating genuine factual disputes precluding summary judgment. Also, the Appellate Division held that the trial court properly denied Loury's May 2023 motion to add Joseph Martin individually because the statute of limitations expired in February 2022, six years after the 2016 appellate remand when Mr. Loury incurred new legal costs, and relation back did not apply because Mr. Loury knew Mr. Martin's identity throughout and strategically chose to sue only Martin Law Firm in his 2019 counterclaim.