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What's Hot in Workers' Comp

Another Case of Superior Court Weighing the Facts Rather than Simply Examining the Record to Determine if Substantial Evidence Exists to Support the Board’s Factual Findings and Conclusions?

What’s Hot in Workers’ Comp, Vol. 30, No. 6, June 2026

In the May 2026 edition of What’s Hot, I highlighted a Delaware Supreme Court decision, Red House Motors v. Bayly, that reversed a Superior Court decision because the Superior Court is not free to make its own factual findings contrary to those of the board when there is substantial evidence to support the board’s conclusions. 

In Franceschi-Rodriguez v. Perdue Foods, LLC,  C.A. No. S25A-09-001 RHR (Del. Super. May 22, 2026), the court reversed the board’s decision, terminating claimant’s temporary total disability benefits. The board terminated the claimant’s total disability benefits after determining that Franceschi was not prima facie a displaced worker. In reversing the board, the Franceschi court stated that the board’s decision that claimant was not prima facie a displaced worker was not supported by substantial evidence.

Under Delaware law, once the board determines that a claimant is no longer totally medically disabled, the claimant can show continued entitlement to “economic” total disability benefits by showing prima facie displacement. In Franceschi, it was undisputed that the claimant was no longer totally medically disabled because he could perform sedentary work.   

In considering whether Franceschi was prima facie displaced and thus possibly entitled to ongoing “economic” total disability benefits, the board found that the claimant was a 58-year old male, had a four-year degree achieved in Puerto Rico in Spanish, had a ten-year work history in law enforcement in Puerto Rico, and was unable to communicate in English. It also found that, since being in the United States, he only performed construction or work for Perdue. After weighing the evidence before it, the board determined that the claimant was not prima facie displaced. 

On appeal, the Superior Court reversed the board’s decision that the claimant was not prima facie a displaced worker. In so doing, the court appeared to weigh the facts differently than was done by the board. It held that the board’s decision was not supported by substantial evidence.

The Superior Court’s opinion largely emphasized the claimant’s language barrier and how his inability to speak, read, or write in English, combined with his inability to transfer his degree to Delaware without acquiring a local certification, rendered the claimant “effectively uneducated.” This finding by the Superior Court is contrary to the board’s weighing of the evidence presented during the hearing regarding the claimant’s mental capacity, education, and training that led the board to believe that the claimant “exhibited a host of skills beyond basic labor.” 

Given the foregoing, it appears that Franceschi may be another instance of the court substituting its factual findings for those of the board, instead of simply determining whether substantial evidence exists to support the board’s findings of fact and conclusions of law.

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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.