Is an employer liable for past medical expenses that are not included in a lump-sum settlement?
Maybe Yes. The Court of Appeals found that even though the “Terms of Settlement” section waived claimant’s right to past medical, the rest of the contract recitals supported a finding that the employer was liable for past medical bills. The surrounding circumstances made clear that the settlement was premised on the understanding that the employer had in fact paid all the outstanding medical bills to the date of the settlement. Additionally, the amount of the settlement only accounted for PPD payments, and did not include any amount for the payment of medical bills. The right to be compensated for medical costs associated with work-related injuries is at the very heart of the Workers’ Compensation Act. When dealing with a settlement contract no form of words, no matter how all-encompassing, will foreclose a court’s scrutiny of a release or prevent a reviewing court from inquiring into the surrounding circumstances to ascertain whether it accurately reflected the parties’ intention. Whi
