WJC&B Willson Jones Carter & Baxley, P.A. Workers' Compensation Defense



James v. Anne’s Inc., 701 S.E.2d 730

Commission’s Power to Order Language Prorating an Award of Benefits

The Commission found James was permanently and totally disabled as a result of her work accident.  The Commission further found that a lump sum payment was in James’ best interest.  James also requested the inclusion of language prorating the award over her life expectancy; however, Defendants objected to the inclusion of this language.  James contended that §42-3-180 gives the Commission the authority to order proration language without the consent of both parties.  Section 42-3-180 states that “All questions arising under this Title, if not settled by agreement of the parties interested therein with the approval of the Commission, shall be determined by the Commission, except as otherwise provided in this Title.”  The Commission determined that it lacked the authority to include the proration language over Defendants’ objection.  James appealed to the Circuit Court and the Circuit Court affirmed.  James then appealed the Circuit Court’s decision and the South Carolina Supreme Court granted a writ of certiorari.  The Supreme Court affirmed, but subsequently granted James’ motion for rehearing. 

Following the rehearing, the Supreme Court reversed its prior decision that the Commission lacked the authority to include proration language in workers’ compensation orders prorating a lump sum award over a claimant’s life expectancy in the absence of consent from all parties.  The Court noted that § 42-9-180 confers a general grant of authority the Commission to address all issues arising under the Act that are not otherwise provided for under South Carolina law.  Thus, the Court held the Commission has the authority to prorate a lump sum award over a claimant’s expected lifetime.

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