Morales's Case
Morales's Case
Opinion of the Court
The Workers’ Compensation Trust Fund (fund)
1. Factual background. The facts are easily summarized and
CNA subsequently sought, and received, partial reimbursement of the benefits it paid to Morales from the fund under G. L. c. 152, § 37.
Proceedings below. On July 24, 2003, an administrative judge
CNA appealed the denial of its claim for interest to the board. On June 20, 2006, the board overruled its prior decision in Carmilia v. General Elec., 15 Mass. Workers’ Comp. Rep. 261, 271-275 (2001).
Discussion. The fund claims that the Legislature has not waived sovereign immunity. Its argument turns on the assertion that the words “payment” and “reimbursement” as used by the Legislature in c. 152 are terms of art, and that the common overlapping meaning of these terms
A review of c. 152, including those sections cited by the fund, does not support the fund’s interpretation. In every section cited, the terms are used consistently with their “ordinary lexical meaning,” Surrey v. Lumbermans Mut. Cas. Co., 384 Mass. 171, 176 (1981), which controls “[a]bsent explicit legislative” instruction to the contrary. Ibid. “The general and familiar rule is that a statute must be interpreted according to the intent of the Legislature ascertained from all its words construed by the ordinary and approved usage of the language, considered in connection with the cause of its enactment, the mischief or imperfection to be remedied and the main object to be accomplished, to the end that the purpose of its framers may be effectuated.” Walker’s Case, 443 Mass. 157, 160 (2004), quoting from Hanlon v. Rollins, 286 Mass. 444, 447 (1934). Consistent with the meaning of reimbursement as a repayment, G. L. c. 152, § 34B(c), as appearing in St. 1991, c. 398, § 61, speaks of benefits “paid by the insurer” who “shall be entitled to . . . reimbursements,” and in G. L. c. 152, § 26, second par., added by St. 1991, c. 398, § 40, to “compensation that . . . shall be paid by the insurer . . . provided, however, that ... the insurer . . . shall be reimbursed.”
In at least one section of c. 152 the Legislature has used the terms interchangeably and thus made its use of the common meaning explicit: § 37A, as amended through St. 1973, c. 855, § 3, provides that under specified circumstances, compensation to disabled war veterans “shall be paid by the insurer,” who, as elsewhere in the chapter, “shall be reimbursed... by the state treasurer from the fund. ... In the event that said fund becomes exhausted, the state treasurer shall make such payments from the general fund . . . .” (emphases added). The Legislature, consistent with common meaning, has employed
Because we conclude the board’s decision was correct as a matter of law and affirm that decision, we need not address the degree of deference to which it is entitled under these circumstances. Similarly, we do not address the fund’s entitlement to sovereign immunity, because the statute’s clear meaning is sufficient to impose liability, and thereby to waive any immunity that might otherwise apply in this case.
So ordered.
The fund, established pursuant to G. L. c. 152, § 65, is a special revenue fund created to provide workers’ compensation benefits to employees in cases where employers have failed to obtain insurance in violation of c. 152, and to provide reimbursement to insurers in specified instances including, relevant here, when the impairment is in part a result of a previous physical impairment aggravated by a workplace injury. G. L. c. 152, § 37. See note 2, infra.
General Laws c. 152, § 37, provides that an insurer may obtain partial compensation from the fund for payments made to qualifying employees. To qualify for reimbursement under § 37, payments must be made to an employee with a known physical impairment who suffers a subsequent injury that results in a disability that is “substantially greater by reason of the combined effects of such impairment and subsequent personal injury than that disability which would have resulted from the subsequent personal injury alone.” Oakes’s Case, 67 Mass. App. Ct. 81, 82-83 (2006), further appellate review granted, 448 Mass. 1105 (2007), quoting from G. L. c. 152, § 37, as appearing in by St. 1991, c. 398, § 71. Reimbursements are not to exceed seventy-five percent of the total payments made to the employee, and no reimbursement is made for payments in the first two years (104 weeks) of disability. The purpose is to encourage employers to hire previously injured employees by reimbursing a portion of the increased compensation burden incurred when such an employee suffers further work-related injury. See Daly v. Commonwealth, 29 Mass. App. Ct. 100, 101-102 (1990).
General Laws c. 152, § 50, as appearing in St. 1991, c. 398, § 77, provides in pertinent part: “Whenever payments of any kind are not made within sixty days of being claimed by an employee, dependent or other party, and an order or decision requires that such payments be made, interest at the rate of ten percent per annum of all sums due from the date of receipt of the notice of the
In the Carmilia decision, the board had determined that the fund is an instrumentality of the Commonwealth, and thus is protected by sovereign immunity, and that interest does not accrue on reimbursement claims against the fund because the Legislature had not waived sovereign immunity explicitly or implicitly with respect to such interest.
Black’s Law Dictionary 1312 (8th ed. 2004) defines “reimbursement” as “repayment.” Merriam-Webster’s Collegiate Dictionary 1049 (11th ed. 2005) defines “reimburse” as “repay.”
Specifically, the fund cites the use of the word “payment” in G. L. c. 152, §§ 7(1), 10B(4), 15, 17, 21 and 22, the use of the word “reimbursement” in §§ 34B(c) and 46A, and the use of both terms, as well as the words “reimbursed” and “repaid,” in §§ 15, 26, second par., 37A and 65.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.