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Employer has no right of subrogation in Workers’ Comp. claim, Pa. Supreme Ct. rules
On Nov. 21, the Pennsylvania Supreme Court ruled in a workers’ compensation case that an employer has no right of subrogation of a former employee’s settlement with a third party employer because the settlement involved wrongful termination and was not the cause of the employee’s compensable injury. The Court ruled in Brubacher Excavating Inc. v. WCAB that under the plain language of Section 319, subrogation is only allowed where the third party causes the employee’s compensable injury. The majority opinion was written Chief Justice Ralpj J. Cappy. Justice Russell M. Nigro wrote a dissenting opinion, joined by Justice Sandra Schultz Newman.
The text of the opinions are available on the Supreme Court’s web site.
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