“The State Fund cannot recover that which it has not paid,” Justice Spargo said. “A Workers’ Compensation Law �29(1) lien does not attach to the third party recovery of the spouse of a Workers’ Compensation claimant where the recovery is for the spouse’s separate and distinct cause of action for loss of consortium.”
ALBANY – Resolving an unusual dispute between plaintiffs and the State Insurance Fund – and the plaintiffs and their lawyers – a judge in Albany has rebuffed an attempt by the Fund to claim an entire settlement, including an award for a spouse’s loss of consortium, to satisfy a Workers’ Compensation lien.
