In a split decision, the New Jersey Supreme Court ruled an auto insurance statute does not preclude a workers’ compensation carrier from suing to recoup benefits it paid for a worker’s injuries in a motor vehicle accident.

The 3-3 ruling affirms an Appellate Division decision that said a subrogation action by New Jersey Transit can proceed because it arose from medical expenses and lost wages, and not from noneconomic loss. The Appellate Division overturned a decision by Superior Court Judge Robert Polifroni of Bergen County, who said the claim to recoup benefits was barred by New Jersey’s Auto Insurance Cost Reduction Act.