SLS 10RS-16 ORIGINAL
Page 1 of 5
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2010
SENATE BILL NO. 106
BY SENATOR RISER
WORKERS' COMPENSATION. Provides relative to workers' compensation. (8/15/2010)
AN ACT1
To amend and reenact R.S. 23:1123, 1172.2(E), 1201(A), and to repeal R.S. 23:1201.1,2
relative to workers' compensation; to provide for an examination of an injured3
employee when certain disputes arise; to provide for the prompt reporting of certain4
information relative to payment of workers' compensation premiums which may be5
considered false, fraudulent, or misleading; to provide for payors and insurers to6
make weekly indemnity payments by electronic funds transfer; to repeal provisions7
requiring workers' compensation indemnity payments be mailed; and to provide for8
related matters.9
Be it enacted by the Legislature of Louisiana:10
Section 1. R.S. 23:1123, 1172.2(E), and 1201(A) are hereby amended and reenacted11
to read as follows:12
§1123. Disputes as to physical condition, capacity to work, or current medical13
treatment of employee; examination under supervision of the14
director15
If any dispute arises as to the condition of the employee, capacity to work, or the16
current medical treatment for the employee, the director, upon application of any17 SB NO. 106
SLS 10RS-16 ORIGINAL
Page 2 of 5
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
party, shall order an examination of the employee to be made by a medical1
practitioner selected and appointed by the director. The medical examiner shall2
report his conclusions from the examination to the director and to the parties and3
such report shall be prima facie evidence of the facts therein stated in any subsequent4
proceedings under this Chapter.5
* * *6
§1172.2. Unlawful practices7
* * *8
E.(1)(a) Any person, insurer, or self-insurance fund who has knowledge9
of or who believes that a false, fraudulent, or misleading statement is knowingly10
made or is knowingly omitted for the purpose of avoiding, delaying, or11
diminishing the amount of payment of any workers' compensation premium12
shall, within sixty days of notice of such statement or omission, send to the office13
of workers' compensation administration, on a form prescribed by the director,14
the information requested and such additional information as may be requested15
by the office of workers' compensation administration.16
(b) The office of workers' compensation administration shall review17
such reports and select such acts of misrepresentation as, in its judgment, may18
require further investigation.19
(c) The office of workers' compensation administration shall then cause20
an independent examination of the facts surrounding such acts to be made to21
determine the extent, if any, to which fraud, deceit, or intentional22
misrepresentation of any kind exists.23
(d) The office of workers' compensation administration shall report any24
alleged violations of law which its investigations disclose to the appropriate25
licensing agency and prosecuting authorities having jurisdiction with respect to26
such violation.27
(2) No person or entity acting without malice, fraudulent intent, reckless28
disregard for the truth, or bad faith, shall be subject to civil liability for libel, slander,29 SB NO. 106
SLS 10RS-16 ORIGINAL
Page 3 of 5
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
or any other relevant tort, and no civil cause of action of any nature shall exist1
against such person or entity by virtue of the filing of reports or furnishing of other2
information, either orally or in writing, relative to a violation by any employer of the3
provisions of this Section.4
(2) (3) The grant of immunity provided by this Subsection shall not abrogate5
or modify in any way any statutory or other privilege or immunity otherwise enjoyed6
by such person or entity.7
(3) (4) Any person or entity entitled by this Subsection to immunity from8
civil liability shall also be entitled to an award of attorney fees and costs if they are9
the prevailing party in a civil suit and the party bringing the action was not10
substantially justified in doing so. For purposes of this Section, a proceeding is11
"substantially justified" if it had a reasonable basis in law or fact at the time it was12
initiated.13
* * *14
§1201. Time and place of payment; failure to pay timely; failure to authorize;15
penalties and attorney fees16
A.(1) Payments of compensation under this Chapter shall be paid as near as17
may be possible, at the same time and place as wages were payable to the employee18
before the accident; however, when the employee is not living at the place where the19
wages were paid, or is absent therefrom, such payments shall be made by mail, upon20
the employee giving to the employer a sufficient mailing address. However, a longer21
interval, not to exceed one month, may be substituted by agreement without approval22
of the director. An interval of more than one month must be approved by the23
director.24
(2) Notwithstanding the requirement to make payments by mail in25
Paragraph (1) of this Subsection, electronic transfer of funds, including but not26
limited to direct deposit or use of a debit card, is an appropriate method of27
payment of compensation under this Chapter. Where a payor or insurer elects28
to issue debit cards and makes weekly payments by way of electronic funds29 SB NO. 106
SLS 10RS-16 ORIGINAL
Page 4 of 5
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
transfers, an injured worker represented by an attorney may elect to have his1
weekly indemnity check deposited directly into his attorney's trust account.2
Where such an election is made, the payor or insurer shall provide notice by3
way of email only to the injured workers' attorney containing a list of all claims4
and amounts included in the direct deposit within forty-eight hours of the direct5
deposit.6
* * *7
Section 2. R.S. 23:1201.1 is hereby repealed.8
Section 3. This Act shall become effective upon signature by the governor or, if not9
signed by the governor, upon expiration of the time for bills to become law without signature10
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If11
vetoed by the governor and subsequently approved by the legislature, this Act shall become12
effective on the day following such approval.13
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Mary Dozier O'Brien.
DIGEST
Present law provides for the duty of the director to order an independent medical
examination by a medical practitioner selected and appointed by the director when a dispute
arises as to the condition of an injured employee.
Proposed law retains present law and further requires the director, upon application of any
party, to order an independent medical examination when a dispute arises as to the injured
employee's capacity to work or his current medical treatment.
Present law provides that no person or entity acting without malice, fraudulent intent,
reckless disregard for the truth, or bad faith shall be liable to another by virtue of the filing
of reports or furnishing other information relative to a violation by an employer of the
provisions of the present law.
Proposed law retains present law but places an affirmative burden on any person, insurer,
or members of self-insurance fund who believes that a false, fraudulent, or misleading
statement has been knowingly made or has been knowingly omitted with the purpose of
affecting the payment of any workers' compensation premium.
Proposed law further requires that such an entity shall report such statement or omission
within 60 days to the office of workers' compensation administration, at which time the
office shall review such reports and determine which reports merit further investigation.
Proposed law requires the office to provide an independent examination of the facts
surrounding the report. Any alleged violations of law disclosed by an independent
examination of the facts shall be reported to the appropriate licensing agency and the proper
prosecuting authority. SB NO. 106
SLS 10RS-16 ORIGINAL
Page 5 of 5
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Present law states that workers' compensation payments shall be made by mail.
Proposed law retains the mailing of payments as permissive, but allows the electronic
transfer of funds by methods including but not limited to direct deposit and debit cards.
Proposed law provides that if the payer or insurer elects to issue debit cards, the injured
worker may opt to have his weekly indemnity payment paid directly into his attorney's trust
account. Proposed law provides that if such an election is made, the payer or insurer shall
notify the attorney of the deposit and shall list all claims and amounts included in the deposit
within 48 hours of each deposit.
Present law requires that indemnity payments be mailed to the recipient.
Proposed law repeals that mailing requirement.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends R.S. 23:1123, 1172.2(E), and 1201(A); repeals R.S. 23:1201.1)