Judge supports plan for California Insurance Company

• In what one attorney close to the litigation called “perhaps the most scathing order I’ve ever seen against anyone,” San Mateo Superior Court Judge Susan Greenberg supported the California Department of Insurance Rehabilitation plan for California Insurance Company. That is a decision in the ongoing Applied Underwriters’ Equity Comp debacle. 
• The order also supports a formulaic settlement plan for policyholders, many of whom have been in litigation with Applied over the Equity Comp Plan for years, including any who won settlements not yet paid by Applied. 
• While the order is tentative, Judge Greenberg leaves little doubt that the tenor and content of the court’s final decision are not likely to change despite the expected challenges from Applied and CIC. The order is lengthy, contains findings of fact, and cuts the carrier’s management, even citing its outside attorney, Shand Stephens, of the law firm DLA Piper, for misrepresenting the facts in a cited document.  
• Parties will be able to respond to Judge Susan Greenberg’s statement of decision and tentative order before a final order is issued. 
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Nurse loses workers’ comp case

• The nurse submitted a workers’ compensation claim, asserting that she had developed a blood clot in her leg and other pulmonary injuries as a result of COVID-19 while employed at the center.
• The center and its insurance carrier denied the nurse’s claim and a hearing was conducted before a hearing officer to address these issues, including whether the nurse’s diagnosis was linked to her employment.
• The hearing officer determined that the nurse had not provided sufficient evidence to demonstrate that she contracted COVID-19 while at work.
• The nurse appealed to the full workers’ compensation commission for a review of the hearing officer’s ruling. The commission upheld the hearing officer’s decision.
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Labor Dept. facing lawsuits over new contractor rule

• The U.S. Labor Department is being sued for its new worker classification rule, alleging the regulation is illegal.
• Freelance writers, a trucking company, and groups representing construction, financial services, and tech companies have challenged the rule in federal district courts in Texas, Georgia, Tennessee, and Louisiana.
• These workers contend the new standard, which will make it harder for businesses to use independent contractors, violates the Administrative Procedure Act and departs from the text of the Fair Labor Standards Act.
• The growing pile of lawsuits threatens to disrupt the Biden administration’s implementation of the new rule due to take effect this week.
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National Work Zone Awareness Week is observed

• NIOSH and various partners will observe a National Work Zone Awareness Week from April 15 to April 19 focused on the safety of road construction workers.
• The event aims to encourage safe driving through highway work zones, reminding drivers they can protect themselves and workers by slowing down, avoiding distractions, and being alert while driving.
• During Work Zone Awareness Week, many construction workers and employers will participate in a National Stand-Down to Prevent Struck-by Incidents.
• The industry observes work pauses for worker safety—referred to as “safety stand-downs”—that often include safety-specific “tailgate talks.” There’s also an annual “stand-down” focused on preventing falls in construction.
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