American Mut. Liability Ins. Co. v. Wigley

• Decision Date: 17 November 1934
• Docket Number: 10360.
• Citation: 177 S.E. 568,179 Ga. 764
• Parties: AMERICAN MUT. LIABILITY INS. CO. et al. v. WIGLEY.
• Court: Georgia Supreme Court

177 S.E. 568

179 Ga. 764

AMERICAN MUT. LIABILITY INS. CO. et al. v. WIGLEY.

No. 10360.

Supreme Court of Georgia

November 17, 1934

Rehearing Denied Dec. 14, 1934.

Syllabus by the Court.

Under the provisions of subparagraph 1 (added by amendment, Ga. L. 1922, pp. 185, 186, § 1) of paragraph (d) of section 2 of the Workmen's Compensation Act approved August 17, 1920 (Ga Laws 1920, pp. 167, 169), where an employee receives an injury for which compensation is payable under the Workmen's Compensation Act, and where the injury was caused by a third person, and where the employee files a suit in damages for personal injuries against the third person and alleges in his petition that his injuries were caused by the negligence of the defendant and that the defendant is liable in damages therefor, and where, while the suit is pending, the parties make a settlement of the action, wherein the defendant pays the sum of $300, the employee receiving $150 and his attorney the same amount, and where, in the release signed by the employee, it is stated that the sum so paid is not an admission of liability by the defendant, and where the employee is awarded compensation, neither the employer nor the insurance carrier would be entitled to have the amount of compensation awarded the employee reduced by subtracting therefrom either the total or the net amount of the sum received by him in the settlement of his damage suit against the third person.

Certified Question from Court of Appeals.

Proceedings under the Workmen's Compensation Act by H. A. Wigley employee, against the American Mutual Liability Insurance Company, insurer, and another. To review a judgment in favor of the employee, the insurer and the employer brought error to the Court of Appeals, which certifies a question.

Question answered.

McDaniel, Neely & Marshall, Harry L. Greene, and Neely, Marshall & Greene, all of Atlanta, for plaintiffs in error.

Poole & Fraser, of Atlanta, for defendant in error.

RUSSELL Chief Justice.

Under subparagraph 1 of paragraph (d) of section 2 of the Workmen's Compensation Act (Laws 1920, p. 167, § 2, par (d), subpar. 1, as added by Laws 1922, p. 186, § 1), where an injury occurs to an employee and the employer is required to compensate the employee, and at the same time a third person has injured the employee as a tort-feasor, if the injured employee establishes a legal liability against the third person who is a...