Brown v. Goodyear Tire & Rubber Co.

Decision Date05 April 1980
Docket NumberNo. 50937,50937
Citation608 P.2d 1356,227 Kan. 645
PartiesWilliam H. BROWN, Appellant, v. GOODYEAR TIRE & RUBBER COMPANY and Travelers Insurance Company and Workmen's Compensation Fund, Appellees.
CourtKansas Supreme Court

Review of the judgment of the Court of Appeals in 3 Kan.App.2d 648, 599 P.2d 1031. Appeal from Shawnee district court; Adrian J. Allen, Judge. Judgment of the Court of Appeals affirming the district court is affirmed. Opinion filed April 5, 1980.

George E. McCullough of McCullough, Wareheim & LaBunker, Topeka, argued the cause and was on the brief for appellant.

John C. Peterson, Topeka, argued the cause and was on the brief for appellee, Workmen's Compensation Fund.

MEMORANDUM OPINION

MILLER, Justice:

This is a workmen's compensation case involving the application of K.S.A.1974 Supp. 44-510f(c ), since repealed. The examiner terminated claimant's disability benefits pursuant to that section of the act since claimant had attained age 65 and was entitled to and was receiving federal old age social security benefits. The order was sustained by the director, affirmed by the district court, and affirmed by the Court of Appeals. Brown v. Goodyear Tire & Rubber Co., 3 Kan.App.2d 648, 599 P.2d 1031 (1979). We granted review.

After carefully considering the record, briefs and arguments, we conclude that the Court of Appeals correctly disposed of each issue raised. We adopt the opinion of the Court of Appeals.

The judgment is affirmed.

HERD, Justice, dissenting:

I respectfully dissent from the majority opinion. K.S.A. 44-510f(c ), enacted in 1974 and repealed effective July 1, 1977, provided:

"An employee shall not be entitled to compensation benefits for permanent total disability, temporary total disability or partial disability, under the workmen's compensation act, from and after the date when he shall be entitled to and during such period as he shall receive federal old age social security benefits, reduced or unreduced."

The claimant's injury occurred November 1, 1974, and April 7, 1975, during the effective period of the statute. On April 12, 1976, claimant was awarded medical expenses and temporary total disability from April 1, 1975, at the rate of $95.20 per week, not to exceed $50,000.00. The award was sustained by the Director of Workmen's Compensation on June 5, 1976, and by the District Court on February 11, 1977. Brown received compensation under the award until August 10, 1978, when his entitlement was terminated by the following order of The Workmen's Compensation examiner:

"It Is Therefore, Considered, Ordered, Adjudged and Decreed that claimant's entitlement to workmen's compensation disability benefits ceased from and after September 5, 1977, and the Workmen's Compensation Fund has not and will not be liable to pay workmen's compensation benefits to claimant during such time as he shall receive federal old age Social Security benefits."

This order was sustained by both the director and the district court. It should be noted the order terminating the compensation and its effective date are both subsequent to the repeal of K.S.A.1974 Supp. 44-510f(c ).

We have repeatedly stated that the Workmen's Compensation Act should be liberally construed in order to award compensation to a worker where it is reasonably possible to do so. Thuillez v. Yellow Transit Freight Lines, 187 Kan. 618, 621, 358 P.2d 676 (1961); Bender v. Salina Roofing Co., 179 Kan. 415, 422, 295 P.2d 662 (1956); Bright v. Bragg, 175 Kan. 404, 264 P.2d 494 (1953); Hilyard v. Lohmann-Johnson Drilling Co., 168 Kan. 177, 180, 183, 211 P.2d 89 (1949); Matlock v. Hollis, 153 Kan. 227, 232, 109 P.2d 119 (1941). We should not ignore the precedent in this case.

Appellant raises three issues. His first issue questions the action of the Workmen's Compensation Fund in applying for an order terminating compensation under K.S.A.1978 Supp. 44-528 without alleging the grounds enumerated therein. I have no quarrel with the ruling of the examiner who found he had authority under K.S.A.1978 Supp. 44-534(a ) to consider the controversy presented. In considering appellant's remaining issue, claimant argues K.S.A.1974 Supp. 44-510f(c ) is procedural rather than substantive and after repeal of the statute, the worker is entitled to all of his compensation pursuant to the award.

We set out the test for determining whether a statute is procedural in Ellis v. Kroger Grocery Co., 159 Kan. 213, 152 P.2d 860 (1944), where we held a statute which merely provides a method for the collection of future installments is procedural and is applicable to an award made prior to the statute's enactment. We also noted a statute which does not alter an existing obligation does not disturb substantive rights and is remedial in nature. Here, the employer was under an obligation to pay the claimant a set sum per week not to exceed a stated minimum. That obligation did not grow or diminish with the repeal of K.S.A.1974 Supp. 44-510f(c ). Under the old statute, the worker had the choice of receiving social security benefits or continuing to receive workers' compensation benefits. After repeal a worker may receive both. The repeal does not increase an employer's obligation, which remains in effect until the worker exercises his option to choose. The employer's rights and obligations remain unchanged.

The repeal does not affect the original award, but pertains only to the impediment to receipt of benefits from both funds. The repeal of K.S.A.1974 Supp. 44-510f(c ) does not change or disturb the original workmen's compensation award.

In Crow v. City of Wichita, 222 Kan. 322, 566 P.2d 1 (1977), an injury occurred before the effective date of the statute in question, K.S.A.1976 Supp. 44-512(a ). We held the later statute should be applied since the statute was found remedial in character. Crow clearly shows the present law should control, even though the accident occurred under prior law, since the prior statute and the law that repealed it are remedial in nature.

Finally, claimant maintains K.S.A.1974 Supp. 44-510f(c ) is not applicable to his award because it violates his rights under the Fourteenth Amendment to the U.S. Constitution. A parallel issue was dealt with in Baker v. List and Clark Construction Co., 222 Kan. 127, 563 P.2d 431 (1977), where this court found the "offset" provision of K.S.A.1975 Supp. 44-510b(j ) did not violate the U.S. Constitution. I don't think that decision should be dispositive of the issue in this case and call attention to Justice (now Chief Justice) Schroeder's dissent therein beginning at page 135, 563 P.2d 431.

The Workmen's Compensation Act creates new rights based on an employer's liability without fault when an employee is involved in an accident arising in the course of and out of his employment. Under this Act, an employee gives up his right to sue his employer under a theory of common-law liability based on fault. Workmen's compensation became the employee's exclusive remedy. We have described the employee's right to compensation as one based on contract between him and the employer. Note the following discussion in Daugherty v. National Gypsum Co., 182 Kan. 197, 202, 318 P.2d 1012, 1016 (1957):

"The criterion for compensation under the statute is disability of the workman resulting from personal injury by accident arising out of and in the course of his employment. 'Disability' as used in G.S.1955 Supp. 44-510(3)(c )(24) is the inability of the workman to perform work he was able to perform prior to his injury, and is the test by which compensation is measured for injury arising out of and in the course of his employment. [Citations omitted.] Any impairment of physical fitness due to injury is compensable under the statute either as temporary or permanent partial disability, or as a scheduled injury for the loss or loss of use of a member of the body. In Rupp v. Jacobs, [149 Kan. 712, 717, 88 P.2d 1102 (1939)], it was said:

' * * * The whole theory underlying the compensation act is that by reason of his accident the...

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