Massengill v. Fisher Sand & Gravel Co.
| Decision Date | 19 August 2013 |
| Parties | MARSHALL MASSENGILL, Worker-Appellee, v. FISHER SAND & GRAVEL COMPANY and ZURICH AMERICAN INSURANCE, Employer/Insurer-Appellants. |
| Court | Court of Appeals of New Mexico |
Opinion Number:___________
APPEAL FROM THE WORKERS' COMPENSATION ADMINISTRATION
James Rawley
Albuquerque, NM
for Appellee
Hale & Dixon, P.C.
Timothy S. Hale
Paulette J. Dixon
Albuquerque, NM
for Appellants
{1} The primary issue in this workers' compensation case is whether post-judgment interest begins to accrue on the date that an order is filed awarding a partial lump-sum payment or thirty days later. Concluding that interest begins to accrue on the date the award is filed, and rejecting Employer's remaining arguments, we affirm.
{2} While Worker's complaint for compensation benefits was pending, Worker filed a petition for a partial lump-sum payment. See NMSA 1978, § 52-5-12(C) (2009) (). Worker had reached maximum medical improvement (MMI), and he was receiving permanent partial disability (PPD), but a final determination of his PPD benefits had not yet been made.
{3} On December 30, 2011, the workers' compensation judge (WCJ) entered an order granting Worker's petition and awarded Worker a partial lump-sum payment of $23,150. Worker received a check from Employer/Insurer (hereinafter Employer) for the amount due on the partial lump-sum award on January 26, 2012. As a result of the delay, Worker filed an application for a supplementary compensation order, requesting post-judgment interest on the partial lump-sum award and other relief not pertinent here. The WCJ awarded Worker post-judgment interest commencing when the order for the partial lump-sum amount was filed and ending when Employer tendered the payment. Employer appeals.
{4} Employer contends that the WCJ erred when it awarded interest on the partial lump-sum payment as of the date the order was filed. Employer makes four arguments: (1) the order for payment of a partial lump-sum award was not operative until thirty days after it was filed; (2) an order for payment of a partial lump sum is not a final order to which post-judgment interest attaches; (3) the time fixed for payment of a partial lump-sum amount is not the date the compensation order is filed; and (4) awarding post-judgment interest on a partial lump-sum payment is inequitable. We are unpersuaded and affirm.
{5} NMSA 1978, Section 56-8-4(A) (2004) directs that "[i]nterest shall be allowed on judgments and decrees for the payment of money from entry and shall be calculated at the rate of eight and three-fourths percent per year," and we have held that an award of post-judgment interest on a workers' compensation order under Section 56-8-4(A) is mandatory. Martinez v. Pojoaque Gaming, Inc., 2011-NMCA-103, ¶ 24, 150 N.M. 629, 264 P.3d 725, cert. denied, 2011-NMCERT-009, 269 P.3d 903. Employer's arguments that Section 56-8-4(A) does not apply to the order for a partial lump-sum payment in this case require us to engage in statutory interpretation.
{6} Statutory interpretation is a question of law which is reviewed de novo. Att'y Gen. v. N.M. Pub. Regulation Comm'n, 2011-NMSC-034, ¶ 10, 150 N.M. 174, 258 P.3d 453. We look first to the plain meaning of the statute's words, and we construe the provisions of the Workers' Compensation Act (the Act) together to produce a harmonious whole. Grine v. Peabody Natural Res., 2006-NMSC-031, ¶ 17, 140 N.M. 30, 139 P.3d 190. If we are unable to definitively interpret the statute by a simple consideration of the statutory language, we may consider principles of statutory construction to "construe a statute according to itsobvious spirit or reason." Dewitt v. Rent-A-Center, Inc., 2009-NMSC-032, ¶ 29, 146 N.M. 453, 212 P.3d 341 (internal quotation marks and citation omitted). We now turn to Employer's specific arguments.
{7} Employer asserts that a compensation order under the Act is not operative until thirty days after it is mailed to the parties. Therefore, Employer contends, the WCJ erred in awarding interest from the date the order awarding a partial lump-sum payment was filed. We disagree.
{8} In asserting that the order was not effective until thirty days after it was mailed, Employer relies upon NMSA 1978, § 52-5-7(C) (1993) of the Act. This statute provides:
The decision of the workers' compensation judge shall be final and conclusive as to all matters adjudicated by him upon the expiration of the thirtieth day after a copy of the decision has been mailed to the parties, unless prior to that day a party in interest seeks judicial review of the decision pursuant to Section 52-5-8 NMSA 1978.
While the statute does not expressly so state, Employer argues that it is designed to provide for a period of thirty days to make a payment ordered by the WCJ without penalty, including interest. However, the plain language of the statute belies Employer's interpretation. If it was the intent of the Legislature to implicitly grant a grace period of thirty days to make a payment ordered by the WCJ, the statute would not also expressly state that the thirty-day grace period terminates with the filing of a notice of appeal.
{9} Contrary to Employer's arguments, we conclude that Section 52-5-7(C) means that the decision of the WCJ "shall be final and conclusive as to all matters adjudicated" by the WCJ thirty days after the decision is filed unless an appeal is taken "pursuant to Section 52-5-8." In arriving at this conclusion, we construe the word "mailed" in the statute to mean "filed." We do so because of its reference to Section 52-5-8.
{10} The Act states in Section 52-5-8(A) that "[a]ny party in interest may, within thirty days of mailing of the final order of the workers' compensation judge, file a notice of appeal with the court of appeals." The statute also states that "[a] decision of a workers' compensation judge is reviewable by the court of appeals in the manner provided for other cases[.]" Section 52-5-8(B). In Maples v. State, 1990-NMSC-042, ¶¶ 8-10, 110 N.M. 34, 791 P.2d 788, our Supreme Court noted a possible conflict between Section 52-5-8(A) and Rule 12-601 NMRA (2007) in that the statute provides for an appeal within thirty days of the mailing of an order, and the rule provides for an appeal within thirty days of the filing of an order. The Court held that Rule 12-601 takes precedence over any conflict with Section 52-5-8. Maples, 1990-NMSC-042, ¶ 10; see Tzortzis v. Cnty. of Los Alamos, 1989-NMCA-031, ¶ 2, 108 N.M. 418, 773 P.2d 363 ().
{11} Section 52-5-7(C) and Section 52-5-8(A) were both enacted at the same time in the same bill. 1986 N.M. Laws, ch. 22, §§ 33, 34.1 Reading these statutes together, we conclude that the Legislature's intent was to express in Section 52-5-7(C) that the decision of the WCJ is "final and conclusive" as to all matters adjudicated by the WCJ after the time for appealing has expired and that the Legislature expressed its intent in Section 52-5-8(A) that the time for appealing expires within thirty days. In keeping with Maples, and construing the statutes in harmony with each other, we hold that the Legislature's intention is expressed by construing "mailed" in Section 52-5-7(C) to mean "filed."
{12} Employer also asks us to consider the effect of NMSA 1978, Section 52-5-10(A) (1990) as to when interest begins to accrue on a WCJ order awarding a partial lump-sum payment under the Act. In pertinent part, Section 52-5-10(A) provides that where there is a default in payment of compensation due under the Act, the person owed the payment may "make application [to the director of the Workers' Compensation Administration (WCA)] for a supplementary compensation order declaring the amount of compensation in default" provided it is filed "after the thirtieth day" on which the payment was due, and "before the lapse of one year from that due date[.]" Id. Section 52-5-10(B) sets forth remedies that then become available in the district court to correct the default. Section 52-5-10(A) has no bearing on when interest begins to accrue on an order under the Act, and we reject Employer's suggestion that it has any applicability to the issue before us here.
{13} Employer argues that post-judgment interest is only allowed on a "final order" under Section 56-8-4(A). From this premise, Employer contends that because Worker's PPD benefits still had to be determined, the partial lump-sum award is not a "final order" and the award of interest must be reversed. We agree with Employer that post-judgment interest is only allowed on a "final order" but we disagree with Employer's assertion that the order awarding a partial lump-sum payment does not constitute a "final order."
{14} Prior to Sanchez v. Siemens Transmission Systems, 1991-NMCA-028, 112 N.M. 236, 814 P.2d 104, rev'd on other grounds, 1991-NMSC-093, 112 N.M. 533, 817 P.2d 726, workers' compensation cases were decided in district court, but with passage of the Act, workers' compensation cases were moved to the WCA and decided by a workers' compensation judge. Id. ¶ 50. In Sanchez we were presented with the question of whether a compensation order made by a WCJ under the Act earns interest under Section 56-8-4. Sanchez, 1991-NMCA-028, ¶ 49. We saw "no reason why the same rationale for allowing post-judgment interest in workers' compensation cases in district courts would not apply toadministrative decisions...
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