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Friday, September 21, 2012

Self-Insured Employers Turn to Lippes Mathias Wexler Friedman LLP for Help

Recently, employers who are or were participants in workers' compensation group self-insurers trusts have received notices from the New York State Workers' Compensation Board ("Board") informing them that the trusts of which they are or were members have accumulated severe deficits and that the Board will be looking to those employers to make up those deficits. In some instances, the Board has even sent 45-day assessment notices to employers, accompanied by a form agreement that the Board has demanded that the employers sign, an agreement under which the employers waive all their rights to contest these assessments in court.

Luckily for employers confronted with such notices or assessments, Lippes Mathias Wexler friedman LLP ("the firm") is in the forefront of litigation challenging such assessments. In one of the first cases testing whether a workers' compensation group self-insurers trust's Board of Trustees could levy assessments against former employer members of the trust, the New York State Supreme Court ruled, "No." Metal Goods and Manufacturers Insurance Trust Fund v. Advent Tool & Mold, Inc., Index No. 2005-6118 (Sup. Ct., Erie Co., Feb. 5, 2008).

The firm is advising employers who are resisting assessments, whether levied against them by (i) the Board, (ii) the workers' compensation group self-insurers trusts of which they are or were members, or (iii) the administrators of these trusts. The firm is representing employers with respect to resisting such assessments and demanding an accounting of how these deficits were incurred.