S T A T E O F N E W Y O R K
________________________________________________________________________
4129
2023-2024 Regular Sessions
I N A S S E M B L Y
February 9, 2023
___________
Introduced by M. of A. CONRAD -- read once and referred to the Committee
on Labor
AN ACT to amend the workers' compensation law, in relation to recoveries
from a third-party action
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 1 and the fifth undesignated paragraph of
subdivision 5 of section 29 of the workers' compensation law, subdivi-
sion 1 as amended by chapter 805 of the laws of 1984 and as further
amended by section 104 of part A of chapter 62 of the laws of 2011, and
the fifth undesignated paragraph of subdivision 5 as amended by chapter
246 of the laws of 1967, are amended to read as follows:
1. If an employee entitled to compensation under this chapter be
injured or killed by the negligence or wrong of another not in the same
employ, such injured employee, or in case of death, his dependents, need
not elect whether to take compensation and medical benefits under this
chapter or to pursue his remedy against such other but may take such
compensation and medical benefits and at any time either prior thereto
or within six months after the awarding of compensation or within nine
months after the enactment of a law or laws creating, establishing or
affording a new or additional remedy or remedies, pursue his remedy
against such other subject to the provisions of this chapter. If such
injured employee, or in case of death, his dependents, take or intend to
take compensation, and medical benefits in the case of an employee,
under this chapter and desire to bring action against such other, such
action must be commenced not later than six months after the awarding of
compensation or not later than nine months after the enactment of such
law or laws creating, establishing or affording a new or additional
remedy or remedies and in any event before the expiration of one year
from the date such action accrues. In such case, the state insurance
fund, if compensation be payable therefrom, and otherwise the person,
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00799-01-3
A. 4129 2
association, corporation or insurance carrier liable for the payment of
such compensation, as the case may be, shall have a lien on the proceeds
of any recovery from such other, TO THE EXTENT SUCH RECOVERY IS FOR LOST
WAGES OR MEDICAL EXPENSES, whether by judgment, settlement or otherwise,
after the deduction of the reasonable and necessary expenditures,
including attorney's fees, incurred in effecting such recovery, to the
extent of the total amount of compensation awarded under or provided or
estimated by this chapter for such case and the expenses for medical
treatment paid or to be paid by it and to such extent such recovery
shall be deemed for the benefit of such fund, person, association,
corporation or carrier. Should the employee or his dependents secure a
recovery from such other, whether by judgment, settlement or otherwise,
such employee or dependents may apply on notice to such lienor to the
court in which the third party action was instituted, or to a court of
competent jurisdiction if no action was instituted, for an order appor-
tioning the reasonable and necessary expenditures, including attorneys'
fees, incurred in effecting such recovery. Such expenditures shall be
equitably apportioned by the court between the employee or his depen-
dents and the lienor. Notice of the commencement of such action shall be
given within thirty days thereafter to the chairman, the employer and
the insurance carrier upon a form prescribed by the chairman. Any of the
foregoing providers of compensation and/or medical benefits which has
recovered a lien pursuant to the provisions hereof against the recovery
of a person injured on or after February first, nineteen hundred seven-
ty-four and before July first, nineteen hundred seventy-eight, through
the use or operation of a motor vehicle in this state, shall notify such
person by certified mail in a manner to be approved by the chairman and
the superintendent of financial services of the responsibility of an
"insurer" (as defined in subsection (g) of section five thousand one
hundred two of the insurance law), to reimburse such person under such
circumstances to the extent that the recovered lien represent first
party benefits as defined in article fifty-one of the insurance law.
A copy of the papers to be used on the application to compromise and
settle the claim must be served as directed by the court or in the same
manner as provided in the civil practice law and rules for a notice of
motion upon the commissioners of the state insurance fund or such offi-
cer thereof designated by them or upon the person, association, corpo-
ration, or insurance carrier, whose written approval would have been
required to compromise such cause of action by the employee or his
dependents. This notice shall afford them the opportunity to submit
affidavits and to be heard by the court on the application. A PETITION
MAY ALSO BE FILED PURSUANT TO THIS SUBDIVISION ALLOCATING A PORTION OF
THE THIRD-PARTY RECOVERY TO ONLY LOST WAGES AND/OR MEDICAL TREATMENT.
§ 2. This act shall take effect immediately.