The director shall impose a penalty on any person who fails to file a report required by, or who violates any provision of, the Workers’ Compensation Act [52-1-1 NMSA 1978] or any rule or regulation adopted pursuant to that act. Unless specified otherwise in the Workers’ Compensation Act, the penalty shall be a fine of not less than twenty-five dollars ($25.00) and not more than one thousand dollars ($1,000) for each occurrence, subject to the director’s discretion.
HISTORY:
1978 52-1-61, enacted by Laws 1990 (2nd S.S.), ch. 2, § 26.
Notes to Decisions
Bad faith.
Although a workers’ compensation judge is not authorized to shift an award of attorney’s fees from an employer to a worker as a sanction for bad faith litigation pursuing a meritless claim for benefits, this section provides an adequate basis for sanctions. Carrillo v. Compusys, Inc., 2002-NMCA-099, 132 N.M. 710, 54 P.3d 551, 2002 N.M. App. LEXIS 79 (N.M. Ct. App. 2002).
Legislative intent.
If a worker can show an unfair claims processing practice in addition to a failure to rehire, even if the practice relates to the failure to rehire, the legislative intent is that the worker have the benefit of the unfair claims processing penalty, separate and apart from assessment of a penalty under 52-1-61 NMSA 1978. Lucero v. City of Albuquerque, 2002-NMCA-034, 132 N.M. 1, 43 P.3d 352, 2002 N.M. App. LEXIS 10 (N.M. Ct. App.), cert. denied, 131 N.M. 737, 42 P.3d 842, 2002 N.M. LEXIS 97 (N.M. 2002).
Penalties.
52-1-50.1 NMSA 1978 describes the exclusive remedy for a violation of the statute, the failure to re-hire an injured worker, as a fine, while 52-1-61 NMSA 1978 deals with penalties imposed by the director for violation of provisions of the Act, which are in the form of a fine; the court must read the two statutes together to produce a harmonious whole, and any penalties for violation of the section must be awarded by the director of the Workers’ Compensation Administration. Lucero v. City of Albuquerque, 2002-NMCA-034, 132 N.M. 1, 43 P.3d 352, 2002 N.M. App. LEXIS 10 (N.M. Ct. App.), cert. denied, 131 N.M. 737, 42 P.3d 842, 2002 N.M. LEXIS 97 (N.M. 2002).
Research References and Practice Aids
Cross references.
Controlled insurance plan; penalty, 52-1-4.2 NMSA 1978.
Rehiring of injured workers, 52-1-50.1 NMSA 1978.